LAHORE (Autolook News) – After their massive success in Pakistan’s major cities, online taxi-hailing services Uber, Careem and A-One have been declared illegal by the Punjab Transport Department.
The Ministry of Transport issued a notification to PTA to ban the Uber and Careem apps immediately.
In a notice issued, Secretary of Punjab Provincial Transport Authority said these companies are offering cab services through mobile network technology without registering the private cars with any regulatory body and without obtaining fitness certificates and route permits of the cars, causing great loss to the government.
The notice further stated that Uber and Careem cars are registered in private capacity, and being utilized on commercial basis, which is a violation of Section 2 (5), (20), Section 39 and Section 44 of Motor Vehicles Ordinance, 1965 as well as policy under Rent-A-Car Service of the Punjab PTA.
The authorities concerned have been directed to initiate prompt legal action against ‘illegal cab services in Lahore’ for security of general public as well as for the recovery of the government revenue.
US-based ride-hailing service Uber Technologies Inc was launched in Pakistan in March last year.
Uber’s Pakistan launch was part of a $250 million drive into central Asia, the Middle East and North Africa.
Uber, currently valued at over $50 billion, has expanded more quickly globally than any company in history and is operating in 300 cities in over 60 countries
Careem operates in the Pakistani cities of Lahore, Islamabad and Karachi.