PMJAY Botched Angioplasty Case: Court denies bail to Khyati Hospital Director

Vadodara: The bail application of Rajshree Kothari, a director of Khyati Multispeciality Hospital, who was arrested in December 2024 for alleged involvement in the deaths of two Pradhan Mantri Jan Arogya Yojana (PMJAY) beneficiaries after botched angioplasty procedures, has been denied. The court rejected her application, citing that Kothari was aware of the potentially life-threatening risks of implanting stents in patients who did not require them. 

Stating that she intentionally misled the two deceased patients despite having full knowledge of medical protocols just to illegally obtain funds from the government, the Ahmedabad Rural court dismissed Kothari’s defense that she was merely a “non-executive director” and had no financial gain from the hospital’s operations.

Dismissing the bail plea, Principal District and Sessions Judge KM Sojitra highlighted that Kothari, despite her claims of being uninvolved in daily operations, was a director of the hospital and attended business meetings where strategies regarding organising free medical check-up camps were discussed. The court further stated that the investigating officer revealed that her husband held shares 6.31% in Khyati Multispeciality Hospital as well as another medical establishment, Ahmedabad Bariatric and Cosmetics Pvt. Ltd. 

Also read- PMJAY Deaths Case: Another Khyati Hospital Director arrested

Hinting the fact that a Director of a hospital couldn't be unaware of any day to day activity of the hospital, the bench observed, "In pursuance to the conspiracy, the accused persons did not disclose the actual medical condition of the patients and misguided them to undergo angiography and angioplasty by placing stent in the body, though angiography/angioplasty was not required as per the medical protocol, with knowledge that if stents are placed in the person who do not require it then it would cause death of the person, and forged medical reports were prepared to create threat in mind of patient of medical emergency and avail money from government’s PMJAY scheme…Two people died on the same day when they were operated by Khyati Multispeciality Hospital and thereby, the accused have committed the offence as stated in the FIR…they performed the surgeries against medical protocol to illegally avail money from the government."

Medical Dialogues had previously reported that Rajshree Kothari, one of the directors of Khyati Multispeciality Hospital, was held by a Crime Branch team in connection with the botched angioplasty surgeries when she and her husband Dr Pradip Kothari, were on their way to Bhilwara from Kota in Rajasthan.

It is to be noted that seven persons underwent angioplasty, a procedure that widens blocked or narrowed coronary arteries to improve blood flow to the heart, at Khyati Multispeciality Hospital on November 11, following which two of them died, prompting Vastrapur police to register three FIRs the next day.

The probe showed the hospital organised free check-up camps in villages to convince PMJAY cardholders to undergo angioplasty despite no medical necessity. They were shown in the “emergency” category to expedite government approval, after which the hospital claimed payments under the Central scheme.

Even though the Ahmedabad Court had previously denied anticipatory bail to Kothari, her counsel again applied for a regular bail a few days ago, which has been rejected again by the court. 

The court order was passed after Kothari's counsel had sought regular bail on the ground that the police had completed the investigation and filed a chargesheet in the case. Advocate AK Shah, appearing for her, argued that she had no involvement in hospital management and “is innocent and has not committed any offence as stated in the FIR”, The Indian Express report.

Her defence argued that she is “the only lady director” and a “non-executive director” along with being a “house-wife in her life”. Therefore, she was unaware of any day-to-day activity of the hospital and was “not connected with any activity of angiography, angioplasty in any manner”.

In her bail application, Kothari stated that she had “not attended the annual general meeting, which was held on September 30, 2024 and cannot be made vicariously liable for the alleged offence.” She further submitted that she has “not received any remuneration or financial benefit” from the hospital nor was she part of any decision-making or management activity.

Opposing the bail application, Special Public Prosecutor Vijay Barot stated that the accused was part of a “conspiracy to illegally gain money from the Pradhan Mantri Jan Arogya Yojana scheme and as part of the conspiracy, the accused persons, who are directors, doctors and management persons with the intention to illegally gain money used to organise free medical camps and under the fear of health issues, patients were made to undergo angiography and angioplasty, though it was not required”.

The prosecution submitted that Kothari’s husband and other co-accused in the Khyati case are partners in Ahmedabad Bariatric and Cosmetics Pvt. Ltd. and her husband also holds 3.61% share in Khyati Multispeciality Hospital.

The order also highlighted the prosecution’s argument that after her husband's retirement, Rajshree Kothari became a partner and was aware that the hospital was violating legal medical protocols by appointing BHMS and BAMS doctors for post-treatment observations instead of the legally required MBBS medical officer.

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