South Korea's antitrust regulator, the Fair Trade Commission (FTC), fined Kakao Mobility's wholly-owned subsidiary KM Solutions, 3.88 billion won for imposing unfair platform usage fees on franchise taxi drivers, Yonhap News reported Wednesday.
Kakao Mobility is a subsidiary of Kakao (KRX:035720).
Since 2019, KM Solutions has charged a fixed 20% commission on all fares, including those from street hails or rival apps, bundled as service fees. Kakao Mobility denied any wrongdoing and plans to appeal the decision, the report said.
Shares of Kakao rose nearly 6% at market close on Thursday.
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