Egypt court orders Uber to cease operations

Egypt court orders Uber and Careem to halt services

Egypt court orders Uber, Careem apps to stop operations

An administrative court in Cairo ruled Tuesday in favor of stopping the services of ride hailing applications, Uber and Careem in Egypt, reported state newspaper al-Ahram on its site. "We will appeal this decision, and continue to be available in Egypt in the meantime".

In a brief statement posted on its Facebook account, Careem said it "hasn't been notified officially to stop its operations" and was operating normally.

Taxi drivers had complained that the drivers for both services did not need to pay the hefty fees to operate transportation vehicles.

Uber and Careem representatives could not be reached immediately for comment.

Uber and Careem taxi services operating in Egypt said Tuesday that they will appeal the court order banning their services to a higher court in the country.

Egypt's investment ministry said previous year that a draft law regulating web-based transport services would provide a legal framework for companies like Uber, but did not say when that bill was likely to be passed.

Many Egyptians who complain about taxi services, including drivers who refuse to turn on their meters or their air conditioning during the summer heat, had switched to the ride sharing apps.

The case also argued that Uber and Careem have not been operating under any law regulating its practices, which has been harmful to regular taxi drivers, who, they claimed, abide by the law. Careem, based in the United Arab Emirates, is present in the Middle East and Asia.

The San Francisco-based company said a year ago it was committed to Egypt despite challenges presented by sweeping economic reforms and record inflation.

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