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HomeUrban NewsAhmedabadPMJAY Fraud Ahmedabad Hospital's Alleged MoU Misuse Under Probe

PMJAY Fraud Ahmedabad Hospital’s Alleged MoU Misuse Under Probe

The Ahmedabad City Police’s Detection of Crime Branch (DCB) has uncovered new details in the Pradhan Mantri Jan Arogya Yojana (PMJAY) scam linked to Khyati Multispeciality Hospital. Investigations revealed the hospital had Memorandums of Understanding (MoUs) with five major public sector entities, including ONGC, SAIL, Western Railway, and Physical Research Laboratory (PRL). These tie-ups facilitated the treatment of 141 patients, raising concerns about the misuse of public healthcare funds.

The probe intensified after the deaths of two PMJAY-MA beneficiaries—Mahesh Barot and Nagar Senma—following angioplasties allegedly performed without proper consent at a medical camp. The hospital, empanelled under PMJAY and Ex-Servicemen Contributory Health Scheme (ECHS), reportedly treated 8,534 patients between September 2021 and October 2024, with 3,842 under PMJAY-MA and 112 deaths recorded. Financial scrutiny revealed a declared loss of ₹1.5 crore, which investigators are analysing with a government-appointed Chartered Accountant.

Accusations of Fraud and Mismanagement
The hospital’s Director, Dr. Sanjay Patolia, was arrested on December 4, becoming the seventh accused in the case. Earlier arrests included visiting cardiologist Dr. Prashant Vazirani and other officials. Two co-owners remain absconding. Investigators suspect systematic fraud through forged records and unnecessary procedures to exploit government health schemes, as evidenced by the controversial medical camp in Borisana village, Mehsana.

Public Sector Entities Implicated
The hospital’s MoUs with ONGC, SAIL, and others enabled it to treat employees and beneficiaries. PRL, a prestigious institution under the Department of Space, confirmed two patients under its agreement with the hospital. These tie-ups are now under scrutiny, highlighting potential regulatory lapses in monitoring private hospitals partnered with public entities.

Expanding the Investigation
The DCB is widening its probe into the hospital’s financial dealings and procedural records, suspecting deliberate manipulation. Officials seized additional documents during a recent search, indicating deeper financial irregularities. This case underscores the need for stricter oversight of private healthcare providers under government schemes to ensure patient safety and ethical practices.

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