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Top Uber executives to go on trial in France

Uber France and two of its bosses will go on trial in September over the company's allegedly "illegal" ride-booking practices, prosecutors said on Tuesday, after violent protests by taxi drivers against the app.

Top Uber executives to go on trial in France
Thibaud Simphal, General Director of Uber France, posing at Uber French headquarters in Paris. Photo: AFP

Uber France, its director general Thibaud Simphal and director for Western Europe Pierre-Dimitri Gore-Coty are being charged with “misleading commercial practices, complicity in the illegal exercise of the taxi profession and illegal use of private data”, the Paris prosecutor's office said in a statement.

The two Uber bosses handed themselves in to police on Monday for questioning in relation to a probe launched in 2014 of the San Francisco-based company.

The investigation is targeting the UberPOP service offered by the company, in which clients are put in touch with cheaper, unlicensed drivers who are generally everyday people trying to make a bit of extra money.

The service has raised the hackles of cabbies around Europe who complain of unfair competition from drivers who do not face the same regulations as they do, and undercut their pricing.

UberPOP has been illegal in France since January, but the law has proved difficult to enforce and it continues to operate.

A taxi strike in France last week turned violent as drivers set fire to vehicles and blocked highways, creating a headache for thousands of tourists.

The French investigation is also targeting the casual UberPOP drivers for “illegally exercising the taxi profession”, the prosecutor's statement said.

One UberPOP driver in France has already been given a 15-day suspended prison sentence while 79 other cases are under way.

A total of 202 fines have been handed out.

The Uber managers will appear in court on September 30.

The taxi strike in France last week saw some 3,000 cabbies block access to the capital's Charles De Gaulle and Orly airports.

Ten people were arrested, seven police officers were injured and 70 vehicles were damaged in clashes between Uber drivers and taxi drivers.

And on at least two occasions in Strasbourg in eastern France last week, taxi drivers posed as customers in order to lure Uber drivers to isolated spots where they were assaulted by cabbies and their vehicles damaged.

Uber, which offers several types of ride-sharing services, claims to have 400,000 users of its low-cost UberPOP service in France.

Uber has become one of the world's most valuable startups, worth an estimated $50 billion (€44.5 billion), as it has expanded to more than 50 countries.

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Uber poised for Swiss expansion

Long plagued by legal issues and driver shortages, ride sharing service Uber is set to expand into more of Switzerland’s French-speaking towns.

Uber poised for Swiss expansion
Photo by Humphrey Muleba on Unsplash

Long plagued by legal issues and driver shortages, ride sharing service Uber is set to expand into more of Switzerland’s French-speaking towns. 

The ride sharing service announced on Wednesday it would expand into the predominantly French-speaking towns of Fribourg, Sion and Yverdon. 

A spokesman for the American service told Swiss media outlet Watson the expansion was fuelled by demand. 

In Sion and Fribourg, while rides can be booked via the app, they will be carried out by taxis in order to comply with local regulations. 

“Our launch will enable taxi drivers to increase the use of their vehicles, win new customers and thus generate more sales thanks to our technology,” said Jean-Pascal Aribot, Director of Uber Switzerland. 

Uber currently operates freely in the German-speaking cities of Basel, Bern, Lucerne, Winterthur and Zurich. 

Legal issues and driver shortages

Uber’s expansion in Switzerland has been slower than in some neighbouring countries.  

Drivers have complained that Switzerland’s high cost of living makes it more difficult to make ends meet, while the company has also been plagued by frequent legal issues. 

The service is currently banned in Geneva due to concerns about payments for drivers, although the ban has been suspended regarding an appeal. 

Geneva classifies Uber as an employer, meaning that drivers should be entitled to benefits including paid holidays, sick leave and pensions. 

The company disputes this and says its drivers are independent contractors. 

In February, voters in Zurich approved a plan to place more restrictions on Uber in the canton. 

The new restrictions include that drivers need to register with cantonal authorities and place obvious signs on their vehicles to distinguish them from regular cars.

The vote, which took place only in the canton of Zurich as part of the February 9 round of referendums, sought to bring regulation for Uber and other ride-sharing services in line with taxis and other limousine services. 

A total of 51.6 percent of voters approved the initiative, while 42.4 percent were opposed. 

The initiative also ‘cantonalised’ taxi regulation, meaning that the municipalities of Zurich will no longer set conditions for taxi companies. Unlike previously, taxis are now allowed to use ranks anywhere in the canton. 

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