Monday, September 24, 2018
Close  
  • share this

Arcade City ordered to halt operations

APP-BASED TRANSPORT SERVICE ALSO TOLD TO STOP FORMAL LAUNCH
By: - Reporter / @jovicyeeINQ
/ 05:16 PM April 13, 2018

PHOTO from Arcade City website

The Land Transportation Franchising and Regulatory Board (LTFRB) ordered for the second time a new app-based transport service to halt its operations and expected formal launch in the country next week as it has yet to coordinate with the government and submit its application to be a transport network company (TNC).

In its cease and desist order, the LTFRB said that Arcade City should stop engaging drivers and riders as their operations are considered “colorum” since they are not accredited by the board.

ADVERTISEMENT

Should Arcade City continue to defy its order, the LTFRB warned that legal actions would be taken against all those involved in the app’s operations.

On their website, Arcade City founder and CEO Christopher David said that their app would be launch in eight Southeast Asian countries on Monday next week, following Uber’s exit in the region.

FEATURED STORIES

He claimed that since August last year, they were able to build in Manila “a large network of drivers,” which they are working on to expand.

“Arcade City is happy to continue filling the void Uber leaves behind. Drivers and riders all over the world are excited for a true alternative,” David said.

While the LTFRB already issued a cease and desist order against Arcade City in August last year, the app’s management defied it as it pointed out that its model is not covered by the board’s definition of a TNC.

“Arcade City does not provide ‘pre-arranged transportation services for compensation’ and therefore does not fit the LTFRB definition of a [TNC],” the company said in its statement then.

To date, there are three TNCs which are seeking accreditation from the LTFRB—Lag Go, Hype and Owto. The LTFRB earlier said that it will fast-track the processing of the applications of these TNCs, especially that it has already ordered Uber to cease operating as a TNC by Monday./ac

ADVERTISEMENT
Read Next
Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: Arcade City, Grab, Land Transportation Franchising and Regulatory Board, LTFRB, Philippine news updates, Transport Network Company, Uber
For feedback, complaints, or inquiries, contact us.
lifestyle

Scrabble dictionary adds OK, ew, qapik, yowza, zen

September 25, 2018 01:44 AM

entertainment

Significant change for PhilPop

September 25, 2018 12:50 AM



© Copyright 1997-2018 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.