Karnataka Transport Department after seizing Ola now looks to seize operation of Bike Taxi startup Rapido

Key Highlights

Karnataka Transport Department seizes operations of bike taxi service Rapido in Bangalore.

170 Rapido bike-taxis have been seized from operations by the department as of April 5.

Transport Department steps forward to take a legal step against Rapido.

After ceasing operations of Ola in Karnataka Transport Department has now put its eyes on app-based bike taxi service Rapido for operating in the city illegally. ET report also cited the matter that Transport Department officials are also in the move to file a police complaint against the company.

A week before Transport Department had also fined Ola with Rs 15 Lakh for running bike taxis illegally. Post this matter Ola has perished its service and has given fine to Transport Department but the department has still not assigned a license to Ola due which it has petitioned the Karnataka High Court against the State Transport Department for nonissuance of a license to operate two – wheeler taxis.

According to Gnanendra Kumar, joint commissioner (Enforcement), approx 170 Rapido bike-taxis have been seized from operations by the department as of Friday (April 5).

The transport department is also thinking to impose a fine on Rapido as it did in the case of Ola. Citing Narendra Holkar, additional commissioner of transport, the report added that notices have been issued to Rapido directing them to cease its bike taxi services immediately. But Rapido directive didn’t have a satisfactory response so the department is forwarding to take a legal step to clarify that company at any cost seizes its bike services.

In February, the state transport department had warned both Ola and Rapido to cease its bike taxi services immediately. Drivers Association and Ola TaxiForSure Uber (OTU) Owners has also requested the government to cease bike taxi services of the duo adding that the service is also breaching the Motor Vehicle Act which mentions that vehicle with white plates cannot be used for commercial purposes. Transport Department has to take these major steps because according to a July 2018 report, the city had lost 3,250 human lives in road accidents in four years. The report also added that motorcycle accidents were also enhancing in the city.

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