Bombay High Court rejects Rapido's plea over plying bike-taxi in Pune

Bombay High Court has rejected a petition by bike-taxi aggregator Rapido against Pune RTO's refusal to grant it a license for plying two and three-wheelers taxis

The Bombay High Court on Friday rejected a petition by the bike-taxi aggregator Roppen Transportation Services Pvt Ltd (Rapido), against the refusal from Pune Regional Transport Office (RTO) for a license to ply two- and- three-wheeler taxis, reported LiveLaw.

According to the report, the bike-taxi aggregator was asked to suspend its operations in Maharashtra by the Bombay HC after it was discovered that it did not have a license to operate from the state government.

Rapido's plea has been rejected on "no merit" grounds. The bench of justice hearing the plea pointed out that there are contradictions in Rapido's stand. While on the one hand, it is saying that a license cannot be rejected on the ground of the absence of state policy on two-wheelers, on the other hand, it cites the absence of a state policy for non-compliance with the Motor Vehicle Aggregator's Guidelines 2020 issued by the central government.

"It is difficult to see how both arguments can exist. When non-compliance is pointed out, the absence of guidelines is cited...we do not understand how an aggregator can lay claim to operating without a license and against the guidelines...It is also not right to say that the rejection was solely on the lack of policy. The order would have to be seen with its notings," the Bench observed.

The court also added that the Centre's Motor Vehicle Aggregator Guidelines 2020 may not apply to the state as the state is allowed to make its own rules and the aggregator cannot thus assume it has permission to ply.