Ald. Silverstein calls for investigative hearing on Uber overcharges

Ald. Debra Silverstein (50th) is calling for ride-hailing app giant Uber to answer questions before a City Hall committee about how it illegally overcharged customers a downtown congestion tax, as the company continues to avoid answering questions about the extent of the problem.

Silverstein on Wednesday said she would launch investigative hearings through the Committee on License and Consumer Protection, which she chairs, to uncover how Uber overcharged customers and determine how to prevent it from happening again.

The city’s Department of Business Affairs and Consumer Protection said it opened its own investigation to the improperly applied $1.50 downtown congestion charges earlier in May, after the overcharges were first reported by Block Club Chicago.

Uber blamed the overcharges on an “internal error,” saying in a statement then that the illegally collected taxes were sent to the city and that affected customers would be refunded.

Days later, customers began receiving refunds from Uber for surcharges that were improperly applied outside of the city’s congestion fee window between 6 a.m. and 10 p.m.

Uber still won’t say how many customers were overcharged — or the total amount of refunds it is doling out.

Ride-hailing drivers with the Illinois Drivers Alliance — a union-led coalition of Lyft and Uber drivers who are trying to unionize — rallied outside City Hall on Wednesday, urging Council members to pass the Rideshare Living Wage and Safety Ordinance. They say the ordinance would impose stricter regulations on ride-hailing apps and prevent overcharges from happening again.

Silverstein, who was scheduled to attend the rally but canceled at the last minute, had a representative at the rally issue a statement on her behalf calling for the investigation.

“No company should be allowed to operate in the City of Chicago without transparency and accountability,” Silverstein said in the statement. “The unauthorized surcharge imposed by Uber, without the City’s approval or public disclosure, demands answers.”

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