Transportation Secretary Vince Dizon on Monday ordered the shutdown of an online booking site for reportedly charging sky-high ticket prices amid the transportation crisis in Eastern Visayas.
In a press conference earlier today, Dizon revealed that the government is also finalizing an economic sabotage case against AirAsia Move – a Malaysian-based travel platform – for allegedly overcharging tickets.
Dizon said he was alerted on the matter by Leyte fourth district Rep. Richard Gomez and Office of Civil Defense Administrator Undersecretary Ariel Nepomuceno, who emphasized the urgency of immediate intervention.
Gomez and his wife, Ormoc Mayor Lucy Torres-Gomez, bought PAL tickets from Tacloban to Manila via AirAsia Move that cost them around P77,704 or almost P40,000 each – three times the price when booking directly in the flag carrier’s website.
“Clearly, this is just absurd, and actually criminal,” Dizon said. “I have asked them (Philippine National Police – Anti-Cybercrime Group) to take this website down today, so this AirAsia Move can no longer scam others. I’m sure Congressman Richard Gomez is not the only victim here.”
“I also asked the CAB (Civil Aeronautics Board) and DOTr aviation group to immediately file a criminal economic sabotage case against AirAsia Move because this is really economic sabotage,” Dizon added.
Apart from Gomez, Dizon thanked Nepomuceno for mentioning similar complaints.
“I would also like to thank the head of the Office of Civil Defense, Sir Ariel Nepomuceno because he wrote me over the weekend regarding reports of excessive airline tickets going to Tacloban,” Dizon said.
“Clearly, there is a crisis there because the movement of goods and people were affected by the partial closure of the San Juanico Bridge to heavy vehicles, buses and trucks. They are taking advantage of the situation.”
In his letter to Dizon, Nepomuceno asked the DOTr, CAB, and Civil Aviation Authority of the Philippines to probe the alleged increases in passenger and cargo air fares in Eastern Visayas, particularly affecting routes to Tacloban, Catarman and Ormoc City.
“Any immediate intervention to control the purported air fare and cargo fare increases would truly help diffuse the frustration of our fellow Filipinos in Region VIII and stabilize the local market and economic conditions,” Nepomuceno told Dizon.
Last May 26, a cease and desist order was initially issued by the DOTr against AirAsia Move allegedly for engaging in the “unauthorized sale of airline tickets for carriers in the Philippines at prices exceeding the approved fare structures established by the CAB.
AirAsia Move said it was ready to comply with the cease and desist order, but argued that it’s not under CAB’s jurisdiction, being a foreign-based online travel agent.
CAB Executive Director Carmelo Arcilla, on the other hand, emphasized that while the online booking site is not directly under their jurisdiction, the issue of ticket pricing falls within their mandate.
“For domestic services, we approve fares, because it is required by law. We set the ceiling, and when that ceiling is violated by an entity, even if they are not defined under our jurisdiction, they come within our enforcement proceedings,” Arcilla said.
Meanwhile, Dizon clarified that airline AirAsia does not have anything to do with AirAsia Move.
“They’re affiliated, but in fairness to AirAsia Philippines, I don’t think they have anything to do with this,” he said.
Dizon also instructed CAB to probe other online booking platforms charging excessive fares, not only in Tacloban but also in other destinations.
“We will really put the full force of the law on these unscrupulous online platforms who are taking advantage of our people,” Dizon said.
“The President has repeatedly said that should never allow our people to be abused. He’s working so hard to make sure that travel is comfortable, that travel is safe.”
