Karnataka High Court on August 22 said that it has not passed any order allowing bike taxi aggregators to operate in the state.
The clarification came a day after Rapido and Uber resumed bike taxi services in Karnataka.
Also, read: After two months, Rapido and Uber resume bike taxi services in Karnataka
Advocate General Shashi Kiran Shetty told high court that aggregator apps had started bike taxi operations soon after its observation questioning the blanket ban on the service.
A division bench of Chief Justice Vibhu Bakhru and Justice CM Joshi said: “We have given no orders. If they have started their business, you (state government) can take whatever action you want.”
Shetty said it was his duty to inform the court before taking action. The bench clarified that its earlier order only restrained action against individual bike owners, not aggregators, as policy decisions were still under consideration.
A counsel claimed individual bikes were seized after the order. Shetty denied this, and the bench reiterated: “Don’t harass individuals”.
The Karnataka High Court on Wednesday pulled up the state government over its blanket ban on bike taxis, questioning why the service could not be regulated instead of prohibited. A division bench of Chief Justice Vibhu Bakhru and Justice CM Joshi, hearing appeals filed by Ola, Uber and Rapido, had observed: “Give it a serious thought, there are lives at stake here. Every trade is permissible unless regulated. This (bike taxi) is not res extra commercium.” The state government told the court that a decision on bike taxis would be taken at the highest level.
The court said it will not interfere in policy but will test if the government’s move is arbitrary or mala fide. “We don’t have to be satisfied with the policy, only whether it is arbitrary,” the bench noted, deferring the matter to September 22.
Also, read: Karnataka bike taxi ban: 'Give it a serious thought, there are lives at stake,' HC tells govt
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.