Some rogue ride-hailing drivers in Kenya are imposing fictitious debts on their customers, leaving many inconvenienced by unwarranted demands by taxi service firms.
A growing number of passengers have sounded the alarm over a scam in which they’re being charged with false arrears after drivers fraudulently report them for incomplete cash payments for rides.
The scam targets passengers who pay for their rides using cash or M-Pesa.
In multiple cases reviewed by the Business Daily, passengers who settled fares in cash or via mobile money services later found debt claims from ‘non-payment’ posted to their accounts, leading to automatic add-ons to the fares charged on their new trips.
In one case, a Business Daily staffer was slapped with a Sh90 debt claim even after fully paying the Sh250 fare that had been charged on a ride-hailing app.
Ride-hailing companies, including Uber and Bolt, have acknowledged the scam by some of their drivers.
“We have noticed a concerning trend of some drivers falsely reporting non-payment for cash and M-Pesa trips to receive an Uber refund. Please be aware that such actions are a direct violation of our Community Guidelines, specifically the ‘Follow the Law’ principle,” Uber said in a caution to car owners and drivers.
“We take these reports very seriously and all matters will be thoroughly investigated. Any driver found to be in breach of this or any other guideline may face potential deactivation.”
Uber said such fraud could harm its reputation and vowed action against drivers caught engaging in mischief.
“False reports negatively affect Uber's reputation, driving away legitimate customers and reducing your potential earnings,” the company said.
Uber and Bolt have long operated a hybrid payment model that allows riders to pay in cash, card or mobile money, but while this flexibility has helped expand adoption in Kenya, it also has loopholes for manipulation by rogue drivers.
Bolt said it has witnessed isolated cases of fictitious passenger debt claims by some drivers on its platform and pointed out that it has since enhanced its in-house verification systems.
“On occasion, there have been isolated cases where drivers attempt to falsely claim non-payment on cash or M-Pesa trips. While such cases are isolated and not representative of the wider driver community, we assess each matter on a case-by-case basis,” Dimmy Kanyankole, Bolt’s General Manager for Kenya and Tanzania said in a response to Business Daily.
“To safeguard our riders and ensure fairness, we have robust systems in place to ensure strict checks to verify all refund requests. Drivers found to be abusing this process face reprimands, and repeat offenders are subjected to stronger disciplinary measures, which may include removal from the platform.”