In Karnataka, Ola is banned for misusing license granted by government authority for running motorcycle taxis.
For six months, Karnataka authorities have banned taxi-hailing service Ola Cabs. Bike taxis are not allowed in this state but Ola was misusing its license.
“Despite many repeated warnings, Ola was continuously using license for motorcycle taxi services, so we take a decision to suspend Ola’s license for six months,’’ a senior transport department official said to reporters.
But many users in Bengaluru reported that “They are still able to book Ola Taxis through Ola App”.
In India, Uber and Tencent are the main rivals of Ola with a licence to operate its taxis from June 2016 to June 2021: local media reported.
In one of Ola’s statement, they said: “They are evaluating all the possible options to find the better solution. Despite many companies are operating illegally but we halted our bike service week ago,”
Ola has invested around $150 million in Vogo - Domestic scooter sharing in Hyderabad and Bengaluru.