Internet24.07.2024

Extortion allegations against Uber rival in South Africa

Ride-hailing platform Shesha says it condemns acts of intimidation and is investigating gangs using its name to intimidate Uber and Bolt drivers.

This comes after ride-hailing users have reported running into illegal roadblocks created by people in taxi association-marked vehicles, who ask them to show that they have the Shesha app and slap them with a R3,500 fine if they don’t.

These gangs of people also allegedly force passengers from Uber and Bolt vehicles, ordering them to find alternative transport.

Speaking to 702, South African National Taxi Council (Santaco) Gauteng chairperson Midday Mali said the organisation is trying to identify the extortionists.

He says Santaco will never deploy people to carry out acts of intimidation and that it is working with Shesha to put a stop to it.

“There’s a gang of these thugs moving around in marked taxi association vehicles, and they will hold illegal roadblocks,” said Mali.

“They will ask you if you’ve got the Shesha platform. If you don’t have, they basically give you a spot fine of around R3,500, which is still negotiable.”

He added that they remove ride-hailing clients from Uber and Bolt vehicles and tell them to use other transport.

“It is not how we are supposed to be working,” said Mali.

Shesha has condemned these acts of intimidation, describing them as deeply concerning and unacceptable.

“In light of recent videos circulating on social media, where individuals using Shesha’s name are seen intimidating Uber and Bolt drivers in the Tembisa area, Shesha Ride firmly condemns these actions and clarifies its stance on competition and lawful business practices,” it said.

It emphasised that the individuals involved aren’t representatives of Shesha Ride and that the company doesn’t sanction their actions.

“The recent acts of intimidation carried out in our name are deeply concerning and completely unacceptable. We are committed to identifying those responsible and working closely with law enforcement to ensure these activities cease immediately,” it said.

“Our primary goal is to empower our drivers, ensure the safety of our riders, and contribute positively to the South African economy.”

It has committed to taking immediate action against these individuals, including investigating incidents to identify those responsible.

It says it will cooperate fully with law enforcement agencies and urges anyone who witnesses such criminal activities to report them directly to the police.

Shesha Ride launched in Gauteng in May 2024, and spokesperson Nomsa Mdhuli promised that the service was more affordable than its competitors.

“We will be more affordable. We give very competitive pricing, and what’s important is that our prices are fixed,” said Mdhuli.

“If you know that you travel five kilometres from point A to point B every day, the price will be fixed whether it’s in the evening, it’s peak commuting hours, or it’s raining,” she said. “That also affords the user to be able to budget.”

Shesha also offers an “emergency ride” for loyal customers stuck without money to pay for a trip.

If these customers have made more than ten trips with Shesha, they will qualify for a free emergency ride to a destination within a 5km radius.

Mdhuli said Shesha has robust security features, such as Home Affairs-linked ID verification for riders and drivers, one-time PIN codes for rides, and a wholly cashless system.

“There’s been a lot of concerns about the safety aspects, both from the drivers and the users. We validate driver and customer IDs. Our system is linked to Home Affairs, so you always know that your driver’s identity has been verified,” said Mdhuli.

“We also have an OTP verification system. Customers receive an OTP for each ride and that enhances the identification accuracy.”

She added that Shesha uses a digital wallet system, which eliminates the need for cash and enhances the safety of riders and drivers.

Mdhuli explained that the digital wallet system works similarly to the MyCiTi system in Cape Town, where customers can top up a card. However, Shesha’s is purely online.

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