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Business · Transportation
Didi slapped with fines over its security breaches
2018/11/28 09:13:26
China's News, China's Financial News, Didi

Nov 28, 2018 (China Knowledge) - China's Ministry of Transport has hit ride-hailing giant Didi Chuxing with fines over the violation of multiple safety rules that have resulted in “major safety hazards”. The fine was imposed after two of the ride-hailing giant's passengers died in separate incidents earlier this year.

The Ministry has said that Didi had failed to properly flag high-risk drivers and had improperly handled deposits. According to a statement by the Ministry, “the drivers' qualifications and background checks are not in place. The company's management of people and vehicles is out of control”.

Transport ministry is determined to continue the crackdown on ride-hailing platforms in the country which are hiring illegal drivers. Didi's executives and legal representatives will also be hit with fine for an undisclosed amount of money.

Didi drew much flak from the country earlier this year after two women were assaulted and killed in incidents involving its drivers when using the company's carpooling service Didi Hitch.

In one incident, the driver was able to work around the company's safety controls to pose as a relative to continue driving after priory being flagged for harassment.

The company's chief executive, Cheng Wei, has since pledged to work on the company's shortcomings and to do their best to protect its riders and drivers.

Didi is currently struggling to reduce waiting times in large cities after certain restrictions have greatly reduced its pool of available drivers. Didi, now, has almost 90% of the country's ride-hailing market after acquiring Uber's China business in 2016.


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