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Allegations of Unlicensed Bike Taxi Operations is Outside Competition Law Jurisdiction: CCI

Case Law Details

TaxGuru Citation
2026 taxguru.in 3738
Case Name
Vedansh Pandey Vs Roppen Transportation Services Private Limited (Competition Commission of India)
Date of Judgement/Order
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Vedansh Pandey Vs Roppen Transportation Services Private Limited (Competition Commission of India)

The information was filed by the Informant under Section 19(1)(a) of the Competition Act, 2002 alleging contravention of Sections 3 and 4 of the Act by the Opposite Party (OP), a platform providing app-based two-wheeler transportation and logistics services. The Informant, who operates a licensed aggregator platform under applicable state transport rules, claimed that the OP engaged in practices that were unlawful and anti-competitive.

The Informant alleged that a covert audit conducted between 21.07.2025 and 24.07.2025 in certain locations revealed that motorcycles used on the OP’s platform had private (white plate) registrations instead of commercial (yellow plate) registrations, lacked contract carriage permits, and did not carry commercial insurance. It was further alleged that informal payments were made to enforcement officials to avoid penalties. The Informant also claimed that the OP facilitated identity/account sharing, off-app cash transactions, and operated a hub-and-spoke model encouraging use of unlicensed vehicles.

According to the Informant, these practices allowed the OP to reduce operational costs and offer fares lower than compliant operators. It was alleged that the OP’s cost advantage resulted in fare undercutting by 15–30%, leading to diversion of customers and drivers from the Informant’s platform. The Informant claimed to have suffered financial loss and a significant reduction in active drivers.

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Author Info

CA Sandeep Kanoi
Qualification: CA in Job / Business
Company: Taxguru Consultancy
Location: Mumbai, Maharashtra
Articles Published: 20,899

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