Brief: Grab fined by the Philippines for imposing extra charges

Photo credit: Grab

Grab slapped with fine for breaking fare rules (The Philippines). The country’s Land Transportation Franchising & Regulatory Board (LTFRB) has fined the ride-hailing firm 10 million pesos (US$187,000) for overcharging its passengers. Grab had introduced an additional fee of 2 pesos per minute on top of its regular fares without first securing LTFRB approval, arguing that it was necessary to ensure that rides made economic sense for its driver-partners. Grab claims that it has had to subsidize drivers’ journeys since the fee’s removal. The regulator has ordered Grab to refund passengers who were charged the fee between June 5 last year and April 19. The firm can appeal LTFRB’s decision. (Rappler)

Other news

Ofo down in Down Under while Reddy Go offers users two free bikes (Australia). The Chinese bike-sharing firm said it would “wind down” its Adelaide and Sydney services within the next two months and will “focus on priority markets internationally” instead. The news comes a day after reports emerged that Ofo is downsizing in India, while staff layoffs have also been rumored in Singapore. Local bike-share startup Reddy Go also announced that it’s pausing operations in Sydney, telling users that they can either sit out a “restructuring process” or terminate their membership, in which case it is “happy to offer you and a friend a free bike each (total two bikes).” (The Guardian)

Bike-share app Gobee shuts down due to “enormous maintenance” costs (Hong Kong). The startup had been in operation in the territory for just over a year. Gobee – which discontinued its services in France in February after thousands of its bikes were damaged or went missing – had attracted funding from Alibaba’s Hong Kong Entrepreneurs Fund and Grishin Robotics, and was reportedly a takeover target for Ofo. The startup said that users can apply for a deposit refund over the next 30 days. (South China Morning Post)

Aspire banks US$9 million seed funding (Singapore). The seven-month-old fintech startup is developing tech to streamline the lending process for small businesses. Founded by former Lazada executives, Aspire secured this funding from investors including Y Combinator, Insignia Ventures Partners, Mark 2 Capital, and Hummingbird Ventures. (Tech in Asia)

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