Punjab Transport Department declares Uber, Careem illegal
Authorities say that these services are causing great loss to the government.
LAHORE (Dunya 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.
In a notice issued on January 27th, 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.
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On the other hand, Sindh government has also issued notice to the cab-hailing companies in Karachi.
Speaking to Dunya News, Sindh Transport Minister Nasir Shah clarified that the provincial government has not imposed ban on these services, however, a notice has been issued to fulfill all the legal requirements.
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.
Launched in Dubai in 2012 by Sheikha and fellow McKinsey & Co alumni Magnus Olsson, Careem has a fleet of 90,000-plus drivers and more than four million users registered through its mobile app in different countries.
