Medical Procurement Scam: CBI names Former Lok Nayak Hospital Officials, 2 firms

New Delhi: The Central Bureau of Investigation (CBI) has registered a case against two former top officials of Lok Nayak Hospital and the owners of two private companies over alleged irregularities in the purchase of medicines and surgical supplies, leading to huge financial losses to the government.

According to TNIE news report,'' The FIR has named: Dr Suresh Kumar, the then MD, LNH; Dr Hem Prakash, then Procurement Officer, CMO, LNH; Suresh Kumar Chaudhary, Proprietor of M/s Adison Equipment Company; and Mayank Parashar, Proprietor of M/s S R Surgical. They have been booked on charges of conspiracy and breach of trust for causing loss of crores of rupees to the government,” an official claimed.

The case, officially registered on July 30, comes after a preliminary inquiry by the CBI based on tip-offs from sources. According to the CBI, between 2018 and 2021, S R Surgical - the hospital's local authorised chemist allegedly supplied branded medicines instead of generic ones, despite no specific request for branded drugs from hospital departments. This was allegedly done in collusion with Dr. Hem Prakash and led to losses of several crores of rupees.

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It also alleged that a probe revealed that an open tender was floated on May 31, 2017, on the Delhi government’s tendering site for procurement of general store sanitation consumables and non-consumable items, including macerators.

“Five firms, including Adison Equipment Company and Faith Biotech Pvt. Ltd had participated in the tender… Adison Equipment was selected as L-1 for supplying most of the items, including macerators… Faith Biotech was also selected as L-1 by the LNH authority on January 27, 2018. After that, LNH authority issued a Rate Contract to Adison Equipment and Faith Biotech… valid from January 29, 2018, to January 28, 2020,” the FIR said, as reported by the Indian Express.

“Enquiry has further revealed that on the expiry of the validity of the above rate contract on January 29, 2020, the same was extended from time to time till July 13, 2021, in favour of Adison Equipment… no fresh open tender was floated during the same period…” it added.

The CBI will now conduct a full investigation into the alleged corruption and financial mismanagement. The agency claimed in its FIR that no reason has been given by the LNH authority with regard to not inviting a fresh tender.

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