A bench headed by Chief Justice D.Y. Chandrachud said the amendments made to the Motor Vehicles Act in 2019 clearly state that without a valid licence, as aggregator cannot operate.
The bench, also comprising justices P.S. Narasimha and J.B. Pardiwala, noted that the Pune RTO had rejected the company's plea for licence in December 2022.
Rapido moved the apex court against the Bombay High Court's order, which declined to entertain its plea against the state government's refusal to grant a two-wheeler bike taxi aggregator licence to the company.
The top court granted liberty to the company to move the high court to challenge the January 19 notification issued by Maharashtra, and also asked the high court to examine it is uninfluenced by the earlier order.
The state government had said there was no policy on licensing of bike taxis and there was no fare structure policy. It contended before the high court that a committee has been constituted to consider developing guidelines for bike taxis in the state.
The high court had directed the company to suspend the services immediately, noting that it was operating without procuring a licence from the Maharashtra government.
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