The Karnataka high court has ordered ANI Technologies, the parent company of OLA Cabs, to compensate a woman with Rs five lakh following an alleged incident of sexual harassment by one of their drivers in 2019. The decision was handed down by Justice M G S Kamal.
The court also directed OLA’s Internal Complaints Committee (ICC) to conduct a proper inquiry according to the Sexual Harassment of Women at Workplace (Prevention, Prohibition, and Redressal) Act, 2013 (POSH Act). The inquiry must be completed within 90 days, and a report submitted to the district officer.
Moreover, ANI Technologies has been instructed to pay Rs 50,000 for the petitioner’s litigation expenses. The court emphasised adherence to Section 16 of the POSH Act, which guarantees confidentiality of the identities involved.
The petitioner initially took her complaint to OLA, but the company’s ICC, based on external legal advice, declined to investigate, citing a lack of jurisdiction. The woman then approached the High Court, seeking an order for OLA to investigate her complaint and calling on the Ministry of Women and Child Development to ensure the company’s adherence to POSH guidelines. She also sought protective regulations for women and children using taxi services.
The Karnataka State Road Safety Authority was also directed to expedite proceedings related to the notice issued to ANI Technologies, with a completion deadline of 90 days. The state government has been ordered to pay a penalty of Rs one lakh for its inadequate response to the petition.
During the proceedings, the petitioner’s counsel argued that OLA is a transport company and should be responsible for its drivers’ actions. Conversely, OLA’s counsel claimed the drivers are independent contractors and not employees, thus exempting the company from liability under labor laws.