New Delhi [India], June 26 : The Anti-Corruption Branch (ACB) has registered a case against former Delhi Health Ministers Saurabh Bhardwaj and Satyendar Jain in connection with large-scale corruption in health infrastructure projects of the Delhi government, an official statement from the police said on Thursday.
24 hospital projects, 11 greenfields and 13 brownfield, were sanctioned at a cost of Rs 5,590 crores in 2018-19. These projects are mired in inexplicable delays and astronomical cost overruns, indicating large-scale financial embezzlement, according to a statement from the Joint Commissioner of Police, Madhur Verma.
Massive irregularities, unexplained delays, and significant misappropriation of funds have been found in the construction of various hospitals, polyclinics and ICU infrastructure across the city. Substantial deviations and cost escalations, amounting to several hundred crores, were observed. Not a single project was completed within the prescribed timeline, the Head of the Anti-Corruption Branch stated.
ACB registered the case after receiving approval under Section 17A of the Prevention of Corruption Act from the competent authority.
On August 22 of last year, then Leader of Opposition in Delhi Assembly, currently the Speaker of Delhi Assembly Vijendra Gupta submitted the complaint highlighting grave irregularities and suspected corruption in various health infrastructure projects under Delhi Government.
The complaint named former Health Ministers Saurabh Bhardwaj and Satyendra Jain, alleging systematic manipulation of project budgets, misuse of public funds, and collusion with private contractors.
According to police, Vijendra Gupta alleged 24 hospital projects worth Rs 5,590 crores were sanctioned. However, these projects remained largely incomplete, with substantial and unexplained cost escalations. Similarly, the Rs 1,125 crore ICU Hospital Project, covering 7 pre-engineered facilities with a total of 6,800 beds, remains only 50 per cent complete after nearly three years and expenditure of Rs 800 crores, despite an initial six-month completion timeline.
Verification of the complaint revealed unauthorised additional construction at government hospitals in Jwalapuri (by Parnika Commercial & Estate Pvt Ltd) and Madipur (by Ramacivil India Construction Pvt Ltd), carried out without approval from the competent authorities. Notably, the Madipur hospital project was to be completed by November 2022, but remains abandoned and far from completion, Jt. CP Madhur Verma stated.
Further, it was revealed that the 7 ICU hospitals, contracted to SAM India Buildwell Pvt Ltd, have witnessed cost escalations exceeding 100 per cent, with construction still incomplete well beyond the deadline of February 2022.
According to Jt. CP Madhur Verma, verification also found that the New Block at LNJP Hospital, awarded to Swadeshi Civil Infrastructure Pvt Ltd, saw project costs escalate from Rs 488 crores to Rs 1,135 crores over four years, with the structure still incomplete beyond its January 2023 deadline.
Additionally, the Polyclinic Project also indicated misuse of funds - only 52 out of 94 planned clinics were constructed, while the cost rose from Rs 168 crores to Rs 220 crores. Many of these polyclinics remain non-functional.
Despite a public announcement in 2016-17, the Health Information Management System (HIMS) - a crucial tool for ensuring financial transparency in the health department - remains unimplemented. A free, cost-effective solution from NIC (e-Hospital) was deliberately rejected without justification, Head of ACB Madhur Verma stated.
Serious violations of rules, tender conditions, and financial protocols were uncovered during scrutiny, revealing deliberate delays, inflated project costs, rejection of viable alternatives, and the creation of idle assets, collectively leading to massive losses to the public exchequer.
Based on the findings, a proposal seeking prior approval under Section 17A of the Prevention of Corruption Act was submitted against the former Health Ministers. Approval was duly granted by the competent authority.
ACB then registered an FIR under Section 13(1) of the Prevention of Corruption Act, read with Sections 409, 420, and 120-B of the IPC at Police Station Anti-Corruption Branch, New Delhi against Saurabh Bhardwaj, Satyendra Jain, unknown government officials, and private contractors.
ACB has launched a comprehensive investigation to uncover the full extent of the alleged conspiracy and determine the roles and accountability of the former Ministers, officials, and private entities involved.