Countries are clamping down on the popular taxi-hailing app Uber after a passenger in India accused a driver she had booked through the service of raping her.
The Indian government on Tuesday launched an investigation and banned all taxi-hailing apps, the Wall Street Journal reported.
Also on Tuesday, Thailand stopped the operation of all app-based taxi service operators who use personal vehicles to serve passengers, the newspaper said.
In Spain, a Spanish judge suspended Uber’s operations nationwide after licensed cabbies launched protests against the ride-sharing service.
The global setbacks came after Uber raised US$1.2 billion from venture capitalists last week, giving it a valuation of US$41.2 billion, the report said.
The company plans to use the new money to hire new staff, attract more drivers, and subsidize prices in some of the 250 cities around the world where it operates.
But the fast-expanding service has encountered several roadblocks along the way.
In the Netherlands, a court earlier this week banned one of its car-hailing services. The company is facing similar court cases in Germany, France and Belgium.
Even in the United States, the San Francisco-based company is facing legal challenges. A judge in Nevada issued an injunction against Uber after taxi companies accused it of unfair competition.
And on Monday the city government of Portland, Oregon, ordered it to suspend operations and filed a lawsuit accusing the startup of operating with permits.
The legal challenges could raise doubts among investors about how the five-year-old company could pursue its expansion plans, according to the newspaper.
In India, Uber’s largest market outside the US where it operates in 11 cities, the federal government ordered the company and other tax-hailing apps to stop operations following the rape complaint.
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