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Madras HC seeks Govt order on licence cancellation in Kidney Transplant Racket Case

Madras High Court
Chennai: The Madras High Court on Monday directed the Tamil Nadu government to submit the official order cancelling the kidney transplant licence of Dhanalakshmi Srinivasan Medical College and Hospital, Perambalur.
Single Bench comprising Justice N Anand Venkatesh issued the directive while hearing a petition filed by the college management, which has challenged the state’s move to revoke its licence.
The issue arose after complaints were received regarding alleged irregularities in kidney transplant surgeries at the institution. Following this, the state health department conducted an inquiry and later issued a press release on August 10, stating that steps would be taken to cancel the licence.
Also read- Kidney Transplant Racket: State submits action taken report to Madras HC
The hospital argued in court that the press release was premature, as its appeal against the temporary suspension of the licence was still pending before the government. The management also claimed that no opportunity was given to them to present their side before the announcement of the cancellation decision, reports TOI.
Additional Advocate General J Ravindran, appearing for the government, informed the court that an official order cancelling the licence had already been issued. The judge then asked the state to submit a copy of this order and adjourned the matter to August 28.
Medical Dialogues recently reported that the Director of Medical and Rural Health Services (DMS) submitted the status cum action report on Thursday before the Madurai Bench of the Madras High Court, after being asked to submit an action taken report in the kidney transplant racket case. In the report, it stated that the government is taking strict steps to stop illegal organ transplants in the State.
During the hearing, the government in its report stated that action has been taken against the two hospitals involved in the case - Dhanalakshmi Srinivasan Medical College Hospital in Perambalur and Cethar Hospitals in Trichy, and steps have been initiated to streamline and improve the implementation of the Transplantation of Human Organs and Tissues Act, 1994, in the State.
Regarding the two brokers who lured the poor patients with money for transplantation, the report recommended registration of an FIR against them. The director of medical education and research has initiated disciplinary action against the officials and staff of the district authorisation committee in Madurai in connection with the case.
Medical Dialogues a month ago reported that a suspected kidney transplant racket came to light in Namakkal, where a broker allegedly targeted poor textile workers, lured them into selling their kidneys for money at two private hospitals - Dhanalakshmi Srinivasan Medical College Hospital in Perambalur and Cethar Hospitals in Trichy.
The donors were secretly taken to private hospitals, admitted as patients, and kept for a week to undergo the transplant in exchange for amounts ranging from Rs 5 to 10 lakh. After the procedure, they were handed over the money, which helped them to repay their debts. The brokers specifically targeted vulnerable and poor individuals who were in urgent need of money. Investigators suspected that the middlemen supplied poor donors to recipients under the guise of false familial relationships.
Following this, the Directorate of Medical and Rural Health Services permanently revoked both the hospital's transplant licences. Both private hospitals were found submitting forged documents to government accreditation committees to obtain transplant approvals, in violation of the Transplantation of Human Organs Act, 1994.
Also read- HC seeks report from Tamil Nadu Govt on kidney transplant racket
MA in Journalism and Mass Communication
Exploring and learning something new has always been her motto. Adity is currently working as a correspondent and joined Medical Dialogues in 2022. She completed her Bachelor’s degree in Journalism and Mass Communication from Calcutta University, West Bengal, in 2021 and her Master's in the same subject in 2025. She mainly covers the latest health news, doctors' news, hospital and medical college news. She can be contacted at editorial@medicaldialogues.in