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Ola, Uber's ride-sharing services get a brake in Karnataka

The transport department of Karnataka has prohibited Ola and Uber from continuing their pool services in the state

twitter-logoBusinessToday.In | June 30, 2019 | Updated 21:50 IST
Ola, Uber's ride-sharing services get a brake in Karnataka
Karnataka transport department asks Ola and Uber to withdraw carpooling services in the state.

The transport department of Karnataka has prohibited Ola and Uber from continuing their pool services in the state. In a  close-door meeting, the Karnataka transport department told ride-hailing firms-Ola and Uber that their carpooling services are illegal as there was no provision in the transport rule for 'carpooling service' in the state, thus, the companies have violated the Motor Vehicle Act.

Meanwhile, the state transport department has forwarded its decision to the Karnataka government to take further decision on the issue and until a mobility sharing policy is designed, the taxi operators are told to comply with the rules immediately.

This is the second-time Ola has faced wrath of the Karnataka government over its services. In March this year, the state government  issued a notice to ANI Technologies, Ola's parent company, asking it to suspend its app-based cab services in Bengaluru. The government claimed that the cab operator was illegally operating the bike-taxi services through alleged 'fake licences'. However in March itself, the government withdrew the ban.

(Edited by: Mansi Jaswal)

Also read: Ola banned in Karnataka: State govt open for talks with company over six-month ban

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