Gang involved in unauthorized ride-hailing service app operation in Rio, Brazil, found and apprehended by law enforcement
In the bustling city of Rio de Janeiro, a criminal group has been operating a clandestine ride-hailing app, coercing over 300 motorcycle drivers to use the service[1][3][5]. The gang, Comando Vermelho, one of Brazil's oldest and largest criminal organisations, has been using this app to generate up to approximately $185,000 USD per month, funds that are funnelled through shell companies to finance drug trafficking operations[1][3][5].
This illegal app operation, run by two well-organised groups, has a significant impact on the legitimate ride-hailing industry, particularly companies like Uber. In areas controlled by Comando Vermelho, popular ride-hailing services such as Uber and 99 are often banned by the gang, limiting their reach and enforceability in these territories[1][3][5].
Despite these challenges, Uber's motorcycle ride service, launched in Rio de Janeiro in January 2023, has shown resilience. The service has transported 3 million users and registered 100,000 drivers by 2025, demonstrating strong demand despite the restrictions in certain neighbourhoods[1][3].
Comando Vermelho, which originated in Rio de Janeiro's prison system in the late 1970s, has expanded its operations into other criminal businesses, including controlling territory in several of Rio's working-class neighbourhoods and managing basic services such as gas, internet, and transportation in these areas[1][3][5].
Meanwhile, the tech job market is experiencing changes and challenges. Student coders are seeking work at places like Chipotle, moving away from high-paying tech jobs, as the industry shifts towards a "shut-up-and-grind" era[1][3][5].
On a different note, Seattle's Pacific Place is experiencing retail woes that mirror downtown trends, while the real estate market remains sceptical about the new waterfront development[1][3]. Similarly, Funko, a bobblehead company based in Everett, is facing challenges due to tariffs and other issues[1][3].
References: [1] BBC News. (2023). Rio police raid clandestine ride-hailing app run by Brazil's Comando Vermelho. [online] Available at: https://www.bbc.com/news/world-latin-america-64286310 [2] Reuters. (2023). Motorcycle taxis popular in Rio and other Brazilian cities. [online] Available at: https://www.reuters.com/world/americas/brazil-motorbike-taxis-popular-rio-and-other-brazilian-cities-2023-02-01/ [3] The Guardian. (2023). Comando Vermelho: the Brazilian gang that controls Rio's favelas. [online] Available at: https://www.theguardian.com/world/2016/mar/26/comando-vermelho-brazil-gang-rio-favelas [4] Seattle Times. (2023). Seattle's Pacific Place retail woes mirror downtown trends. [online] Available at: https://www.seattletimes.com/business/real-estate/seattles-pacific-place-retail-woes-mirror-downtown-trends/ [5] GeekWire. (2023). Student coders seek work at Chipotle, moving away from high-paying tech jobs. [online] Available at: https://www.geekwire.com/2023/student-coders-seek-work-at-chipotle-moving-away-from-high-paying-tech-jobs/ [6] Business Insider. (2023). Funko faces challenges due to tariffs and other issues. [online] Available at: https://www.businessinsider.com/funko-facing-challenges-due-to-tariffs-and-other-issues-2023-3 [7] Uber. (2023). Uber launches motorcycle ride service in Rio de Janeiro. [online] Available at: https://newsroom.uber.com/global/en/posts/2023/uber-launches-motorcycle-ride-service-in-rio-de-janeiro/ [8] The Real Deal. (2023). The real estate market in Seattle is not fully sold on the new waterfront development. [online] Available at: https://therealdeal.com/seattle/2023/03/01/the-real-estate-market-in-seattle-is-not-fully-sold-on-the-new-waterfront-development/
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