The investigation into the Ahmedabad-based Khyati Multispeciality Hospital has uncovered alarming figures. Over the past three years, a total of 3,842 surgeries were performed under the Pradhan Mantri Jan Arogya Yojana (PM-JAY), with 112 patients dying either during or following these operations. Authorities suspect that negligence may have played a role in these deaths, with proper precautions allegedly not being taken.
On Thursday, the Ahmedabad Crime Branch presented Dr Sanjay Patolia, the hospital’s medical director, before a local court. He was remanded to police custody for seven days, with the investigation focusing on the authenticity of the audit and the need to seize the document.
Dr Patolia’s remand follows the ongoing investigation into the death of two patients under the PM-JAY at the hospital. The crime branch revealed that an audit report prepared by the hospital, showing a loss of Rs 1.50 crore, was allegedly fabricated as part of a conspiracy to cover up illegal activities.
In its submission to the court, the probe agency stated, “In the Khyati Hospital scandal, shocking revelations continue to emerge. During the investigation, it was found that the audit report showing a loss of Rs 1.5 crore was prepared as part of a conspiracy, making it necessary to seize the document.”
Special public prosecutor Vijay Barot argued that Dr Patolia had been serving as a director since 2021, holding a 39% stake in the hospital.
“Patolia is the only director with medical knowledge, which makes it crucial to determine how much financial benefit he gained from this operation. He is aware of the hospital’s financial dealings and the government schemes involved,” Barot submitted.
The public prosecutor stressed that Dr Patolia’s bank accounts should be scrutinised and further investigations were required to ascertain if anyone else was complicit in the scandal. In response, the defence team argued that Dr Patolia had been cooperative with the authorities and questioned the necessity of his remand, stating that his presence was not needed for the ongoing investigation. Despite this, the court granted a seven-day remand.
In a related development, the police revealed that Dr Patolia had allegedly prepared a director’s report on October 10, which was later signed by Kartik Patel, the hospital’s owner. The report stated that director meetings had taken place seven times between April 29, 2023 and March 18, 2024. Officials are currently looking into who holds the minutes book for these meetings. Authorities are also focusing on the meetings’ content, which reportedly centred around increasing profits and exploiting government schemes.
Meanwhile, the court hearing for Dr Kartik Patel’s bail application is scheduled for December 12. DCP (Crime) Ajit Rajian has confirmed to Vibes of India that the crime branch is going to file an affidavit against Patel on that day. Patel is on the run since the incident and is reported to be in Dubai.
Rajshree Kothari’s Anticipatory Bail Plea Rejected
In another twist to the Khyati Hospital scandal, Rajshree Kothari, another key accused, saw her anticipatory bail applications in three cases rejected by the court. Kothari, a director at the hospital, has maintained her innocence, claiming that she was wrongfully implicated and had no intention of fleeing.
Barot contested her plea, alleging that Kothari, along with her husband Pradeep, who also holds a 3.61% share in the hospital, was involved in a conspiracy to fraudulently gain financial benefits from the PM-JAY scheme.
“The accused fabricated false evidence and endangered the lives of patients, who were not even ill,” Barot claimed, adding that there were 42 witnesses against Kothari. He further accused Kothari and her husband of masterminding a scheme where they identified patients with PM-JAY cards from villages, scaring them into believing they were ill and then performing unnecessary operations on them.
Barot also revealed that Kothari was involved in organising free medical camps in villages to recruit patients for fraudulent operations. “In their pursuit of financial gain, the accused took the lives of two individuals,” he argued.
The investigation into the Khyati Hospital scandal is ongoing, with authorities probing multiple angles of financial fraud, illegal medical practices and patient exploitation.
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