Bengaluru, June 13 (UNI) In a significant setback to bike taxi operators in Karnataka, the High Court on Friday declined to stay a single-judge order directing a complete halt to bike taxi services across the State.

The division bench reasoned that the government's stated policy decision not to permit such operations left no room for judicial interference at this stage.

A bench comprising Acting Chief Justice V Kameswar Rao and Justice Sreenivas Harish Kumar took up the appeals filed by ANI Technologies Pvt Ltd (operating Ola) and Uber, challenging an April 2 order by Justice B Shyam Prasad that had directed all bike taxi operations to be shut down within six weeks.

While the deadline was extended till June 15 to allow operators to wind down services, the Division Bench on Friday refused to grant any interim relief, stating that it would hear the matter on merits on June 24.

The court made it clear that if the state had merely indicated a delay in framing rules, a stay could have been considered. However, given that the government had taken a firm policy stance against allowing bike taxis, the Bench was disinclined to intervene.

"The court is conscious that this matter concerns livelihoods and public interest," the judges observed, even as they issued notice to the State government and sought its written submissions by June 20.

Senior advocate Dhyan Chinnappa, representing the appellants, argued that two-wheelers qualify as “motor cabs” under the Motor Vehicles Act, 1988, and could operate as taxis under the existing framework.

"I think no new rules are required. The Central government permits two-wheelers to be used as transport vehicles. This is recognised by the single judge. Four-wheelers operate on the basis of state rules — the same should apply to two-wheelers," Chinnappa submitted.

However, Advocate General Shashi Kiran Shetty pushed back sharply, asserting that for five years, bike taxis had been operating without valid permits under interim protection from earlier court orders. "By virtue of court order, they can't run," he insisted. “That’s the problem,” he retorted, when Chinnappa pointed out that the services had been operational for four years.

On April 2, the single judge had ruled that bike taxi services could not continue in Karnataka unless the state introduced a specific policy to govern them. A six-week deadline was set, expiring in mid-May. After further petitions, the deadline was extended to June 15.

Now, with no stay granted and the state’s intent clearly against permitting the services, bike taxi operations must cease immediately unless a major shift occurs during the June 24 hearing.

The outcome of that hearing could have sweeping implications for urban mobility, gig economy workers, and regulatory clarity in India’s transport sector.

UNI BDN PRS