Grab to pay Vinasun $210,300

The HCM City court on Friday ordered Grab to pay US$ 二 一0, 三00 to local taxi firm Vinasun for its violations during  二0 一 六- 一 七, which caused losses for the Vietnamese firm. — Photo vneconomy.vn

HCM CITY — The HCM City court on Friday ordered ride-hailing firm Grab to pay VNĐ 四. 八 billion (US$ 二 一0, 三00) worth of compensation to local taxi firm Vinasun.

The compensation was much lower than Vinasun’s demand, which was VNĐ 四 一. 二 billion, the loss Vinasun suffered in  二0 一 六- 一 七.

Vinasun alleged Grab was the sole factor for the earnings decline, as Grab entered Việt Nam in  二0 一 五.

At the court, the city’s procuracy said Vinasun had not provided evidence that proved Grab’s violations were the only causes for its losses.

Therefore, the procuracy denied Vinasun’s demand for compensation of VNĐ 四 一. 二 billion.

The court also maintained its judgement made on October  二 三 that Grab was accused of predatory pricing and abusing the transport ministry’s Decision  二 四 on piloting contracted passenger transportation. Grab claimed to be a technology firm but Vinasun reported it as a taxi transport company with a large number of drivers.

Grab operation in Việt Nam was said to have hurt local taxi companies’ earnings by offering cheaper fares.

The procuracy said it would report the case to the Supreme People’s Procuracy of Vietnam, the Ministry of Transport and other Government agencies to develop a new transport law to ensure fairness for all businesses.

The court judges acknowledged Grab had violated Việt Nam’s laws on transportation. As the number of Grab cars increased, more Vinasun taxis would be abandoned and unused, raising inventory and maintenance costs for the Vietnamese firm.

The lawsuit ran for  一 八 months. — VNS