Korea Fair Trade Commission launches sanctions on Kakao T's 'collection of unfair fees'

The Fair Trade Commission has launched a sanctions process over allegations that Kakao Mobility collects excessive fees from taxi operators.

The Fair Trade Commission sent a review report containing sanctions on Kakao Mobility's alleged violation of the Affiliate Business Act.

The Fair Trade Commission is expected to sanction Kakao Mobility for collecting fees by including income earned without using its app in sales while signing a fee contract with a franchise taxi.

They believe that collecting fees is an unfair trade even for so-called roaming operations that pick up customers directly on the street or for receiving calls through other platforms.

The Fair Trade Commission previously sent a review report to DGT Mobility, Kakao Mobility's regional franchise headquarters in Daegu and Gyeongbuk, on the same charges.

Kakao Mobility was recently fined 72.4 billion won by the Fair Trade Commission over allegations that it demanded trade secrets from rival taxi operators and unfairly blocked calls.

Last year, he was fined 27.1 billion won for driving calls to Kakao T Blue drivers.