The ban on Rapido will be in place till January 20.
Indian bike taxi aggregator Rapido has shut down all its services in the state of Maharashtra following directives from the Bombay High Court. The order came after the company failed to disclose material facts and show a license to operate.
Rapido agreed to shut all its services by 1 pm on Friday including two-wheeler passenger service, two-wheeler parcel service, and auto service. Its mobile app within the state is also suspended. The ban on the bike taxi services provider will be in place till January 20.
The Bombay High Court was hearing the plea filed on December 29 last year by Roppen Transportation Services Private Limited, operator of Rapido, against the Maharashtra government’s refusal to grant a license to bike taxi aggregators. Appearing for the state government, advocate general Birendra Saraf, reportedly told the court that the government has not yet formulated a policy to permit bike taxis and there is no fare structure in place for the same.
A division bench of Justices GS Patel and SG Dige warned Rapido to suspend its services immediately or else the court will issue directives that will permanently prohibit the company from getting any license.
Reportedly, prosecution against other taxi service providers like Uber has also been initiated. The court has asked the state government to soon frame guidelines for bike taxis in the state.