The Delhi high court on Tuesday set aside the Delhi government's December 8 order banning the operation of mobile app-based taxi service provider Ola Cabs in the Capital without prior approval from the transport department.
"Since the petitioner (Ola Cabs) have not been afforded any opportunity of being heard, I deem it appropriate to set aside the impugned order and direct that the petition be considered as a representation by the appropriate authority," Justice Vibhu Bakru said.
The HC also directed the authorities to take a final decision on Ola Cabs' representation within 10 days.
All app-based taxi firms were banned in Delhi recently, after a passenger was allegedly raped by a driver contracted to US-based online cab company, Uber.
The transport department had asked all the web-based service providers such as Ola Cabs, Taxi for Sure, and TaxiPixi to get fresh licences in line with the Radio Taxi Scheme, 2006.
The order had affected an estimated 10,000 taxis associated with these applications. The department had, however, allowed six radio taxi operators - Meru, Mega, Chanson, Yo, Air and Easy - to run taxi services in Delhi.
The high court's Tuesday order came after Ola Cabs filed a petition through advocate Khalid Arshad, seeking to set aside the December 8 order passed by the city government.
A Union home ministry's order on the same date had advised the city government that the operation Ola's web-based services be immediately stopped.
Ola Cabs, which have over 20 lakh users across the country, contended that unlike radio taxis they do not own the cabs which are provided to public. It submitted that the company was "only providing a technology infrastructure for availing the taxi service."
The company which has been operating in Delhi since 2012, further contended that in some cases traffic police and Delhi police have been issuing challans and impounding taxis operating on Ola software.