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Non-payment of entry fee: Chandigarh admn slaps show-case notices on Uber, Ola

By, Chandigarh
May 03, 2022 04:03 AM IST

The entry fee is to be paid by Uber and Ola taxis, which are registered in Punjab and Haryana, when they enter Chandigarh

{Non-payment of entry fee}

Uber and Ola were granted aggregator licence to operate taxi services in Chandigarh under UT’s On-Demand Transportation Technology Aggregators Rules, 2017. (HT File Photo)
Uber and Ola were granted aggregator licence to operate taxi services in Chandigarh under UT’s On-Demand Transportation Technology Aggregators Rules, 2017. (HT File Photo)

The State Transport Authority (STA) has served show-cause notices on taxi aggregators Uber and Ola for non-payment of entry fee worth 1.34 crore despite reminders.

The entry fee is to be paid by their taxis, which are registered in Punjab and Haryana, when they enter Chandigarh.

Uber and Ola were granted aggregator licence to operate taxi services in Chandigarh under UT’s On-Demand Transportation Technology Aggregators Rules, 2017.

As provided under Rule 6 (2), the companies are liable to pay 1,000 fee per quarter per vehicle in respect of vehicles registered in Punjab and Haryana, and carrying all-India tourist permit.

The show-cause notice by STA read, “Your company has only deposited the dues (entry fee) of a few vehicles up to March 31, 2022, attached with your company as per the list provided by you from time to time and balance amount remains undeposited.”

The dues came to light after an audit of the STA Office in January 2022.

“As communicated by the office of Principal Director of Audit (Central), an audit para has been made by the audit team regarding non-realisation of entry fee amounting to 1.34 crore under the Aggregators Rules and stated therein that the aggregator licence holders had not deposited the entry fees of the vehicles registered with the states of Punjab and Haryana attached to their companies for 2020-21,” said an STA official.

STA has asked the companies to show cause as to why licence granted under the Aggregators Rules should not be suspended/cancelled and the bank guarantee deposited by them not forfeited in favour of the government.

The firms have been told to reply within 15 days from the date of receipt of the notice, failing which action as deemed fit will be initiated against them.

Bone of contention since 2018

The STA has been demanding entry fee from the aggregators and cab drivers allied to them since 2018, while both have been putting the onus on the other to pay the dues.

In an attempt to collect the entry fee dues, the STA had launched a major drive in February this year, wherein not only penalties were imposed on drivers for non-payment of entry fees, but their vehicles were also impounded.

After the drive, the cab drivers went on a one-day strike in April. Notably, after a similar drive in 2020, the cab drivers had gone on a 12-day strike, paralysing people’s movement in the tricity.

Vikram Singh Pundir, coordinator of the Tricity Cab and Auto United Federation, said, “It is a matter of constant harassment for us and passengers. We are stopped at the border and asked to show papers showing payment of entry fee. Passengers either have to leave the cab or wait for the STA officials to give us clearance to enter Chandigarh from Mohali and Panchkula. The problem aggravates as most cabs moving in tricity are registered in Punjab and Haryana.”

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