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Delhi government rejects Rs 600 crore fine waiver for private hospitals

The government, in an order, said that the hospitals will have to make the payment within a month.

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Delhi government rejects Rs 600 crore fine waiver for private hospitals
Max Super Specialty Hospital
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Five private hospitals in Delhi will have to pay Rs 600 crore to Delhi government for refusing treatment to poor patients after a 3-member committee rejected their plea to forego the amount, saying there was no violation on their part.

The government, in an order, said that the hospitals will have to make the payment within a month.

The AAP-led government, in 2016, had slapped the fine on five hospitals - Max Super Specialty Hospital (Saket), Fortis Escorts Heart Institute, Shanti Mukand Hospital, Dharamshila Cancer Hospital and Pushpawati Singhania Research Institute. These hospitals were provided land at concessional rates between 1960 and 1990 on the condition that they will treat the poor free of cost.

The decision, according to the officials, will set an example for other private hospitals in the Capital.

A three-member committee comprising of Principal Secretary (Health), Deputy Secretary (Finance) and the Directorate General of Health Services (DGHS) analysed the documents submitted by the hospitals.

"These hospitals had submitted their reports and documents defending their cases. After considering all the factors, the members have decided to go ahead with the government's decision and collect the fine from them. The process of issuing the notices has begun," said a Delhi government official.

The special committee, appointed to look into the affairs of the hospitals as per a high court order of 2007, had imposed a fine of over Rs 32 crore on Max, Rs 36.30 on Shanti Mukand, Rs 10.6 on Pushpawati Singhania, over Rs 100 crore on Fortis and Rs 17.86 crore on Dharamshila.

"We have received an order from the Office of the Special Committee, Delhi Secretariat on May 28, 2018. We are evaluating the order post which we will decide on our future course of action. As a responsible, process and guideline oriented healthcare entity, we continue to comply with necessary guidelines mandated by regulatory bodies," a statement from Fortis hospital said.

"We have, so far, not received the order. Once we receive it, we will definately challenge it in the court," said Suversha Khanna, President, Dharamshila Cancer Foundation. Pushpawati Singhania Research Institute and Shanti Mukand Hospital could not be contacted and authorities at Max hospital refused to comment on the issue.

According to the government rules, 10 per cent of all patients admitted to private hospitals must be poor and treated free of cost if the institute has been given subsidised land.

In addition, 25 per cent of all out-patient services must cater to poor people without charge.

A total of 43 private hospitals in Delhi were alloted land at concessional rates, but only on the condtion of following the set rules.

"The money made by unethical means must be recovered. This is a great step, which will also issue a warning to other hospitals who are refuting the EWS patients. There are many more hospitals in Delhi which are still flouting the government's guidelines," said social activist and advocate Ashok Aggarwal.

You Reap What You Sow

The AAP-led govt, in 2016, had slapped the fine on five hospitals — Max Super Specialty Hospital (Saket), Fortis Escorts Heart Institute, Shanti Mukand Hospital, Dharamshila Cancer Hospital and Pushpawati Singhania Research Institute. These hospitals were provided land at concessional rates between 1960 and 1990 on the condition that they will treat the poor free of cost

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