Srinagar: The High Court of Jammu and Kashmir and Ladakh has temporarily stayed the suspension of two private hospitals—Shifa Hospital and Florence Hospital—under the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB PM-JAY).
The State Health Authority (SHA) had previously suspended the hospitals, citing violations of scheme guidelines, including illegal fee collection from patients. The SHA had also imposed penalties of over ₹26 lakh on Shifa Hospital and around ₹3 lakh on Florence Hospital.
The hospitals challenged the suspension in court, arguing that SHA’s actions were procedurally flawed and denied them natural justice. Justice Muhammad Yousuf Wani, presiding over the case, paused the suspension and ordered a fresh inquiry. SHA must also give the hospitals two weeks to respond to prior show-cause notices. The next hearing is scheduled for February 7, 2025.
The SHA defended its actions, citing patient complaints and inspections but was criticized by the court for procedural lapses. Justice Wani emphasized the importance of due process while addressing such complaints.
