Rapido suspends operations in state after HC intervention

Mumbai: Shortly after the Bombay high court refused to grant any interim relief, Roppen Transport, which operates bike taxi aggregator Rapido, discontinued its operations in the state from Friday afternoon

Mumbai: Shortly after the Bombay high court refused to grant any interim relief, Roppen Transport, which operates bike taxi aggregator Rapido, discontinued its operations in the state from Friday afternoon.

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The HC refusal came after the state government informed the court that there was no policy in place to allow bike taxi services in the state and hence such services could not be permitted without a proper licence.

The division bench of justice G S Patel and justice S G Dige was hearing an application by the bike taxi aggregator when it was informed by advocate general Birendra Saraf for the state that as the services were being provided without proper licence, the state had initiated the process of blocking the portion of their mobile apps that offered the bike taxi services.

The bench was told that there were guidelines for bike-based delivery service, based on which licences were issued to them, however, in the absence of such guidelines, the bike taxi services were not permissible.

The AG further submitted that the aggregator had applied for a licence knowing very well that it was a requirement, but was still running the services without licence, and hence they should give an undertaking that if they want the petition to be decided by the HC, they will stop the service till the state government takes a decision.

Saraf also informed the court that the state government had formed a committee for bike taxis and also initiated proceedings to restrict such services.

When the bench sought to know from the petitioner whether licenced bike taxi services were being offered in other places, the petitioners’ lawyer replied that it was so in Bihar and Madhya Pradesh. The HC then asked about the conditions on which the licences were issued in those states to which the counsel sought time to furnish details.

The counsel also informed the bench that the special leave petition before the Supreme Court with regards to bike taxi services was coming up for hearing on January 20 and hence requested adjournment of the hearing.

However, the bench insisted that the services be stopped till proper licences were issued, to which the counsel informed the bench that services would be discontinued from 1pm (Friday) onwards, which the court accepted.

In its order, the court noted that all services provided by the aggregator, including delivery and auto rickshaw services across the state, which were not licenced, but had applied for the same, would remain suspended till January 20.