Forty UberX Drivers In NSW Have Been Issued Suspension Notices

An illustration picture shows the logo of car-sharing service app Uber on a smartphone next to the picture of an official German taxi sign in Frankfurt, September 15, 2014. A Frankfurt high court will hold a hearing on a recent lawsuit brought against Uberpop by Taxi Deutschland on Tuesday.  San Francisco-based Uber, which allows users to summon taxi-like services on their smartphones, offers two main services, Uber, its classic low-cost, limousine pick-up service, and Uberpop, a newer ride-sharing service, which connects private drivers to passengers - an established practice in Germany that nonetheless operates in a legal grey area of rules governing commercial transportation. The company has faced regulatory scrutiny and court injunctions from its early days, even as it has expanded rapidly into roughly 150 cities around the world.   REUTERS/Kai Pfaffenbach (GERMANY - Tags: BUSINESS EMPLOYMENT CRIME LAW TRANSPORT)
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The NSW Roads and Maritime department are cracking down on UberX drivers, with director of safety and compliance Peter Wells announcing the government has issued 40 vehicle suspensions to Sydney Uber drivers.

The suspensions, which take effect from midnight on Wednesday, means the cars cannot be driven on NSW roads for three months. Suspended vehicles found on the road after the 1st of October will risk penalties of $637 for each offence, increasing to around $2,200 if heard in court.

“Thousands of dollars in fines have already been issued to drivers offering illegal ride-sharing activities and compliance actions will continue,” Wells said. “If drivers continue to offer illegal ride-sharing services – they will continue to risk registration suspensions and fines.”

An Uber spokesperson said it appeared the 40 drivers had not been shown “due process” and the company was reviewing the legal options to challenge the suspensions.

The crack down comes after consumer advocacy group CHOICE released a study claiming that Sydney taxis are 40 per cent more expensive than UberX.

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