Authorities have ordered GrabBike and UberMoto, smartphone-based motorcycle taxi services, to stop operating due to violations of public transport regulations.
Department of Land Transport (DLT) deputy chief Nanthapong Cherdchoo issued the order after meeting a representative from UberMoto Tuesday.
The phone apps for both services were removed and no longer available at either the Google Play Store or Apple Store by Tuesday night.
The DLT invited representatives of both operators to the meeting but only one from UberMoto attended.
The UberMoto representative said he would discuss the issue with the company's executives in Singapore, claiming the firm had not been aware that its service violated the law.
The meeting was also attended by Col Kanthachai Prachuab-aree, deputy commander of the 1st Division, King's Guard, and representatives from the Metropolitan Police Bureau (MPB) and Bangkok Metropolitan Administration.
The agencies have worked closely to wipe out illegitimate transport operators and standardise public transport, said Col Kanthachai.
"This will be the last discussion with both service operators. After this, they will face stringent legal action if they breach the law."
He said the DLT earlier ordered the operators to stop their services but said they had continued to operate illegally.
"Each week, authorities arrest about 20 motorcycle taxis which work with GrabBike and UberMoto," he said.
Authorities are in the process of shutting down both companies' mobile apps which allow customers to request rides and apply to work as drivers.
Col Kanthachai said the services were considered illicit and a risk to national security as they instigated conflicts between both companies' drivers and legally registered motorcycle taxis.
The firms also failed to pay taxes in line with the law and their businesses stole jobs from Thais, he said.
He added that the service providers and their drivers did not register with the DLT, posing a danger to passengers. Their operations were also unfair to some 100,000 motorcycle taxi drivers who operate legally.
Col Kanthachai said the department was prepared to launch a smartphone-based motorcycle taxi application.
Information including the mobile phone numbers of registered motorcycle drivers will be available on the app allowing customers to contact them directly.
Under the existing law, those found to use private vehicles to provide public service for passengers face a fine of up to 2,000 baht and drivers who fail to dress in line with DLT regulations or lack a proper licence faces fines of up to 1,000 baht.