The vehicle-hailing service 'Tada' recently received a final acquittal from the Supreme Court on charges of illegal business operations, leading the prosecution to decide not to indict other companies providing similar services.


The Criminal Division 5 of the Seoul Central District Prosecutors' Office (Chief Prosecutor Choi Woo-young) announced on the 16th that it had decided not to indict the corporations and operators of the ride-sharing service platforms 'Papa' and 'Kkeullimyeontara' the previous day.

[Image source=Yonhap News]

[Image source=Yonhap News]

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Papa was referred to prosecution in March 2020, and Kkeullimyeontara in October of the same year, on charges of violating the Passenger Transport Service Act. They are mobility companies providing services similar to Tada, offering van rentals including driver arrangements through smartphone apps.


A prosecution official stated, "In Tada's case, it was judged to be a matter requiring the Supreme Court's decision, and after considering social and institutional changes comprehensively, similar cases are being handled accordingly," adding, "It was determined that these services do not fall under the 'paid passenger transport by car rental operators' prohibited by law."



Meanwhile, the Supreme Court's Third Division (Presiding Justice Oh Seok-jun) on the 1st confirmed the original acquittal verdict for former Socar CEO Lee Jae-woong and former VCNC CEO Park Jae-wook, who operated Tada. The prosecution had considered Tada's service as 'illegal call taxi operations' prohibited under the former Passenger Transport Service Act, but the Supreme Court viewed it as a 'service that integrates communication technology into a legally permitted existing business model.' However, during the trial, the Passenger Transport Service Act amendment, commonly known as the 'Tada Ban Law,' was enacted, prohibiting the continuation of the same type of business under the new law.


This content was produced with the assistance of AI translation services.

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