New Delhi : Indraprastha Apollo Hospital has approached the Supreme Court with a plea to reduce its obligation to treat Economically Weaker Section (EWS) patients, proposing a new arrangement that would significantly lower its quota for free services.
In an intervention application filed on May 14, the hospital’s parent company, Indraprastha Medical Corporation Limited (IMCL), requested that its free treatment commitment be revised to 10% of In-Patient Department (IPD) and 25% of Out-Patient Department (OPD) services. If approved, this change would bring down the number of mandatory EWS beds from 200 to around 70.
Currently, the hospital is required to offer 33% of its IPD and 40% of its OPD services to EWS patients. While treatment is free under this obligation, patients must still pay for medicines and consumables.
Hospital’s Argument: Relief Will Enhance Quality of Free Care
In its affidavit, the hospital said the revised quotas would not only be more feasible, but would also ensure full coverage of treatment, medicines, and consumables for EWS patients. IMCL argued that this approach would be more “meaningful and actually beneficial” to those in need.
The plea follows the Supreme Court’s stern warning on March 25, where the court threatened to have AIIMS take over the hospital’s management if Apollo failed to meet its lease-based obligations to the poor. The hospital occupies 15 acres of government-leased land, granted at a token rent of Re 1 per month, and is bound by the lease to provide a portion of its services for free.
Key Details:
- The Delhi government holds a 26% stake in the hospital.
- The government has received over ₹87 crore in dividends, and its original investment of ₹23.83 crore has appreciated to nearly ₹900 crore, IMCL noted.
- IMCL stated its willingness to buy the land, but DDA policy restrictions barred direct transfer of leased land to a private entity.
- The hospital cited a 2001 report by the Justice A.S. Qureshi Committee, which recommended a lower obligation of 10% IPD and 25% OPD for hospitals granted land at concessional rates.
- IMCL argued that the current obligation causes disproportionate financial strain, especially due to the loss of exemptions like customs duty relief.
Compliance Records Submitted
In line with court directives, the hospital has submitted its bed strength and five years of patient records for OPD and IPD services to support its case.
The Supreme Court will now consider whether to ease Apollo’s EWS obligation, potentially setting a precedent for other private hospitals operating on government-allotted land.
