London’s public transport authority stripped Indian ride-hailing firm Ola of its London operating licence, saying that the taxi app was not “fit and proper” to carry one, having put passenger safety in danger.
Bengaluru-based Ola entered the London taxi market in February this yr. The market is dominated by rivals together with Uber, Freenow and Bolt, and conventional black cab drivers who beforehand blocked streets in protest at what they see as a menace to their livelihoods.
Transport for London (TfL) stated in an announcement that it refused to grant Ola, a Softbank-backed operator, a brand new London personal rent automobile (PHV) operator’s licence because it ”can not discover it match and correct to carry one after discovering plenty of failures that might have risked public safety”.
TfL’s choice got here days after Uber received a authorized bid to revive its London operating licence, which was taken away over safety considerations, after a decide dominated that the corporate was a match and correct operator regardless of “historical failings”.
TfL stated it had found plenty of failures in Ola’s operations, together with breaches of its licensing regime, which led to unlicensed drivers and autos enterprise greater than 1,000 passenger journeys on the platform’s behalf.
Ola was additionally accused of failing to inform Tfl of the breaches once they have been first recognized.
“Ola can continue to operate pending the outcome of any appeal process”, TfL stated, including that Ola had 21 days to enchantment in opposition to TfL’s choice.
In an emailed assertion, Ola stated it was working with TfL throughout the evaluate interval and “have sought to provide assurances and address the issues raised in an open and transparent manner”.
“Ola will take the opportunity to appeal this decision”, the corporate stated, including it might proceed to function as regular.