The Supreme Court has ordered a probe into the alleged abuse of dominance and anti-competitive practices by popular taxi-hailing app operator Uber India Systems. It also requested the director general to complete investigation within six months.
The Court found sufficient material to order an investigation into allegations against Uber, which intentionally was losing as much as Rs 200 (US$2.79) per ride, offering cheap rides to customers and heavy incentives to drivers.
Meru Cab’s complaint was that Uber allegedly resorted to many abusive practices with the sole intent to establish its monopoly and eliminate otherwise equally efficient competitors.
The radio taxi service provider had alleged that Uber was intentionally suffering losses on the rides on its application, pricing them below cost to gain customers and directly or indirectly forcing cab drivers to remain exclusively on its platform, thus indulging in anti-competitive practices.
Full Content: Indian Express, Business Today
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