Ola, Uber told to get licence under new rule

The Transport department has turned the heat on Ola and Uber asking them to “strictly not operate with immediate effect” for failing to obtain a licence to provide cab services in the state.

Though the two aggregators have applied for licences, they have not submitted the mandatory documents. Earlier, the department had penalised only cab owners when they continued to ply. Now, the department will register cases against aggregators if they do not heed the notice. In an effort to ban surge charges and also to ensure better safety measures for cab users, the government made it mandatory for aggregators to get a licence under the new rule, Karnataka On-Demand Transportation Technology Aggregators Rules, 2016, that came into effect on April 2.

Commissioner for Transport and Road Safety, Dr Ramegowda, said aggregators applied for licences without furnishing mandatory details like fleet strength, whether GPS and panic buttons are installed in cabs, bank guarantee and a copy of the agreement entered between aggregators and cab owners.

On Monday, Ramegowda signed the notice copies. The notice did not seek any clarification from them but instead just asked them to stop the service with immediate effect. “If they fail to heed the notice, then serious action will be taken directly against them,” said Ramegowda.

Despite following procedures, giving them a fair chance to raise objections on the new rule and putting the revised rule in public domain, the aggregators don’t seem to be serious in getting a licence, he said. They are undeterred despite a crackdown on their cabs.

Joint Commissioner for Transport (Bangalore Urban & Rural), Narendra L Holker, said earlier cab owners were penalised for violation of permit conditions.

Because of this, aggregators did not feel the heat. Now, cases such as cheating by drivers and violation of transport rules will be registered against aggregators if they do not heed the notice.

An official in the department told Deccan Herald this move would make the aggregators turn up with mandatory documents immediately and also prevent cab owners from paying fines as aggregators will be held responsible hereafter.