March 23rd, 2016
The competition between the two biggest taxi-hailing companies Uber and Ola takes a new turn on Tuesday when the former accused Ola of adopting fraudulent practices causing huge losses to its local rival. Uber has told Delhi High Court that Ola has created over 90,000 fake accounts on Uber app and they are booking cabs and cancelling them later. For this, Uber has sought a compensation of Rs 50 crore in damages for losses.
OLA hits back
However, Ola has denied the charges made against them. They claim this to be Uber’s media gimmick. Uber calculated a total loss of Rs 496,164,780. They also claim that Ola has created a total of 93,859 fake accounts. The Delhi High Court has given Ola four weeks to submit a detailed response though the court has listed the next hearing in September.
While Ola is India’s third-most valuable start-up with a value of $5 billion, Uber is the world’s most valuable start-up.
The Logical Indian will notify our community members on any developments in this case as and when it happens.