ZipGo, the mobile-based bus shuttle service startup, has suspended its operations in Bangalore citing reason of “harassment” by transport authorities, reports Economic Times. The report further states that the authority has seized 200 vehicles of the company.
The company had announced the same by sending an email to its customers. In the email, the company also pleaded for help, stating that the regional transport office (RTO) has developed a “severe dislike” towards ZipGo and it asked customers to show support for the company by sending emails to the authority.
Jitendra Sharma, CEO of the company, said that they have also launched an online petition change.org. He further stated that:
We received thousands of emails within 24 hours, with people saying our services are good and that the company should be supported by the government.
We really need a solution. When a startup or business is trying to address a social problem, we need support from the government. The policy has to meet ground reality .The government should walk the talk to help homegrown startups.
The transport authorities have termed the company as “illegal”. Narendra Holkar, Joint Commissioner told that ZipGo is neither licensed by the transport department nor the industries and commerce department. He said:
The company used contract carriage buses (Tempo Travellers) as stage carriage, which is a pure violation. In Bengaluru, only BMTC is permitted to ply stage-wise.
Ramegowda, Commissioner, Transport and Road Safety said,
The startup is operating illegally and needs to to obtain a permit, a stage carriage permit but won’t get it here because it’s the same functional area as the BMTC.
ZipGo was founded by Pritesh Gupta, Neeraj Paliwal, Gaurav Agarwal, and Jitender Sharma around six months ago. It provides comfortable, convenient, reliable, safe and affordable urban transportation option for the masses.
Zipgo’s email to the customers stated:
So, if you feel that ZipGo has made a positive difference in your everyday life, or that the government should promote entrepreneurship, or that the RTO needs to stop its high-handed approach, or that the RTO should engage in constructive dialogues with technology start-ups to find solutions rather than trying to shut down every transportation start-up, you should send a mail.
This is not the first time the startups had to shut down its operations. In December last year, online shuttle services Shuttl and Ola Shuttle suspended their operations in Gurgaon for not having correct permits for operating shuttle services.