InDrive, Maxim risk losing licences over non-compliance

New Straits Times

a day ago

ALOR STAR: E-hailing companies Maxim and InDrive may have their licences cancelled if they fail to ensure their drivers comply with key requirements, particularly those involving the E-Hailing Vehicle Permit (EVP).
Transport Minister Anthony Loke said the ministry took a serious view of offences committed by both companies for allowing drivers to operate without the mandatory EVP, a key condition under the operator's licence.
He said it was the operators' first offence and that they have submitted appeals seeking time to rectify the matter.
"They have been given a monitoring period under the law.
"Any licensed operator can appeal to the ministry, and we will consider their appeal.
"There are improvements and corrective steps the companies must take, and we can see they have begun doing so.
"Normally, for a first offence, we allow room for improvements and correction.
"But if they continue to violate the terms, only then will we suspend or revoke their licences," he told reporters after launching the Stage Bus Service Transformation Programme (SBTP) for Kota Setar (Bas.My Kota Setar) here today.
Loke said the Land Public Transport Agency (APAD) had earlier recommended revoking the companies' licences for violating EVP requirements.
However, he said certain considerations were taken into account, including the fact that many drivers use both applications, and the high number of users in some states.
"This is their first offence operating without an EVP, which is serious, and I do not take it lightly.
"That's why APAD proposed the cancellation.
"But they have appealed, and we've taken into consideration that there are drivers on both apps, and that they provide alternatives for the public, especially in states where their services are widely used.
"If we were to shut them down immediately without giving them a chance to improve, users might face difficulties and start lodging other complaints," he said.
As such, both companies have been placed under a three-month monitoring period.
If they are found to commit further violations during this time, action will be taken to revoke their licences.
"For any licensed company, we allow them to rectify first offences. But if the violations persist, I issue a stern warning that their licences will be revoked.
"That's why we're giving them three months to comply.
"If they breach the conditions again during this time, we will revoke the licences," he said.
In a statement last Wednesday, APAD said Maxim and InDrive had been allowed to continue operating but were placed under a three-month monitoring period to ensure compliance with service requirements.
An audit found that both companies had failed to meet several operator conditions, particularly in relation to the EVP, prompting the issuance of a notice of cancellation.