BENGALURU: App-based cab aggregator Ola has been banned for six months in Karnataka for operating bike taxis in violation of licence conditions and flouting government rules.
The Bengaluru-based company termed the notification ‘unfortunate’ and said it would evaluate all options to find an amicable solution.
Ola did not give a satisfactory answer as to how it had launched bike-taxi services in the city recently without a licence, officials of the transport department said.
“The dept. summoned ANI Technologies Pvt Ltd to demand a clarification within seven days on 5th March. However, the submission of the aggregator was not justified and satisfactory, under which the existing licence of the app-based aggregator will be suspended for a period of six months and suspension of operations with immediate effect,” the suspension order said.
Earlier this year, transport officials cracked down on companies operating bike-taxis. While the government has expressed interest in framing rules governing bike taxis, there has been no development so far.