Bengal cracks down on illegal app-cabs, gives aggregators 7-day deadline
Synopsis
Key Takeaways
The West Bengal transport department has launched a sweeping crackdown on private vehicles — both four-wheelers and two-wheelers — operating illegally as app-based cabs without mandatory commercial registration and licences. Aggregator agencies have been given a strict seven-day deadline to identify and delist all non-compliant vehicles from their platforms.
What the New Directive Mandates
A formal notification issued by the West Bengal transport department makes it clear that only vehicles holding valid commercial licences and displaying yellow-coloured commercial number plates are permitted to operate through app-cab platforms. The directive applies to all aggregator agencies currently active in the state.
Additionally, the notification makes it compulsory for every app-cab aggregator agency to maintain a central office in West Bengal. This office must serve as the official point of contact for the state transport department and traffic police, and must also handle customer grievances. Agencies have been directed to submit the complete address of this office in writing to the department within seven days.
What Officials Said
'These new guidelines have already been sent to all the aggregator agencies. They have been directed to submit the complete address of their office in writing to the state transport department within seven days. The guidelines also make it clear that the agencies concerned are responsible for ensuring that their services comply with the Motor Vehicles Act and government regulations. Failure to follow the instructions could invite legal action,' a senior transport department official said.
The official further noted that private vehicle owners had been exploiting a registration loophole — simply downloading an aggregator app, entering their vehicle number, and accepting bookings without obtaining the required commercial permits. 'This is completely illegal. Only vehicles with valid commercial licences and yellow-coloured commercial number plates are eligible to be registered with app-cab aggregator agencies,' the official added.
Why It Matters: Passenger Risk and Revenue Losses
The department has flagged two significant consequences of allowing private vehicles to function as commercial cabs. First, passengers who encounter problems mid-ride may have no legal recourse, as aggregator agencies can — and reportedly do — disclaim liability for incidents involving vehicles that are not commercially registered. Second, the practice results in substantial revenue losses for the state government, since such vehicles bypass the commercial registration and regulatory fee requirements entirely.
The department's investigation found that the problem is particularly acute among two-wheelers, a large number of which had enrolled with multiple aggregator platforms without any commercial permits.
Tighter Monitoring Ahead
Going forward, the transport department has signalled its intent to tighten oversight of all app-based transport services in the state, placing the compliance burden squarely on aggregator agencies. Non-compliant agencies risk legal action under the Motor Vehicles Act and applicable government regulations. This crackdown is part of a broader national pattern of state governments moving to regulate the rapidly expanding gig-economy transport sector, where the pace of platform growth has repeatedly outrun regulatory frameworks.