Uber, global taxi-hailing giant has been penalized with $7.3m in California over its failure to provide enough information about its service and operations to the regulators or it will lose operating license for not complying with laws in its home state.
Uber, San Francisco-based global taxi sharing company has been fined for $7.3m by a court in California for failing to provide the reports required by the regulatory body, California Public Utilities Commission. The company has an app that allows passengers to call the drivers in the area and they have fares which is comparative lesser than those of traditional taxis.
The judge has accused the company of withholding the details on incidents such as causes of accidents, provision of access to disabled passengers and places where drivers tend to turn down ride requests. The company defended itself by stating that it has given enough information to the commission.
Uber has suffered a huge blow from other incidences around the world over its operations. Its services in US cities such as Portland, Oregon have been suspended after a disagreement with the city, whereas it has been banned in countries like Germany and Italy over the unlicensed taxi drivers.
After the verdict, the firm found the decision deeply disappointing and said that it would appeal against the decision. They have up to 30 days to appeal before its licence to operate in California is suspended. The process of appealing can run into several months and then only decision regarding the fine and suspension can be enforced.