Rs 4 crore project inflated to Rs 80 crore? RTI activist flags Maha hospitals' smoke detector scam

Also read- Pune liver transplant deaths: Probe halts after Sassoon Hospital cites specialists shortage

However, RTI activist Vijay Kumbhar has claimed that the prices are massively inflated, saying that the same smoke detectors available in the market would cost only around Rs 4 crore in total. Each unit has been priced at an exorbitant Rs 9.42 lakh, which he says is 20 to 30 times higher than the actual market rate.

In a letter to Chief Minister Devendra Fadnavis and the DMER secretary, Kumbhar flagged the discrepancies and demanded an immediate inquiry, suspension of the purchase, and strict action against those involved.

Following the complaint, the Medical Education and Drugs Department has ordered an inquiry.

Speaking to HT, Dheeraj Kumar, secretary of the department, said, "We are examining the complaint. If allegations are found true, we will cancel the administrative approval. Meanwhile, we are issuing orders to the Directorate of Medical Education and Research (DMER) not to issue a purchase order pending inquiry."

According to the GR, the government approved the purchase of Detex Smoke Detectors manufactured by Aeraulique Technologie Innovative Pvt. Ltd. on a sole-supplier basis, meaning no competitive bidding or tendering was done.

Kumbhar argued that the classification is misleading and contrary to standard procurement norms. The “sole supplier” method is a provision to be used only in exceptional circumstances, for which verification of the market price is required, which Kumbhar stated has not been done.

According to his complaint, the government’s decision classified the smoke detector as a “sole or proprietary” item, a tag that allows the state to bypass competitive bidding through tenders. This makes the product a unique item that cannot be purchased elsewhere or has no replacements. 

"The Government decision has classified the Detex system as a "sole/proprietary" item. Based on the certificate issued by the Commissioner of Medical Education on 30.09.2025 and 29.10.2025, it has been stated that there is no alternative. However, considering the technical specifications (even considering the same), this price is completely unreasonable compared to equivalent products available in the market," he said in the letter. 

According to Detex India and other industry sources, ordinary smoke detectors are available between Rs 25,000 and Rs 35,000, while advanced hospital-grade models are available between Rs 40,000 and Rs 60,000. A 15-30% discount is also prevalent for bulk tenders of more than 300 units. This brings the unit price down to less than Rs 50,000. In such a situation, he asked how the unit price could be Rs 9.43 lakh and pointed out that the purchase has no basis.

"A total cost of Rs 79.10 crore has been sanctioned for 839 units at Rs 9.43 lakh per unit. If the actual purchase had been made at Rs 40,000-Rs 50,000, the cost would have been only Rs 3.36- Rs 4.20 crore. This means that the cost has been inflated by about Rs 75 crore," he said. 

He further added, "While the intention is to increase fire safety in hospitals, the agreed rate of Rs 9,42,820 per unit is highly inflated, which is a blatant misuse of public funds and a direct robbery of the state exchequer. Each unit has been charged at a rate of about 2,500 to 3,000 per cent over the market price, resulting in unnecessary expenditure of more than Rs 75 crore. Therefore, there is a need for an immediate inquiry into this matter and immediate suspension of the relevant purchases and action against the culprits."

Kumbhar also questioned whether Aeraulique Technologie Innovative Pvt. Ltd. is actually the manufacturer or merely a distributor. He called the approval illegal, as the government sanctioned the proposal without verifying the market price, despite mentioning a “provisional rate” clause in the resolution.

Criticising the government, he said, "On the one hand, the state is wiping leaves from the face of the farmers as they do not have money to give, and on the other hand, the state treasury is being looted in this way. This picture is very disturbing and raises questions about the financial and moral responsibility of the government."

Also read- 12 Maharashtra Hospitals issued show-cause notices after inspections