Taxi aggregators such as Ola and Uber came up with ridesharing services to offer cheaper rides to customers. Starting today, these services – OlaShare and UberPool – will be illegal.
The Karnataka State Transport Department had asked cab aggregators to withdraw these services and were given a deadline of three days.
MK Aiyappa, the Commissioner for Transport and Road Safety told ET: "The cab aggregators collect fare for ride-sharing services, which is against the permit conditions. We are, however, not against carpooling by private car-owners as far as it does not involve exchange of money."
Aiyappa had said that cab aggregators did not submit a memorandum asking to modify the Karnataka Motor Vehicle Rules for ride-sharing in the contract carriage permit in the last three days.
He also said that if any driver, be it Ola or Uber, is found continuing ridesharing services, strict action will be taken against them.
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