Ola Banned in Bengaluru For Licence Violation

Karnataka has banned taxi-hailing service Ola Cabs for six months for violating government rules by running motorcycle taxis.

ola cabs

Ola was misusing the license granted by the authorities. Bike taxis are not allowed in Karnataka according to government policy.



Several users in Bengaluru reported that they were still able to book an auto-rickshaw or taxi through Ola's app.

Ola, backed by SoftBank Group Corp and Tencent Holdings Ltd and Uber's main rival in India, has a licence to operate taxis in the state from June 2016 to June 19, 2021, local media reported.

Other companies continuing to operate illegally, we halted our bike taxi experiment weeks ago," Ola said, adding it had sought the state's cooperation to develop a legal framework for a pilot.

Ola has invested $100 million in Vogo, a domestic scooter sharing start-up that provides services in Bengaluru and Hyderabad.

Rapido, another motorcycle taxi operator, operates in cities such as Karnataka's capital Bengaluru and Hyderabad. It was not clear what licence Rapido uses to operate in Karnataka. 

 

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