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Online Car Services Face 63 Fines; Uber Violates Law in Taiwan: Transport Ministry

| Dec 22, 2014 04:27 AM EST

Uber Technology Inc.

This may not be a good month for Uber as it is facing again another controversy. The U.S.-based online car service is reportedly violating laws in Taiwan, Reuters reports.

Taiwan's Ministry of Transportation and Communications says that the company is operating in Taiwan without license, in which, violating laws in the said country.

According to reports, Uber is offering Taiwan its UberBlack service along with its UberX service.

Taiwan is aiming for a new technology for their residents to use; however, they would want to have a legitimate business operator, in which, Uber does not have. It is said that Uber is registered as an info-tech company in Taiwan, though; Transport Ministry deemed it as a company that offers transportation services, CNA reported.

Because every business has its process, MOTC required the online car services to get hold of a transport business license to replace their information services license, which is not allowed if a company is going to operate limousines or taxis.

ROC Minister of Transportation and Communications Yeh Kuang-shih said "The business model they're operating is illegal. Uber doesn't have any transportation-related service license and actually Uber is doing transportation service." Yeh added that they are working out on putting down Uber's mobile app, website and network.

Due to its legitimacy, Uber has been issued 30 tickets in fine with a hefty amount totaling to NT$2.55 million or an equivalent of $81,000. On the other hand, a total of NT$1.65 million fine is imposed for 33 penalties to the company's drivers.

Uber said on a different statement two days ago, "We are disappointed with the MOTC's statement against Uber today and are following all legal due processes with regards to the appeals."

Although, Uber may have acquired investments to the company, it still continues to be surrounded with controversies on its services from different parts of the world.

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