US-based taxi-hailing service Uber has accused its Indian competitor Ola of crippling its operations by creating fake accounts on its platform, resulting in heavy losses.
Uber has dragged Ola to Delhi high court complaining that Ola’s employees have created over 9o,ooo false rider accounts on Uber’s app by giving fake names, email IDs and phone numbers.
Ola has denied the allegations in court, terming it as ‘frivolous and false’.
In a statement issued in response, Ola said they “can only speculate that this is a counter to the contempt proceedings pending against Uber in this Hon’ble High Court. It is not beyond our imagination that this is an effort to divert attention from the current realities of the market where Uber has faced major setbacks including the recent incidents of Uber vehicles being seized by the Government authorities. We stand by our contempt petition that Uber has added and plying new diesel vehicles within Delhi in willful and deliberate defiance of the local rules and regulations.”
Ola was referring to the contempt petition it filed in the Delhi high court earlier alleging that Uber had been buying new diesel cabs to provide services, which violated the court’s October 14, 2015 order which had instructed cab services to shift to compressed natural gas (CNG).
Interestingly, Uber in 2014 was accused by US-based ridesharing service Lyft of ordering and cancelling about 5,560 rides on its platform cutting into profits and driver availability.
The development comes in the wake of the heightened rivalry between the two cab aggregators with Uber’s President of Business in Asia Eric Alexander even proclaiming last week to beat Ola in the next 30 days.
Uber’s petition will next be heard on 14 September.