Telangana: Anti-Corruption Bureau arrests eight for alleged scam in Insurance Medical Services

New Delhi: The Telangana Anti-Corruption Bureau Friday arrested the director and joint director of Insurance Medical Services (IMS) of Employee's State Insurance (ESI) in Hyderabad for alleged irregularities in supply of medicines in the state. Six others were also arrested for allegedly procuring crores worth of medicines from unauthorised firms or non-rate contract firms by quoting higher rates by claiming that they were emergency medicines. The officials allegedly made huge amounts of money on these purchases.

Officials said that there were irregularities in supply of medicines, surgical kits, and medical equipment to all the ESI hospitals in the state and the scam could be worth around Rs 300 crores. Officials raided at least 30 locations across the state before arresting director Dr C Devika Rani, Joint director K Padma, Assistant Director V Indira, MD of surgical equipment supplier Omni Medi B Srihari, and four others.

The Insurance Medical Services staff were all arrested from their residences and taken to the ACB headquarters at Banjara Hills for questioning before being produced in court. A Vigilance and Enforcement probe indicated that Dr Rani identified a few firms through which medicines were purchased at higher prices.

(With inputs from Indian Express)