Former DGHS Dr Vatsala Agarwal arrested in multi-crore medical procurement scam

New Delhi: The Anti-Corruption Branch (ACB) of the Delhi government has arrested former Director General of Health Services (DGHS) Dr Vatsala Aggarwal in connection with a multi-crore alleged medical procurement scam involving irregularities in the purchase of medicines, surgical items, and medical equipment.

Officials confirmed that Dr Aggarwal, who was already under suspension at the time of her arrest, was taken into custody on Saturday. The agency also arrested Deputy Controller of Accounts Neeraj Chopra in the same case.

According to ACB officials, the case relates to alleged financial irregularities in procurement carried out through the Central Procurement Agency (CPA), which functions under the Directorate General of Health Services (DGHS). The alleged irregularities are linked to purchases worth several hundred crore rupees.

A senior official said that Aggarwal was directly associated with procurement processes during her tenure as DGHS, while other officials held key roles in financial approvals and accounts management.

The ACB said the investigation was initiated after the Vigilance Department flagged suspicious transactions and possible violations in procurement procedures. Following this, the agency began examining documents related to tendering, technical and financial evaluations, contract allocations, supply verification, inspection processes, approvals, and payments.

Officials stated that the investigation was initiated after the Vigilance Department flagged certain suspicious transactions and violations in procurement procedures, prompting a detailed scrutiny of the entire procurement cycle.

The agency is currently examining at which stage the alleged irregularities occurred, who benefited from the contracts, and whether more officials or private entities were involved in the scam.

Aggarwal was removed from the DGHS post on May 21 and placed under “awaiting posting” before being transferred to Guru Teg Bahadur Hospital. She was subsequently suspended at the direction of Delhi Lieutenant Governor Taranjit Singh Sandhu to facilitate disciplinary proceedings.

ACB sources said Dr Vinod Kumar Ranga was earlier arrested and interrogated as part of sustained questioning in the case, and further custodial interrogation helped investigators trace additional links in the procurement process.

Officials added that the probe focused on reconstructing the entire procurement chain to determine whether established rules were bypassed and whether any financial misconduct led to wrongful gains to individuals or entities.

The case is being seen as one of the significant anti-corruption actions in Delhi’s health procurement system in recent years, with investigators continuing to examine large volumes of financial and administrative records.

IANS