DTA Rejects Uber, Ola & TaxiForSure Radio Taxi License Due To Gaps In Their Applications!
The Delhi Transport department seems to have deferred approval of Licenses applied by Uber, Ola and TaxiForSure citing gaps in the applications filled by these cab hiring apps.
According to Business Standard report, the applications of these providers are either incomplete or lack various undertakings mentioned in the application. The Delhi Transport Authority has sent “deficiency memos” to these firms on January 24th.
Problem With Uber Application
Uber has changed it’s business model in Delhi NCR so that they could be a Radio cab operator. However, for that to possible, they need a local office. According to BS, Uber has formed a subsidiary, Resource Expert India, but the new company formed has not declared that they will be providing public transport and they might have to go back to Registrar of Companies to state the correct objective.
Uber’s application also had other issues – they did not give undertaking for parking, their telephone number, email address and even address of proof for the registered office is missing. They have also not stated details of their 24X7 call centre details.
In short, for Uber to get the license to start operations, they have to correct many things, including coming up with a call-center which obviously is going to take lot of time. However fast they are able to get everything together, it seems that it will be atleast a month more before Uber can start back their operations.
Problem with TaxiForSure & Ola Applications.
The Business Standard report does not mention the details, however, it seems that TaxiForSure which had made application through their subsidiary Serendipity Infolabs has even more problems and their application had most deficiencies of all!
On the other hand, Ola had just one gap in their application and they are in the best position right now to start their radio taxi operations immediately.
Ola buying TaxiForSure? Latter May not need to Apply
Online Media has been abuzz that Ola Cabs may buy TaxiForSure for as much as $200 million. While there has been no official announcement, if this happens, TaxiForSure fleet can probably start operations under licenses acquired by Ola. This may also be the reason why TaxiForSure may not be too serious about providing all the details of application to Delhi authorities.
We are trying to get more details and will update this story as soon as we have more clarity on this!