Uber and its Indian rival Ola have suspended their motorbike taxi
services in India less than two weeks after launching the pilot
projects, authorities said Tuesday March 15,2016 after they were found operating
without approval.
Both start-ups kicked off their two-wheeler services within hours of each other in the traffic-clogged southern city of Bangalore on March 3, 2016 hoping to grab a greater share of India's ultra-competitive ride-hailing market.
But transport authorities in Karnataka state, of which Bangalore is the capital, said neither had sought regulatory approval ahead of the launch.
"They were operating illegally in the city," Bangalore-based state commissioner for transport and road safety, Ramegowda, who goes by one name.
"They hadn't obtained proper licences or permits to offer such services. Once they do, they can (operate)," he said, without giving any further details.
Both start-ups kicked off their two-wheeler services within hours of each other in the traffic-clogged southern city of Bangalore on March 3, 2016 hoping to grab a greater share of India's ultra-competitive ride-hailing market.
But transport authorities in Karnataka state, of which Bangalore is the capital, said neither had sought regulatory approval ahead of the launch.
"They were operating illegally in the city," Bangalore-based state commissioner for transport and road safety, Ramegowda, who goes by one name.
"They hadn't obtained proper licences or permits to offer such services. Once they do, they can (operate)," he said, without giving any further details.
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