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Ola and Uber received warning from the Karnataka Government

Ola and Uber received

Ola and Uber received still facing problems with the Karnataka government. Ola and Uber have to shut down its services in Karnataka which in fact has the largest market in Karnataka.

The cab aggregators who are operating with un-licensed cabs will now have to shut its operations with immediate effect under section 193 of the motor vehicles act.

H G Kumar, Additional Commissioner for Transport and Secretary, State Transport Authority Karnataka said

“As of April 2nd there is a mandate that all aggregators need to obtain the operator licenses. Both Ola and Uber have taken the applications but are yet to comply with all the rules. We have asked the companies to hasten the process.”

To get an operator licenses, cab aggregators have to provide information like vehicle details, registration details and driver verification details to the RTO. According to the reports, Uber has not yet present RTO with all the details and Ola has submitted most of the information.

According to the compliance rules, Uber and Ola have to install GPS on the vehicles and its app, provide details of number of vehicles, should come in for regular inspection, agreement copies and no surge pricing. If the companies fail to comply with the rules, the licence will not be provided and making them illegal.

The karnataka’s Transport Department has seized over 60 cabs for not having license and over 200 cabs seized near surrounding areas and HSR layout. Ola and Uber already had received 2 notice to stop the operations as their license is not up to date.

Ola and Uber recently got into partnership with Kempegowda International Airport. It provides both Ola and Uber a dedicated parking area and pick-up zone ‘U Zone’ located within the premises.

Earlier government has also quashed the nascent bike taxi program operated by Uber and Ola statin the bikes were not commercial vehicles. Karnataka Government also raised issues regarding the surge pricing introduced by the cab aggregators.

According to Uber spokesperson

“We have applied for a licence under the Karnataka On Demand Transportation Technology Aggregator Rules, 2016 and the required inspection by the Transport Department was initiated yesterday. We are sharing all necessary paperwork required by the Transport Department and are awaiting our license. Meanwhile, we are in talks with the RTO regarding the ongoing enforcement drive and are hopeful of a quick resolution.”

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