Government has ordered Bermuda Taxi Radio Cabs (BTRC) to stop its taxi service.

But BTRC boss Eddie Darrell claims that the company is in the process of being sold to licensed cab operators who will take control of the business.

The order went into effect on Monday but gives the company, which has 200 cab operators and 12 staff, until the end of May to comply.

The move comes after years of disputes between the cab company and Government over the use of GPS dispatching systems.

The Public Service Vehicle Licensing Board, the body responsible for regulating the taxi industry in Bermuda, issued a statement yesterday explaining the reason for the move.

"As everyone will be aware, a few years ago Parliament made provision for the introduction of the GPS system for the purpose of dispatching taxi jobs from taxi dispatching companies to taxi drivers," the statement reads.

"This allowed for the advanced use and deployment of taxis to service the public better. The requirement to make this happen for a taxi dispatching company involved purchasing the GPS equipment, having it in working order, keeping it turned on and using the system to send jobs to the taxi fleet.

"The Board has now made a decision to suspend the permit of the Bermuda Taxi Radio Cabs limited for their failure to adhere to the requirements of a taxi dispatch company as set out in the Motor Car Act 1951 and the associated regulations."

But Mr. Darrell says he is not concerned about the order.

"The company is in the process of being sold to two parties," he said. "The lawyers are working to push the sale through before the end of May and all 200 subscribers are aware of the sale."

Mr. Darrell indicated that BTRC cab operators won't be negatively affected as long as the sale goes through before BTRC's permit expires May 31. He said the cabs will be transferred over to whichever GPS system the purchaser operates.

"They basically just want my phone number," he claimed. "That is the golden ticket. By taking BTRC's phone number they will take on all of our business. But both potential buyers have taxi licenses so if one falls through, the other will step in."