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Why Magic Sewa filed a petition against Ola & Uber for surge pricing

Rakesh Agarwal, CEO of Magic Sewa, an online aggregator of cabs in Delhi-NCR, told MediaNama in a phone conversation that app-based taxi fares were dropping (more in point 1), the number of vehicles on the road was increasing, but demand was not increasing in that proportion. Despite this, surge pricing was being used frequently, with a higher margin and proportion, Agarwal added. This led Agarwal to file a petition against app based cab aggregators which were violating the Section 67 of the Motor Vehicles Act (MVA), 1988, by implementing surge pricing. The Delhi High Court's hearing (Case number W.P.(C)  3114/2016) is awaited. MediaNama has a copy of the petition which states that the 'unlawful practices (surge pricing etc.)' adversely affected the livelihood of Magic Sewa employees and that the company’s survival was at stake. The petition adds that a Magic Sewa employee also lodged 3…

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I'm a MediaNama alumna from 2015-16 (remember TinyOwl?) now back to cover e-services like food and grocery delivery, app based transport and policies, platforms and media in India.

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

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