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November 13, 2015

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Local driver detained for allegedly defrauding Uber by providing rides to non-existent passengers

A SHANGHAI man has been detained for allegedly defrauding the taxi-hailing app Uber out of 90,000 yuan (US$14,000) by cashing in on bonuses for rides provided to non-existent passengers, police said yesterday.

Following an internal investigation, the company accused the driver, surnamed Wang, of using hacked cellphones and multiple numbers to book taxi rides.

The company said it became suspicious after discovering that Wang had claimed to work far more hours than most of its other drivers.

In a statement, it claimed Wang created over 50 fake passenger and driver accounts, which he used to fabricate bills for his services.

“The accounts were registered ... with fake information, and the records of the trips from those accounts looked dubious,” Uber said, adding that it thinks Wang might have had one or more accomplices.

Wang was detained after the report was passed to police, though he has yet to be charged.

Paying bonuses to drivers has been one of Uber’s strategies to tap into the booming Chinese market for car-sharing services. However, it has alleged that some drivers have sought to abuse the system.

“We will restrict an account or stop rewarding a driver if we find it is linked too often with a specific passenger, if his driving routes are dubious or bills abnormal,” the company said.

Last month, police in Putuo District detained four people on suspicion of cheating Chinese taxi app Yihao Zhuanche out of about 160,000 yuan.

The drivers are accused of falsifying bookings and taking reimbursements from the company when the “ghost” passengers failed to show up.




 

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