Delhi High Court sets aside Rs 17 crore fine on city hospital

The Delhi high court on Tuesday set aside the AAP government’s order imposing over Rs 17 crore fine on Dharamshila Cancer Hospital for allegedly refusing to provide free treatment to poor patients after the government said it would hear the hospital authorities on the issue again. The city government told Justice Sanjeev Sachdeva that it has decided to grant another hearing to the hospital on August 17.

Besides Dharamshila Cancer Hospital, the city government had asked four other Delhi-based private hospitals — Max Super Speciality Hospital (Saket), Fortis Escorts Heart Institute, Shanti Mukand Hospital and Pushpawati Singhania Research Institute — to deposit the alleged “unwarranted profits” they earned from allegedly refusing free treatment to the poor.

In similar relief to Fortis Escorts Heart Institute, the high court had on Monday set aside the order imposing over Rs 100-crore fine after the government had said it would hear the hospital authorities again.

During the brief hearing on Tuesday, the Delhi government counsel told the court that the special committee would hear the hospital authorities on August 17 and would then decide on the issue. “In view of the above, the impugned order dated June 7, 2016 is set aside,” Justice Sachdeva said while disposing of the plea filed by the hospital.

The court had earlier sought the original records of the special committee, appointed to look into the affairs of the hospitals as per a 2007 high court order. The committee had recommended imposition of Rs 17.86 crore fine on the Dharamshila Hospital. The fine was imposed on the hospital for allegedly not providing free treatment to poor patients as per its land allotment lease condition. Dharamshila Cancer Hospital had approached the court, seeking stay on the government’s decision, claiming it was not given a proper hearing. The health department had earlier told the court that the hospitals were provided land at concessional rates between 1960 and 1990 on the condition that they will treat the poor free of cost, but they did not abide by it.