Rapido vs Delhi govt: SC stays permission for 2-wheeler taxi in Delhi

The Supreme Court on Monday stayed the Delhi High Court order that allowed taxi aggregators Rapido and Uber to continue operations until the Delhi government’s finalisation of a policy.

The SC bench was hearing two pleas filed by the Delhi government against the Delhi HC order that allowed bike-taxi aggregators, Rapido and Uber, to operate in the national capital till the final policy was notified by the government on plying of two-wheeler non-transport vehicles.

On June 9 the Supreme Court had sought the Centre’s views on the Delhi government’s plea challenging the Delhi High Court order.

On May 26, the AAP government had challenged in the HC order asking it not to take any coercive action against the bike-taxi aggregators ill the final policy was notified.

In February, the Delhi Transport Department had issued a public notice to stop bike taxi services immediately till they get a commercial permit.

Roppen Transportation Services Private Limited, which runs Rapido, had filed a petition in the Delhi HC saying that the Delhi government order directing it to immediately stop plying non-transport two-wheelers from carrying passengers on hire-and-reward or for commercial purposes was passed without any reason or rationale.

Rapido also challenged a show-cause notice issued to it by the Delhi government calling it a violation of various fundamental and constitutional rights and has been passed in violation of the principles of natural justice.

Rapido had argued that the city government’s conduct was not aligned with the intent and object of the Centre regarding the issuance of licences to aggregators under the Motor Vehicles Act, read with the Motor Vehicle Aggregator Guidelines, 2020 (MoRTH Guidelines).

“MoRTH Guidelines expressly allowed vehicle pooling in non-transport vehicles in furtherance of the central and state governments’ objective of reducing traffic congestion and automobile pollution and achieving effective asset utilisation unless the state government prohibits it,” the plea said.