(Yicai Global) Feb. 15 -- Singapore's Land Transport Authority has suspended Ofo's business license in the country after the Chinese bike sharer failed to comply with local regulations.

Ofo operator Beijing Bikelock Technology did not activate a compulsory local parking system using quick-response codes, or QR codes, within the required time period, Singaporean newspaper Lianhe Zaobao reported today. Ofo's local app has been unusable since yesterday, it added.

Ofo's China team did not respond to requests for comment, the report said, adding that Ofo has already dismissed its local operations team.

The LTA set up an island-wide parking system using QR codes in September to force bike-sharing users to leave bikes in designated areas and avoid clogging up streets. The authority ordered Ofo last month to begin using the system by Feb. 13, and reduce its cycle count to 10,000, or risk temporarily losing its business license.

Ofo was also supposed to pay a SGD30 (USD22.1) security deposit and SGD30 license fee for each bike it puts on the city-state's streets, as all cycle sharers do per LTA rules, but apparently failed to cough up the SGD30,000 (USD221,000) it owes. The deposits are intended to help with cleanup, such as moving abandoned bikes, in case of a bike sharer exiting the market impromptu.

Ofo now has to remove all of its bikes before March 13 or the LTA will annul the company's license and take legal action, according to the report.

Editor: James Boynton