Ride-sharing companies Ola, Uber and Rapido have been hit hard as the Delhi government announced yesterday asking them to immediately stop their bike taxi services.

On February 20, the Delhi Transport Department emphasised that using two-wheelers with non-traffic (private) registration numbers for hire to carry passengers is a commercial practice in contravention of the Motor Vehicle Act 1988.

Violation of these regulations will be punished with a fine of Rs 5,000 for the first violation and a fine of Rs 10,000 and imprisonment for the second or subsequent violations. In addition, the driver’s license will be suspended for at least three years.

The notice also announced that the digital platforms responsible for supporting this campaign (Ola, Uber and Rapido apps) would be fined Rs 1 lakh under the Motor Vehicle Act, 1988.

Yesterday, the transport department warned bike taxis against driving on Delhi’s roads.

It comes weeks after the Supreme Court denied relief to Rapido, a bicycle, taxi and car service provider. The company challenged the Bombay High Court’s ruling ordering them to immediately cease operations in Maharashtra as they were operating without a legal license.

The company only launched its Mumbai operations in October 2022. Rapido, Ola and Uber have all stopped offering bike taxi services in Maharashtra after months of legal wrangling.