MANILA, Philippines — The Department of Transportation (DOTr) of the Philippines announced on June 2 its directive for the cessation of operations for an online airline booking platform, AirAsia Move, due to allegations of unreasonably high ticket prices.

This action follows concerns raised by Representative Richard Gomez from Leyte regarding the platform's pricing practices.

Transport Secretary Vince Dizon provided details in a briefing, showing that ticket prices listed on AirAsia Move were significantly higher than those available through direct airline channels.

For instance, a Philippine Airlines flight from Tacloban to Manila for two passengers was posted on AirAsia Move at a staggering P77,720, with economy class fares starting at P49,507, compared to a maximum direct booking price of P12,600 through Philippine Airlines.

The need for heightened scrutiny arose amid a transportation crisis affecting Leyte and Samar, exacerbated by the closure of the San Juanico Bridge.

Dizon indicated that AirAsia Move may have taken advantage of the situation by inflating fares.

Following the announcement, there was a noted decrease in ticket prices on AirAsia Move, with fares for Tacloban-bound flights dropping to between P7,000 and P8,000 for travel dates between June 2 and June 7.

Despite the announcement, as of 10 a.m. on June 2, the AirAsia Move platform remained operational online.

The DOTr had previously issued a cease and desist order against the platform on May 26, citing its unauthorized sale of airline tickets at prices that exceeded those sanctioned by the Civil Aeronautics Board (CAB).

In response to the cease and desist order, AirAsia Move asserted its intent to comply but contended that it does not fall under the jurisdiction of the CAB, as it operates out of Malaysia.

Secretary Dizon stated that he had requested the Philippine National Police's anti-cybercrime unit to facilitate the takedown of the platform within the Philippines.

In addition to ordering the shutdown, the Department of Transportation is pursuing economic sabotage charges against AirAsia Move, emphasizing that its investigation is focused solely on incidents of passenger overcharging rather than the airlines themselves.

Carmelo Arcilla, Executive Director of the CAB, clarified the jurisdictional complexities involved, noting that while AirAsia Move may not be directly governed by the CAB, the board has the authority to oversee fare regulations.

He stated that the CAB is responsible for establishing fare ceilings for domestic airline services, and violations of these regulations, irrespective of an entity’s defined jurisdiction, could lead to enforcement actions.