Chandigarh, Aug. 11 -- The UT administration has suspended the licence of Indsystems IT Private Limited, which operates the inDrive cab hailing service, for six months with immediate effect, citing repeated violations of the Motor Vehicles Aggregators Rules, 2025, and failure to comply with directions issued by the state transport authority (STA). The suspension order was issued by STA Nitish Singla on Tuesday under Rule 17 of the aggregators rules. The move comes nearly two months after the administration suspended the licence of Ola, another cab aggregator, over the same issue. The move is likely to affect nearly one lakh city residents who hail cab services on a daily basis. According to a rough estimate, there are nearly 30,000 cab drivers in tricity, out of which a majority -- nearly 20,000 -- operate through the inDrive app. "The preference for inDrive is due to its provision of letting passengers and drivers mutually decide the fare for each ride through the app," a cab driver said. According to the STA order, the administration received several complaints from cab drivers alleging that inDrive was not complying with mandatory provisions of the aggregator rules, including health insurance, term insurance, driver training and implementation of notified fare structures. The company was first asked in July 2025 to comply with the new rules and submit a compliance report. A reminder was also issued in August 2025. The response submitted by the company in October 2025 was however found "not satisfactory" and not in accordance with the provisions of the rules. The firm reportedly submitted another reply on November 7, 2025, but this too was found to be unsatisfactory. The order further stated that during inspections of the company's Chandigarh office on May 1, May 8 and May 19, 2026, the committee reported that the premises had "one room measuring 8 ft x 8 ft, four chairs, one table, one computer, no employee and no infrastructure". The administration termed this a violation of the provisions requiring aggregators to maintain adequate operational infrastructure. The order noted that while inDrive claimed in its submissions that health insurance coverage was being provided to driver partners, it failed to furnish documentary evidence regarding health and term insurance coverage as required under the rules. The company was also asked to provide a category-wise list of attached vehicles, but officials said the required information was not submitted. The administration directed all vehicle owners and drivers attached to the inDrive platform to immediately stop operating under the company inChandigarh. They have also been instructed not to accept ride bookings through the inDrive application, failing which strict legal action will be initiated. Officials warned that vehicles found operating in violation of the order will be challaned and impounded. The general public has also been advised not to book rides through the inDrive app during the suspension period to avoid inconvenience. Commuters have been urged to use alternative aggregator platforms registered with the Chandigarh transportdepartment....