Argentine capital's government says Uber illegal, will be penalised

Ride-sharing service Uber, which has started operating in the Argentine capital, is “failing to follow regulations” and providing a service “that is illegal,” the Buenos Aires city government said.

Uber rolled out its alternative to traditional taxi service on Tuesday, prompting officials to warn that it would be subject to regulatory action like any other unauthorized activity.

“They have not submitted any documentation, we do not have any company registration to operate. Until then, they will not be in compliance with the rules and providing a transportation service that is illegal,” Buenos Aires Transportation Secretary Juan Jose Mendez told Radio del Plata.

“Buenos Aires. Your Uber is arriving! As of today at 4pm, you can call for an auto,” the ride-sharing company said in a Twitter post on Tuesday.

Uber, founded in the United States in 2009, is a mobile app that enables users to get a ride with a private driver, paying with a credit card for the trip, and offering rates that are usually lower than those of taxi cabs.

The service, which has been controversial in countries like France and Spain, where it was declared illegal, is already available in Latin America, operating in cities in Colombia, Brazil, Peru, Uruguay and Chile.