New Delhi rejects license applications of taxi firms Uber, Ola

US-based ride-sharing company Uber and its local rival Ola's licence applications has been rejected by the Delhi government, according to Reuters.

The licence application of Taxiforsure has also been rejected.

The Delhi government had issued a notice to unregistered web-based cab services to stop its operations after a cabbie working for Uber was accused of rape. But instead of following the orders of the government, Uber and Ola were running its cab service in the state while waiting for its license application to get approval.

The government in March had sternly said that the licence applications of the cab companies will not be processed if they continue to operate in the state capital. And the government kept its word on Wednesday by rejecting the licence applications of these web-based cab companies.

The Delhi transport authority on Wednesday rejected the applications on grounds that the three cab companies had not heeded to the ban imposed in December.

Transport official S. Biswas Roy told Reuters that these companies now have to resubmit new licence applications.

Uber has said the license rejection was unfortunate. But Uber has said it will file a fresh application for the same, reported by NDTV.

Officials of Ola have declined to comment on the issue. Ola is by backed by Japan's SoftBank Corp.

Earlier this week, Telegraph reported that another Uber driver was accused of sexually harassing a 21-year-old woman in Delhi.

Uber has appointed Delhi and Stanford-educated Amit Jain as its first India president to head the company's operations in India.

The web-based cab service provider Uber has been facing legal battle in a number of countries. The company mainly has been accused of not thoroughly checking credentials of its drivers, which has led to crimes against women.