New Delhi. The Karnataka government has declared several large app-based cab and bike aggregators including Ola, Uber and Rapido illegal in the state and asked them to stop their services within the next three days with immediate effect. According to media reports, the state transport has issued a notice to the companies and warned them. The notice issued by the department clearly states, “Auto services should be stopped and passengers should not be charged more than the fare fixed by the government.”
Notably, the state transport authority had received several complaints some time back from passengers of Ola and Uber for charging around Rs 100 for a ride of less than two kilometres. It is also worth noting that the minimum auto fare in Bengaluru has already been fixed at Rs 30 for the first 2 km and Rs 15 for every kilometer thereafter. Even after this, such complaints were being received every day.
The state government has given three days to the cab aggregators to shut down their business and completely shut down their services across the state. Along with this, the state police officials also said that these companies are absolutely not eligible to operate auto-rickshaws as these rules have been made only for taxis.
Let us tell you that about a month ago, the Competition Commission of India (CCI) has warned Indian Cab Aggregators (CAs) like Ola, Uber, etc. to formulate clear and transparent policies regarding sharing of revenue due to surge pricing. were given.
According to the State Department’s warning, ride-hailing businesses will have to stop offering auto services as soon as possible and also avoid charging taxi customers more than prescribed fares. Along with this, the department also warned of legal action if any company is found disobeying the instructions.