Snapp Faces New ‘Legal’ Snag

EghtesadOnline: Iran’s Road Maintenance and Transportation Organization has filed a complaint with the judiciary against ride-hailing service Snapp.

News ID: ۷۴۳۱۲۴

01 August 2017

According to the organization’s director Davood Keshavarzian “Snapp has been illegally offering intercity transportation services,” Tasnim News Agency reported. Keshavarzian says “To offer intercity transportation services, the company must apply for a permit and special number plates should be issued for individual vehicles.” The vehicles used in Iran’s intercity transportation fleet have got to receive specialized number plates. Moreover, they have to pay additional fees to IRMTO. He is of the opinion that Snapp and other ride-hailing services should not be allowed to enter the market since they will undermine the work of cabbies  currently active in the sector. The official made an unusual statement castigating the fast expanding ride-hailing services as being  “against national interest.” Since their initial launch ride-hailing services have faced several hurdles imposed by the traditional cab companies plus state and private bodies. However, so far, the likes of Snapp and Tap30 have not retreated and are becoming more popular with commuters in Tehran and some other big cities, Financial Tribune reported.