KUALA LUMPUR – Russian-founded e-hailing operator Maxim has been ordered to cease operations in Malaysia by July 24, after the Land Public Transport Agency (Apad) found the company operating without the required e-Hailing Vehicle Permit (EVP), Scoop has learnt.
A source familiar with the matter told Scoop that Apad had issued a letter notifying Maxim that its Intermediation Business Licence (IBL) had been revoked following a meeting of the agency’s Licensing Suspension and Termination Committee on April 21.
The decision was made after the company was found in violation of licensing conditions under the Land Public Transport Act 2010 (Act 715).
It is understood that Maxim had failed to ensure that all vehicles under its platform were operating with valid EVPs, a fundamental condition under its IBL.
The source revealed that this constituted a breach of Section 12D(1)(a) of the Act, which empowers the agency to cancel the licence of any operator found to be in violation of its terms.
In wake of this, Maxim has also been instructed to return the original IBL to any Apad regional office within 14 days from the effective date of termination.
This means that from July 24 onwards, it will be prohibited from operating any service involving vehicles registered under the revoked licence.
This latest action comes just a week after a report on a similar enforcement action that was taken against another Russian-headquartered platform, inDrive.
The company was also given a three-month notice to return its IBL after being cited for multiple regulatory violations, including failure to ensure its drivers had valid Public Service Vehicle (PSV) and EVP licences.
Both companies had previously received several show-cause letters, with enforcement operations in various locations uncovering drivers operating without proper documentation. In Maxim’s case, prior breaches were recorded as early as 2023 during spot checks in Putrajaya and Kuantan.
Scoop had reached out to Transport Minister Anthony Loke last week regarding the status of companies like inDrive, but he deferred the matter to Apad.
However, responding to Scoop, Apad confirmed that the agency had issued a termination notice to ride-hailing app inDrive for flouting guidelines, effective July 24, 2025.
The agency said the Letter of Revocation of IBL to ID Applications Sdn Bhd (inDrive) was issued on April 24 for failing to adhere to licensing conditions and the Land Public Transport Act 2010 (Act 715).
However, Apad noted that inDrive can appeal through the agency to raise the matter for the Transport Ministry’s consideration.
“The government takes seriously any infringement of IBL conditions and will take stern actions, including terminating the IBL.
“Therefore, all IBL holders are reminded to ensure their operational service quality remains at a satisfactory level and adheres to all legal provisions that are in effect,” the agency emphasised.
On May 6, the Malaysian P-Hailing Riders Association (Penghantar) criticised Apad for allegedly allowing firms like inDrive and Maxim to operate despite licence breaches, safety risks, and driver non-compliance. It urged stricter enforcement, including app bans and a firm government stance to protect gig workers and passengers.
The IBL is a mandatory requirement for all e-hailing operators in Malaysia. Any failure to comply with its conditions may result in suspension or termination, effectively barring the operator from providing ride-hailing services in the country.
Maxim, which began operating in Malaysia in the late 2010s, is the second major Russian e-hailing firm to face regulatory action this year. – May 8, 2025.