New Delhi city authorities have warned bike taxi companies like Uber and local competitor Ola that they will begin seizing their vehicles unless they stop their operations, following a court order supporting a ban on these services.
What Happened? A top official in the Delhi government made this announcement on Tuesday speaking to Reuters after India’s Supreme Court backed the ban imposed by the city government on Monday.
This ruling comes as a blow to the U.S. ride-hailing giant Uber, which had legally challenged the authorities to continue providing its services.
The city government holds that bike taxis breach local city laws by operating without the necessary license. Conversely, Uber argued in the Supreme Court that the ban negatively impacts the livelihoods of its riders.
Ashish Kundra, the Principal Secretary and Commissioner for Transport in the Delhi government urged these companies to prioritise passenger safety over profits.
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Kundra said, “We will issue an advisory to companies asking them to respect the court order. If they disregard this, we will start impounding their vehicles.” He added that these companies are clearly in violation of the regulatory framework and are on the wrong side of the law.
Despite this, both companies continued to offer bike taxi services via their apps on Tuesday.
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