Uber is again facing trouble with regulators.
California regulators are seeking to fine Uber Technology Inc. $1.13 million for failing to act against suspected drunken drivers.
From August 2014 to August 2015, Uber reported it received 2,047 complaints from California passengers about suspected drunken drivers, and barred 574 of them. But according to an order filed by the California Public Utilities Commission, of 154 complaints of drunken Uber drivers that the regulators reviewed, the company did not promptly suspend or investigate 151 of them. And in 64 cases, the suspected drunken driver was again driving passengers within an hour after the original complaint.
The state is seeking a $7,500 fine for each of the 151 violations that were found by the Consumer Protection and Enforcement Division.
“In many instances, CPED found no evidence that (Uber) followed up in any way with zero tolerance complaints several hours or even one full day after passengers filed such complaints,” the complaint said.
While taxi and limousine drivers in California must be tested for a alcohol and drugs, drivers for ride-hailing services such as Uber and Lyft do not. Those companies, however, must comply with a zero-tolerance policy, under which drivers accused of driving while intoxicated are promptly suspended and investigated.
Regulators also claimed Uber’s process for reporting drunken drivers was cumbersome and ineffective.
Uber has clashed with a number of regulators around the world, including a dispute with California’s PUC last year when the state quickly shut down Uber’s unlicensed testing of self-driving cars. Last month, Uber gave in and applied for a permit to test autonomous cars, which state regulators approved.
Uber has also recently been accused of rampant sexual harassment, been accused by Alphabet Inc.’s GOOG, +0.00% GOOGL, +0.11% Waymo of stealing its self-driving technology and seen an exodus of top executives. Chief Executive Travis Kalanick is currently seeking a chief operating officer to help run the company, which is valued at nearly $70 billion.