I know uber is flouting regulatory laws in India but banning the company outright is definitely not the right solution. And again there is the question that how the said ban is going to be imposed. The Union Transport Ministry of India has given a statement saying banning uber doesn't make sense [1] Also, in a developing country like India, with no centralized repository of past records, it's extremely tough to do background checks. [2] It's busy to blame the system, but here the system in my opinion is more at fault than Uber. Clearly, uber provides a net value-add of hailing a taxi over traditional taxi services. Rather than banning them, a better way will be to have a digitized system where past records of a driver can be viewed and making it accessible to all taxi companies. Just strengthening regulations is not enough. There should be clear ways and benefits of operating within the regulatory framework.

[1] http://timesofindia.indiatimes.com/city/delhi/Banning-Uber-d... [2] http://fortune.com/2014/12/08/in-defense-of-uber-in-india/