Rogue ride sharing company Uber has challenged in court the legality of an undercover sting by Victoria's taxi industry regulator, in which 11 of its drivers were snared by Taxi Services Commission officers posing as customers.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
A criminal test case in the Melbourne Magistrates Court resumed on Monday as the taxi watchdog sought to bring California-based hire car company Uber to heel over its refusal to abide by Victorian taxi regulations.
The 11 drivers have each been charged with operating a commercial passenger vehicle without a licence from the Taxi Services Commission, and face fines of up to $7500.
The alleged offences took place between May 28 and August 27 last year in Melbourne's CBD, Southbank and Geelong.
The drivers were providing the controversial UberX ride-share service, in which members of the public use private vehicles as hire cars, connecting with customers via an app. The test case is due to hear charges against one of the 11 drivers, Nathan Brenner, of Caulfield North.
Uber also operates the legal hire car service Uber Black, with drivers and vehicles that have been accredited by the TSC.
Defence barrister Peter Haag challenged the sting operation's legitimacy, disputing the "admissibility of evidence on the grounds of illegality" during Monday's hearing.
The case was adjourned by Magistrate Peter Power for a four-day hearing on July 14, because it was deemed unlikely it would have been fully heard within two days.
At issue is Uber's refusal to obtain hire car licences for its drivers' vehicles. The licences attract a $40,000 fee.
Graeme Samuel, chair of the Taxi Services Commission, is expected to give evidence during the hearing.
Mr Samuel, a vocal advocate for competition in business, has previously said government attempts to penalise UberX are pointless because the service is popular with the public.
However, the commission wants Uber to accredit its drivers so it can perform criminal checks, and their vehicles so the system is fair to conventional taxi and hire car operators.
UberX is likely to come under further pressure from hostile industry voices when an industry forum called by Public Transport Minister Jacinta Allan meets for the first time on April 27.
The industry has called for Uber to be forced to comply with local regulations or be banned.
"More attention needs to be paid to the fact that the Victorian taxi industry is not rallying against competition, but rather the illegal and ethical behaviour of particular competitors," Victorian Taxi Association chief executive David Samuel wrote this month on the industry group's website.
