CBI REGISTERS A CASE AGAINST THE THEN TWO MINISTERS OF HEALTH/FAMILY WELFARE OF UP & OTHERS IN CONNECTION WITH AN ALLEGED IRREGULARITIES IN THE EXECUTION AND IMPLEMENTATION OF NATIONAL RURAL HEALTH MISSION (NRHM) FUNDS IN UTTAR PRADESH AND CONDUCTS SEARCHES

Press Release
New Delhi , 02.06.2012

            The Central Bureau of Investigation has registered a case U/s 120-B, 420, 468 & 471 IPC and Sections 7, 8, 10, 13(2) r/w 13(1)(d) of P. C. Act, 1988 against the then two Ministers of Health/Ministry of Family Welfare & other officers of Health Department including the then Principal Secretary(Health); the then one MLA; the then one MLC; the then DG(Family Welfare) and 4 private persons/medical suppliers.

 

            The case has been registered on the basis of the enquiry being carried out by CBI on the directions of the Hon’ble High Court of Judicature, Allahabad at Lucknow vide order dated 15.11.2011 to look into the utilization of funds of Govt. of India given to U.P. under the NRHM programme.

 

            The allegations in brief are that the then Minister of Health and the then Minister of Family Welfare, Lucknow conspired with the suppliers of medicines & surgical items and other private persons to misappropriate the funds under NRHM.

 

            In pursuance of the said conspiracy, the then Minister of Health in collusion with one of the private suppliers of Medicines & Surgical items etc posted CMOs in different districts of U.P. after allegedly obtaining a huge amount as illegal gratification. The concerned CMOs gave major supply orders for medicine, equipments, training and construction work under the NRHM programme to the same supplier, who had managed their postings. The rates in the quotations/tenders for supplying the medicines & surgical items and other misc. work were hiked by the said supplier by at least 5 to 10 times more than the market rates thereby causing huge pecuniary gains to the private supplier and corresponding loss to the Govt. exchequer.

 

            It is alleged that in 2009, the then Family Welfare Minister of U.P., in order to get a major share of the funds under NRHM through the private suppliers entered into a criminal conspiracy with the then Principal Secretary, Health, one MLA & 04 private suppliers and conspired to bifurcate the Department of Health and Family Welfare so that the NRHM funds could be placed directly under the charge of the Department of Family Welfare. Only those persons were posted as District Project Officers (DPOs) Family Welfare, who allegedly facilitated in award of the contract to the chosen suppliers and in lieu, the accused public servants obtained huge amount of illegal gratification. In pursuance of the said criminal conspiracy, bifurcation of the health department was proposed and got approved against prescribed norms of NRHM as laid down by Govt. of India.

 

            It is further alleged that a list of transfer/posting of CMOs of level-IV (Joint Director grade) was prepared without vigilance clearance or any seniority criteria by the then Minister of Family Welfare and other officers of the department, in consultation and connivance with the private medicines suppliers. The posting of each CMO as DPO Family Welfare was allegedly done after payment of a huge amount of bribe as illegal gratification by the concerned suppliers to the then Minister of Family Welfare through one MLA and other private persons acting as conduit to the then Minister. A part of the share of the bribe was also allegedly received by the then Principal Secretary, Health. The accused persons caused undue gain to the private suppliers & themselves and caused equivalent loss to the govt. exchequer.

 

            Searches were conducted today at three places at Lucknow & Kanpur.

 

            Further investigation is continuing.

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