Yellow Cab Scheme: Delivery of only 400 of 5,000 taxis finalised

Punjab government has finalised the delivery of only 400 cabs instead of the 5,000 winners originally scheduled to get a cab till mid December.

As a result, the Punjab government has finalised the delivery of only 400 cabs instead of the 5,000 winners originally scheduled to get a cab till mid December.

Out of these, 100 each were distributed in Lahore Multan and Dera Ghazi Khan.

Further delivery has also been halted until credentials of the remaining ‘lucky winners’ are verified.

“The Punjab government has not yet decided whether to take legal action against those who submitted fake documents,” a senior official of the Transport Department requesting anonymity said. He said that the government was not sure whether to hold another draw from among the pool of those candidates who have already applied or to invite fresh applications.

The original plan had been to deliver 20,000 cabs by June 2012, but now it seems that the project will be delayed by a year, the official said.  In the 2011-12 budget, the government had allocated Rs4.5 billion to launch the Yellow Cab Scheme for unemployed youth of the province. Out of 12,000, 8000 taxis were to be distributed among candidates belonging to South Punjab.

The total outlay of the scheme was calculated to be Rs10.5 billion, out of which 20 per cent had to be deposited by the applicants as down payment. The Punjab government said it would pay Rs4.5 billion. The Bank of Punjab would provide the remaining amount as a loan, at the Karachi interbank loan rate plus 2.5 per cent. The Punjab government will bear the interest while the drivers will pay the loan in instalments.

The government allocated a quota to every district according to its population. Lahore is to receive the largest number of vehicles, 1,627, while Hafizabad has the least, 191 cabs. According to the criteria set by the government, a matriculate, between 21-35 years, who is unemployed and has a valid car/Light Transport Vehicle licence can apply for the scheme. The candidates should not have a criminal record or be a loan defaulter.

More than 50,000 candidates applied. Balloting was completed on September 10, after which 20,000 applicants were selected. The Transport Department gave a 15-day training to those selected.

Meanwhile, it was decided to verify the particulars (age, domiciles, driving licences, no defaulter document) from the concerned authorities to make the scheme foolproof. During verification of particulars, it was found 30 of lucky drivers had provided bogus driving licences, fake domiciles, age certifications and many were found bank defaulters.

Published in The Express Tribune, December 11^th, 2011.