An Uber taxi was stopped and fined by HCMC inspectors on Friday.
An Uber taxi was stopped and fined by HCMC inspectors on Le Hong Phong Street in District 5 on Friday.
Shortly after the low-cost taxi app launched in Ho Chi Minh City, five Uber drivers were fined by traffic cops.
A team of inspectors from the municipal Transport Department and traffic police officers launched an inspection into Uber on Friday morning, Tuoi Tre (Youth) newspaper reported.
The team fined the drivers for operating an unlicensed taxi business.
Uber launched in HCMC, its second Asian city after Hong Kong, last June.
The company's arrival in Vietnam pitted it against the Malaysian GrabTaxi app, which entered the country last February.
Ta Long Hy, CEO of Vinasun, a major Vietnamese taxi operator, and chair of the HCMC Taxi Association, told Tuoi Tre that Uber’s work in the city has so far been illegal.
Hy says the company's private drivers can only afford to offer their unreasonably low fares because they don't pay any taxes.
During a recent government meeting, representatives from the HCMC Tax Department called the business illegal because Uber's drivers neither register their vehicles or file proper tax forms.