Delhi Govt bans Ola, Uber and Rapido bike taxi services

The notice also said that the digital platforms (Ola, Uber and Rapido apps), that are facilitating this operation will be charged with a fine of Rs 1 lakh under the Motor Vehicles Act, 1988. (Representative image)

In a major setback to ride sharing platforms Ola, Uber and Rapido, the Delhi Transport Department on February 20 issued a public notice to stop plying their bike taxi services effective immediately.

“It has been brought to the notice that two-wheelers having non-transport (private) registration mark/numbers are being used to carry passengers on hire which is purely commercial operation and a violation of Motor Vehicle Act, 1988,” the transport department said in the notice.

The transport department also highlighted that violation of this will result in a punishment of first offense of Rs 5,000 and the second or subsequent offense will attract a fine of Rs 10,000 and imprisonment.

“In addition, the driving license of the driver will be suspended for a minimum period of three years,” the notice said.

The notice also said that the digital platforms (Ola, Uber and Rapido apps), that are facilitating this operation will be charged with a fine of Rs 1 lakh under the Motor Vehicles Act, 1988.

The decision comes just weeks after the Supreme Court declined relief to the bike, taxi and auto aggregator Rapido, which challenged the Bombay High Court's order directing the company to stop operation in Maharashtra immediately as it does not have a license to operate bike, taxi or rickshaw services.

Rapido, Ola and Uber have stopped bike taxi operations in Maharashtra after months of the legal tussle.