The Delhi High Court on Monday put on hold the trial court proceedings against Uber India in respect of challaning and impounding of vehicles operating under its banner, by the AAP government for alleged violation of licence conditions.
Justice A K Pathak issued the direction on the pleas of Uber India President Amit Jain and General Manager North Gagan Bhatia, who were directed by the magisterial court to appear before it.
They were also aggrieved by the lower court's August 19 decision that it will frame notice against them on the next date of hearing on September 23.
The high court, however, stayed the magisterial court proceedings till February 23, 2018 by when the transport department of Delhi government has been asked to file their response to the pleas of the two Uber India officials.
The application seeking stay of the trial court proceedings was moved in the main plea filed by them against the transport department's action of challaning and impounding vehicles operating under the Uber banner.
Senior advocate Rajiv Nayar, appearing for the Uber India officials, said the department could not have issued the challans or impounded the vehicles as the Delhi High Court had allowed the company to operate as a cab aggregator till the Motor Vehicle Act was amended to regulate them.
He said the amendment of the Act has been approved by the Lok Sabha and was awaiting approval of the Rajya Sabha, when the action by the transport department was taken.
A transport department official, who was present in the court, submitted that after the high court allowed the cab aggregators like Uber and Ola to function till a law is framed and no challans have been issued.