Indian state open for talks with Uber rival Ola over ban

The southern Indian state of Karnataka kept the door open on Saturday to talks with local ride-hailing service Ola to avoid a ban that could help rival Uber build market share.

Karnataka earlier this week issued a notice to suspend Ola's license for six months for violating government rules by running motorcycle taxis which are not allowed for safety reasons. State capital and technology hub Bengaluru is among Ola's top three markets in India.

VP Ikkeri, state commissioner for transport and road safety, told reporters the department had seized and issued fines for about 258 bikes during a probe after complaints.

Ola's permit, obtained in 2017 and valid to 2021, allows it to run three and four-wheeler taxis in Karnataka. The company, backed by SoftBank Group Corp and Tencent Holdings Ltd, has until Monday to respond to the suspension notice.