Karnataka Transport Department officials say they have been issuing strict warnings against the use of personal vehicles with white plates for commercial hire, an activity reserved for yellow-board vehicles. | Photo Credit: BHAGYA PRAKASH K.

Bengaluru cab drivers allege illegal use of private vehicles for commercial purposes

Yellow-board vehicle operators say that private cars operating without the necessary commercial permits sidestep regulations, avoid fees, and don’t adhere to the same safety standards they are required to meet. 

by · The Hindu

In Bengaluru, the rise in private vehicles with white number plates being used for commercial purposes has sparked concerns among licensed taxi and cab drivers, who argue that this illegal practice threatens their livelihoods and disrupts fair competition.

Yellow-board vehicle operators say that private cars operating without the necessary commercial permits sidestep regulations, avoid fees, and don’t adhere to the same safety standards they are required to meet. This, they argue, not only creates an unfair business environment but also compromises passenger safety.

“White-board vehicles aren’t subject to the same checks that we go through. We invest in permits, pay government taxes, and keep our vehicles up to commercial standards. When private cars enter the market without these responsibilities, it’s the legitimate drivers who suffer,” said Mukund Kumar, a cab driver with over a decade of experience.

Another driver, Suresh Naik, said, “The income from driving a cab is already tight. Now, with white-board vehicles flooding the market, we’re earning even less because they don’t have to pay what we do. It’s not just illegal — it’s hurting our families.”

Violation of transport laws

Meanwhile, the Karnataka Transport Department officials said they have been issuing strict warnings against the use of personal vehicles with white plates for commercial hire, an activity reserved for yellow-board vehicles. Officials have clarified that any private vehicle caught operating commercially will be seized, and both the vehicle owner and the operator will face legal consequences.

“We have received numerous complaints about these violations. We are committed to taking strict action. Investigations will be conducted, and cases filed against those involved,” a senior transport department official said.

The Transport Department has formed 10 dedicated squads to monitor and curb the illegal practice across Bengaluru. Over the past year, the department has filed multiple cases against white-board vehicles operating as taxis, and officials stress that enforcement measures will continue to intensify.

Attempt to avoid inter-state taxes

Officials estimate that Karnataka has around five lakh yellow-board vehicles, all of which are subject to government taxes and regulatory requirements. By contrast, private vehicles with white plates avoid these costs, giving them an unfair edge in the market, especially as they are exempt from inter-state taxes that apply to commercial vehicles.

Explaining the implications of this tax disparity, another Transport Department official said, “Many travellers prefer white-board vehicles when heading out of Karnataka because they don’t incur inter-state taxes. However, using white-board cars as taxis is a significant violation of transport laws, which strictly differentiate between private and commercial use.”

The official added, “Commercial vehicles undergo rigorous inspections, pay higher taxes, and meet stringent safety standards. These measures are in place to ensure passenger safety and fair competition. Allowing white-board vehicles to operate illegally bypasses this legal framework, affecting both safety and the livelihoods of legitimate operators.”

Published - November 06, 2024 02:20 pm IST