Bengaluru: Ola, Rapido, and Uber will stop all bike taxis in Karnataka starting Monday, June 16, following a court order. The Karnataka High Court refused to pause an earlier ruling that suspended bike taxis across the state.
A division bench led by Acting Chief Justice Kameswar Rao said the ban must stay in place until the matter is discussed fully in court. The final hearing is scheduled for June 24, and both the state government and the ride-hailing companies must present their arguments before then.
No Policy, No Relief
The companies had asked the court to allow operations while the case is under review. However, the judges refused interim relief, pointing out that the state has no plan to introduce any bike taxi policy. The bench added that if the government had shown interest in creating such a policy, temporary relief might have been possible.
The current suspension is based on a ruling from April 2, which gave companies six weeks to halt their services. That deadline was first set for May 14, then extended to June 15. Now, the ban becomes fully active from June 16.
Dispute Over Rules
Ride-hailing firms argue that in the absence of state-level rules, central government guidelines under the Motor Vehicles Act should apply. However, the Karnataka government replied that the Centre’s guidelines are only advisory and not legally binding unless officially adopted by the state.
The court emphasized that without rules framed under Section 93 of the Motor Vehicles Act, bike taxis cannot legally operate. Therefore, until proper regulations are created, all such services must stop across Karnataka.
Job Loss Concerns
Rapido said the ban could impact over 600,000 riders, many of whom rely on the platform as their main source of income. The company said its Bengaluru riders earn around Rs 35,000 per month, and collectively, the firm has paid Rs 700 crore to riders and over Rs 100 crore in GST in recent years.
The IT industry body Nasscom also urged the Karnataka government to reconsider the ban. It warned of large-scale livelihood loss and said the bike taxi ecosystem supports students, women, and gig workers who depend on flexible earnings.
Nasscom asked for a consultative policy-making process and highlighted Karnataka’s role as a tech innovation hub. Until then, the bike taxi sector faces an uncertain future as companies, workers, and commuters wait for clarity.
