LTFRB orders cancellation of Grab Bike’s business operations

LTFRB orders cancellation of Grab Bike’s business operations

The Land Transportation and Regulatory Board (LTFRB) recently issued an order which stops Grab Bike from doing business. This came after the board’s investigation of the company’s unauthorized public transport operations.

The motorcycle ride-sharing company went against the Public Service Law and Department Order 2015-011, according to LTFRB. As stated in the cancellation order, “Wherefore, in view of the foregoing, the board hereby orders Grab Bike, Inc. to IMMEDIATELY CEASE AND DESIST upon receipt hereof from offering to the public the use of motorcycle or any similar vehicle until further orders.”

Prior to this resolution, LTFRB released a statement ordering the Mytaxi.ph, Inc. transport network company (TNC) to put on hold the Grab Bike operations. This is supported by the Department of Transportation and Communications’ (DOTC) reiteration that the approval of TNCs as another means of public transportation does not include the use of motorbikes.

Mytaxi.ph, on the other hand, countered this by explaining that Grab Bike is in no relation to them. They also said that Grab Bike operates under the company called Grab Bike, Inc.

Finally, Grab Bike, Inc.’s Regional Vice President Nina Teng later acknowledged the cancellation order, saying that the company was indeed doing business outside legal parameters. The LTFRB also asserted that the Grab Bike, Inc. should comply with the order as soon as possible to avoid further sanctions.