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Business News/ News / India/  Delhi transport dept warns bike taxis against plying in national capital
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Delhi transport dept warns bike taxis against plying in national capital

The use of two-wheelers for commercial purposes is in violation of the Motor Vehicles Act, 1988.

The driver will also lose their licence for three months under the circumstances. (Image for representation)Premium
The driver will also lose their licence for three months under the circumstances. (Image for representation)

The Delhi transport department has cautioned bike taxis against plying on the roads of the national capital, warning that it is a violation of the Motor Vehicles Act, 1988, that would make aggregators liable for a fine of 1 lakh.

The use of two-wheelers for commercial purposes is in violation of the Motor Vehicles Act, 1988. The first offence could lead to a fine of 5,000 while a second offence could incur a 10,000 fine and imprisonment of up to a year, the department said in a public notice.

The driver will also lose their licence for three months under the circumstances. The notice said some app-based companies are portraying themselves as aggregators in violation of the 1988 act. This will be punishable with a fine of 1 lakh.

Earlier this month, the Supreme Court refused to grant relief to bike taxi aggregator Rapido against the Maharashtra government's refusal to grant licence to it.

It had noted that amendments made to the Motor Vehicles Act in 2019 made it clear that aggregators cannot operate without a valid licence. A bench of Chief Justice D Y Chandrachud and Justices P S Narasimha and J B Pardiwala noted that Pune's Regional Transport Office had rejected its plea for licence on December 21.

The bench said Roppen Transportation Services Private Limited (Rapido) can challenge the state government's January 19 notification which prohibited the use of "non-transport vehicle" from car pooling in Bombay High Court. It stated that the validity of the RTO's December order would stand subsumed by the subsequent wider decision of the state government.

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This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.

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Published: 20 Feb 2023, 10:05 AM IST
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