Two Former Delhi Health Officials Arrested in Rs 700 Crore Procurement Scam

The Anti-Corruption Branch (ACB) on Sunday arrested Dr. Vatsala Aggarwal, the former Director of the Directorate General of Health Services (DGHS), and Neeraj Chopra, the former Deputy Controller of Accounts at the Central Procurement Agency (CPA) in Delhi, in connection with an estimated Rs 700 crore medical procurement scam. The arrests were made after the officials allegedly failed to provide satisfactory explanations regarding missing expenditure files and inflated procurement bills.
This development follows the earlier arrest of Dr. Vinod Kumar Ranga, the former Head of Office of the CPA, who was apprehended on June 18 and is currently in judicial custody. According to official sources, the ACB is now investigating around 10 more government officials associated with the CPA, alongside more than half a dozen contractors and bidders.
The alleged irregularities first came to light in May when the Delhi Directorate of Vigilance conducted two-night raids at the CPA office. Following a complaint from the vigilance department, the ACB registered a First Information Report (FIR) on June 2 under the Prevention of Corruption Act.
According to the complaint, Dr. Ranga, a supplier-operator, and several officials operated a cartel that manipulated procurement. They allegedly drafted tailor-made tender specifications, floated fake front companies, and submitted collusive bids to ensure favoured suppliers secured contracts at grossly inflated rates.
Specific details of the inflated procurements include portable X-ray machines billed at Rs 33 lakh each against a market price of Rs 10 lakh, resulting in an estimated excess payment of Rs 100 crore. Additionally, the CPA allegedly paid Rs 450 per piece for linen bedsheets that retail for Rs 150, and procured 50 lakh ORS sachets at Rs 15 each against a market price of Rs 2.5.
Vigilance officers who visited the CPA office on May 18 to collect procurement records found that key files were missing. CPA officials claimed the records were with Dr. Ranga, who could not be contacted at the time. Although some folders were later supplied, the principal procurement files remain missing.


