Rapido to suspend all services in Maharashtra

Rapido to suspend all services in Maharashtra

The ​​bike-taxi aggregator has agreed to shut all its services by 1 pm today. A prohibition has been implemented on various transportation services, including motorcycle and scooter passenger service, parcel delivery by motorcycle, and auto-service. 

This ban will remain in effect until January 20th.

The Bombay High Court has ordered Rapido, a bike-taxi aggregator, to suspend all its operations in Maharashtra. This decision was made as the company had not revealed important information, such as the fact that it lacks a valid license and has been conducting business illegally.

The bike-taxi company has decided to stop all its operations by 1 pm today, this will affect their 2-wheeler passenger service, 2-wheeler parcel service and auto service. The ban will be in effect until January 20th. The Bombay High Court has criticized the government of Maharashtra for not having a clear policy on allowing bike-taxi services in the state, and has ordered them to make a definite decision.

The court was examining a legal complaint submitted by Roppen Transportation Services Private Limited, the company that runs Rapido bike taxi services in Pune and Mumbai. The complaint is against a notice issued by the state government on December 29, 2022, denying them a license to operate as a bike taxi aggregator. 

The state government stated in their letter that there was no official guideline or framework in place for granting licenses to bike taxi companies, and no established fare structure policy.

The Justices Gautam Patel and S G Dige of a division bench issued a warning to Roppen Transportation Services Private Limited (Rapido) that it must suspend its bike taxi services immediately or face permanent prohibition from obtaining any licenses from the state authorities. The court emphasized that without a proper license, the company cannot operate in an unregulated manner.

The Advocate General, Birendra Saraf, stated in court that the company's petition should only be considered once they have ceased their illegal operations. 

"They can't come to this court while running the services illegally,” he said.

According to Saraf, a committee has been established by the government to investigate the matter and create regulations for motorcycle taxis.

“We are also in the process of issuing prohibition and initiating prosecution against entities which are operating bike taxis without licence,” Advocate General Saraf added.