On March 21, Heetch Morocco seized the Competition Council about Careem to denounce a case of “Unfair Competition”, arguments and legal elements to support.
Present since 2017 in Casablanca, Heetch Morocco seized last week the Competition Council, chaired by Driss Guerraoui, for unfair competition. And this, against MM Networks, entity developing in Morocco the activities of the company Careem Networks FZ LCC based in Dubai.
Supporting his complaint of legal evidence against him, Heetch Morocco presented a list of what it considers to be “breaches of the law” and “fraudulent practices in the areas of public transport and tourism” by MM Networks and Careem Networks FZ LCC that “distorts competition” says Heetch.
Established in 2017, Heetch Morocco has developed the Fiddek brand, allowing the connection of licensed taxi drivers and private individuals. Users thus use a known means of transport, while enjoying a saving of time related to the search and waiting for a taxi. The result of a collaboration with the UMT and the taxi unions, this activity has also obtained the approval of the Wilaya of Casablanca, making Geetch, the only approved application in Morocco in this area.
Heetch accuses Careem of linking “unprofessional and unauthorized drivers with customers”. Called in a few cases “captains” or “ambassadors”, these drivers are generally “undeclared employees or, in the majority, informal providers who do not meet any legal requirement, among which the obligation to obtain approval and authorization”, denounces Heetch.
“The use of undeclared personnel offers the advantage of not having to pay any costs related to the management of people, particularly at the level of the tax and social administrations and to discharge any responsibility towards the customers, since in case of accident, the only responsible remains the driver”, adds a release of the startup. And to point out a “distortion of competition and an illegal practice of transport, both harmful to consumers”.
“By carrying out a regulated activity through drivers who do not perform any authorization or authorization, these Application monopolize market shares that are normally reserved for actors complying with the legislation in this area, including the regulation of charges. consequential,” the statement added.
Heech even says that Careem’s ambitions in news releases – 100,000 jobs – will be at the expense of 90,000 legal taxi drivers.
“The number of users will not double. It’s the same people who will take a taxi or some other illegal means of transport,” said Hicham Amadi, chairman of the Heetch Morocco Board of Directors.
Sadik Boujaera, Deputy Secretary General of the National Union of Taxis of the UMT goes in the same direction: “We support and we join this referral. Moroccan law should apply to everyone. This service should protect the interests of both the taxi driver and the consumer.”
“Attack on the country’s economy, prejudice to legal competition, competitive advantages” … the list of charges is long. For its part, Careem, which has just been bought by Uber, has not yet reacted. Psychological warfare is just beginning.