App-based cab aggregator Ola cannot run taxis and autos in Karnataka for the next six months, the state transport department has said in a notification. The licence has been suspended for "operating bike taxis" without permission, which were already banned in the state since the last one year.
OLA CABS OFFICIAL STATEMENT
"Ola is a law-abiding company that has always worked with the Government to develop livelihoods, improve mobility, and enable a new technology industry. We are evaluating all options to find an amicable solution wherein hundreds of thousands of driver-partners in the state of Karnataka can continue to work and serve the mobility needs of our citizens.
"We have been closely working with the authorities on this topic, responding to queries and making proactive representations to the ministry. Despite other companies continuing to operate illegally, Ola halted our bike taxi experiment weeks ago, instead seeking the state's cooperation to develop a legal framework for a pilot that will continue to take advantage of emerging opportunities in the mobility economy.
"This notification is unfortunate, and we look forward to an opportunity to address these concerns directly with state officials to find a solution for our driver-partners and millions of Ola users in Karnataka."
AGGREGATOR
Government of Karnataka's Transport Department explains, "Aggregator means a person who is an aggregator or operator or an intermediary/market place who canvasses or solicits or facilitates passengers for travel by taxi and who connects the passenger/intending passenger to a driver of a taxi through phone calls, internet, web-based services or GPS/GPRS based services whether or not any fare, fee, commission, brokerage or other charges are collected for providing such services."