Bike taxi service Rapido is going through roadblocks. After receiving flak from Karnataka’s government for running bike taxi, now Tamil Nadu government has taken stringent action against such players by banning their operations in the state.
Reinstating the order of the state government and administration, Madras High Court has banned the operations of Rapido in Tamil Nadu. The court also asked state machinery to formulate regulations for bike taxis in the next four months.
The order passed by Justice G. Jayachandran stated that Rapido shall make clear to the customers and subscribers on their website that their service will not be available within the State of Tamil Nadu, till the Regulations by the State Government is put into operation and has requested the Apple Incorporation and Google to activate their platform for their “Rapido-Mobile App” to them.
The court order is also in possession of Entrackr.
Earlier, Regional Transport Office had issued a show-cause notice to Rapido on July 12, asking for an explanation, why action should not be initiated against them for violating Section 66 of the Motor Vehicles Act, for misusing two-wheelers as transport vehicles.
Several Rapido bike-taxis from Chennai, Coimbatore, Madurai, and Tiruchi have been seized by the Regional Transport officials and it is also expected to levy a fine on the Bengaluru-based company.
Responding to Entrackr query, “The government understood the need for this and Regulatory framework is going to come in 4 months and will be working closely with the government to help them form it,” said Aravind Sanka, Co-Founder, and CEO Rapido.
It’s worth noting that commissioner of Police, Cyber Crime Cell had asked Google and Apple to ban the application in the state and Rapido app has been taken down by Apple across the country. Google also likely to withdraw the app on similar lines.
Service model used by Rapido is objected by the certain sections of the public and already a Writ Petition is filed by one K.G. Thangavel and it is pending before this court order.
Government of Tamil Nadu is not permitting using of two-wheelers as a transport vehicle and there is a proposal in the Government to bring the rule to regulate such aggregators in the state.