The Gujarat health department has banned five hospitals and two doctors from the Pradhan Mantri Jan Arogya Yojana (PMJAY) after inspections revealed serious irregularities. Between December 2 and 8, the State Anti-Fraud Unit found evidence of fraud, including fake lab reports, poor infrastructure, and violation of scheme rules.

Among those suspended was Heer Hospital in Patan, where investigators uncovered tampered lab reports and inflated charges for neonatal care, resulting in a ₹50.27 lakh penalty. Other hospitals, including Sonal Hospital in Dahod and Sentara Orthopedic Hospital in Ahmedabad, Shree Jalaram Hospital of Aravalli District were also suspended for not following important guidelines, such as having enough staff or proper equipment. 

This crackdown is part of a larger effort by the Gujarat government to prevent misuse of the PMJAY scheme. Since January 2024, 12 hospitals have been suspended for not following the rules. The government is also working on updating treatment protocols to improve care in key areas like cardiology and neonatal services.

The suspensions come after a tragic incident last month, where two patients died following improper angioplasty procedures at Khyati Multi-Specialty Hospital. The investigation revealed that the hospital had been exploiting the health insurance rance scheme by performing unnecessary procedures on villagers. Seven people, including the hospital’s founder, have been arrested in connection to this case.