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Old 03-15-2010, 12:24 AM   #1
Family Ties Forever!
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Eek NYC: Taxi Drivers Overcharged Riders By $8.3 Million Dollars

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NYC: Taxi Drivers Overcharged Riders By $8.3M
1.8 Million Trips Improperly Charged, Taxi and Limousine Commission Says
Sara Kugler, Associated Press Writer

Posted: Friday, March 12, 2010
Updated: 9:09 am CDT March 14, 2010

New York -- Thousands of New York City taxi drivers overcharged passengers by more than $8.3 million over the past two years by setting their meters at a rate that was supposed to be used for trips to the suburbs, the Taxi and Limousine Commission said Friday. At least 1.8 million trips were wrongly charged at the suburban rate, which is double the rate within city limits, the commission said.

The city has about 48,300 licensed cabbies, and data shows that 35,558 have illegally charged a rider at least once, the city said. A smaller group of drivers is responsible for the majority of overcharged trips -- 3,000 cabbies were found to have doubled the meter rate more than 100 times. The commission has referred its findings to the Department of Investigation.

"Some of these people could face serious charges," Mayor Michael Bloomberg said. "Now, how we would ever recoup the money and get it back to the individual payers, no, but we can stop the practice and we can make sure there's penalties." The scammed passengers overpaid by an average of $4.45 per trip, the commission found. Officials discovered the discrepancy by scouring data from global-positioning devices that are required in the city's yellow cabs. The data goes back 26 months because GPS was first required in 2007. A passenger complaint last year led the commission to find one driver engaging in the scam hundreds of times in one month, they said.

The city said that while 1.8 million overcharged trips is a significant number, there were 361 million taxi trips in the past two years, so the illegal fare was charged in half of one percent of all rides. A taxi driver advocacy group cautioned that the scam appears so widespread that it might actually be the fault of problems with the technology, not deliberately dishonest drivers.
"There should be a thorough investigation before judgment is cast on an entire work force," said Bhairavi Desai of the New York Taxi Workers Alliance.
In a few weeks, taxi riders will see an alert on the television screen in the back seat when the higher rate code has been activated.

Copyright 2010 by The Associated Press. All rights reserved.
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Old 03-15-2010, 12:26 AM   #2
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Oh No

Somehow I'm not surprised.
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Old 03-15-2010, 12:33 AM   #3
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It's ironic that the cabbies are trying to blame faulty technology for the over charging when it was technology (GPS system) that caught them in the act in the first place!
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Old 03-15-2010, 02:03 AM   #4
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you could probbley buy a car with that much money.
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Old 03-15-2010, 02:05 PM   #5
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Originally Posted by Marvo301
It's ironic that the cabbies are trying to blame faulty technology for the over charging when it was technology (GPS system) that caught them in the act in the first place!
More like fishy!!
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Old 03-15-2010, 02:29 PM   #6
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and then there was the cabbie who rigged his meter to run 2X as fast - charging much more than the actual ride. An observant rider noticed that the ride was costing more than similar ones taken - a complaint was made - an investigation ensued - and bingo the crooked cabbie was caught. Glad I almost NEVER take a cab.
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Old 03-15-2010, 06:52 PM   #7
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Wow, this is interesting. Thanks for the story. I'm surprised that there seems to be no effective regulation, at least until someone notices something out of whack.
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Old 03-15-2010, 08:44 PM   #8
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avoid taking a cabbie- take public transport or get someone to drive you to work, take you home or wherever.
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Old 03-16-2010, 07:44 AM   #9
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I plan to go to NYC in June. Good to know!! I'll stick to the subway.
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Old 03-16-2010, 08:37 AM   #10
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just another reason why I'll stick with teleportation!
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Old 03-16-2010, 11:51 AM   #11
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Originally Posted by PZelda
I plan to go to NYC in June. Good to know!! I'll stick to the subway.

The public transp. in NYC is actually quite good except on the weekends with the subways because of track work. The NYC-MTA website is very helpful. And btw, if you fly into LGA, you can get into Manhattan using a subway & bus for one fare. From JFK its possible too but unlike LGA very cumbersome. And all the NYC Metro airports (JFK, LGA, NWK) have the buses you can take in for roughly 1/3 or 1/4 of a taxi fare.
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Old 03-16-2010, 11:52 PM   #12
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Quote:
Originally Posted by OH Nuts!
The public transp. in NYC is actually quite good except on the weekends with the subways because of track work. The NYC-MTA website is very helpful. And btw, if you fly into LGA, you can get into Manhattan using a subway & bus for one fare. From JFK its possible too but unlike LGA very cumbersome. And all the NYC Metro airports (JFK, LGA, NWK) have the buses you can take in for roughly 1/3 or 1/4 of a taxi fare.
Yep, I'm pretty sure I'll be coming in via LGA - I did last time. This will be the first time coming there all by myself... Kinda nervous. Thanks for the heads up! I will be sure to remember that.
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Old 03-17-2010, 08:24 AM   #13
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Quote:
Originally Posted by catlover79
Somehow I'm not surprised.
Me either...I was taken by a Cabbie a few years ago when I went to the Hollywood Collector's show for the first time. He played stupid and ran the meter up to over 300 bucks, I only gave him 75 bucks and I reported him to the Hotel and they looked into the matter.
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Old 03-17-2010, 11:47 AM   #14
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Me either...I was taken by a Cabbie a few years ago when I went to the Hollywood Collector's show for the first time. He played stupid and ran the meter up to over 300 bucks, I only gave him 75 bucks and I reported him to the Hotel and they looked into the matter.
Holy cow!! How many miles was the trip? It couldn't have been that far away from the hotel.
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Old 03-17-2010, 07:28 PM   #15
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and then there was the cabbie who rigged his meter to run 2X as fast - charging much more than the actual ride. An observant rider noticed that the ride was costing more than similar ones taken - a complaint was made - an investigation ensued - and bingo the crooked cabbie was caught. Glad I almost NEVER take a cab.
(I know its a little wierd to quote myself but just saw an article on this in the New York Post today.)

Seems a Dr. was riding in the crooked cabbie's cab and always took the same short ride - that was almost always $5. This time it was $7. He challenged the cabbie who got indignent until the Doc informed him that he takes this ride all the time. The cabbie then said "just pay what you normally do." But the Doc was smart (they ususally are!) and paid with a credit card, saved the receipt and reported the cabbie to the TLC. The hack lost his license and an investigation got started.
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