Dutch police launch criminal investigation into Uber

http://www.theguardian.com/technology/2015/apr/17/uber-dutch-police-launch-criminal-investigation

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Dutch prosecutors are launching a criminal investigation into Uber for providing an illegal taxi service following court rulings and €10,000 fines.

Uber continued to operate its UberPop peer-to-peer ride-sharing service in the Netherlands in violation of a Dutch court order which saw fines of €10,000 for every driver caught providing the UberPop service.

It is the latest setback for the taxi service, which has been banned in several European countries in recent months, and recently had its offices in Paris raided by French police.

Uber allows users to summon taxi services with smartphones while its UberPop arm links private drivers to passengers. It has gained popularity around the world since its 2010 launch but has drawn controversy over its aggressive approach when compared to traditional taxi services.

In December, a Dutch court banned UberPop on the grounds that it fell foul of licensing laws for commercial drivers. Uber is contesting the ruling.

Dutch prosecutors, who raided Uber’s offices in March, said they were starting an inquiry after police in Amsterdam caught dozens of drivers offering illegal taxi services.

“The company Uber is now a suspect,” said a statement released on Friday. “This means a preliminary examination will be started to collect evidence that Uber is providing illegal transportation on a commercial basis.”

Dutch police have fined 23 Uber drivers €1,500 for operating without a license, it said.

Uber’s service offerings differ by price and country and are called by different names in different countries. In the US, for instance, the “UberX” service is the equivalent of the UberPop service in Europe. In the UK however, UberX is the name of the lowest-priced professional service, which employs licensed minicab drivers.

The company, launched in 2009, now claims to operate in 55 countries and 250 cities. It has been valued at $40bn (£25.5bn) and has recently secured a further $1.6bn in funding from Goldman Sachs.

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