Five people suspected of developing and selling a cheat enabling app for drivers of online ride-hailing service have been detained, according to Beijing Municipal Public Security Bureau.
Media reports the app enables drivers to overcharge passengers by avoiding setting rules, such as making false GPS locations, and extending the travel distance.
The app also helps online drivers automatically filter unwanted orders.
In its advertisement, the app costs 800 yuan (120 USD) for the first month, and users then pay 600 yuan for monthly renewals.
Official statistics show over 30,000 drivers across China have bought and utilized this app. This has caused losses worth more than 6 million yuan to companies offering online ride-hailing services.
This is the first illegal case targeting the loopholes that online car-hailing apps have in China.
