ACB raids Insurance Medical Service Department

Hyderabad: Anti-corruption Bureau (ACB) on Thursday conducted searches at the offices and residences of officials of Insurance Medical Service (IMS) Department. Based on the government's directions, an enquiry was taken up by the bureau owing to several allegations of corruption and irregularities against IMS.

The enquiry revealed that the Director of IMS and other officials were involved in making fake indents; falsification of records; violation of rules and regulations in purchasing medicines and surgical kits causing substantial loss to the government exchequer.

Allegations stated that two fake indents for medicines worth Rs 1,03,13,247 were prepared by Dr K Padma, Joint Director, Hyderabad on May 26 and 28, 2018. The bills were claimed through the concerned medical officers in charge of dispensaries in Patancheru and Borabanda. The pharmacies have never requested those medicines. Reportedly, Dr Devika Rani, Director of IMS, passed the bills. In 2018, medicines worth Rs 1,22,51,29 were requested and received by Dr Padma, but the stock was not sent to Bollaram and Bonthapally dispensaries in May.

Dr Devika and Dr K Vasanta Indira, Asst Director of IMS, and other officials have caused loss of Rs 9,43,47,947 to the government exchequer by purchasing medicines through Special Drug Dispensing Unit (SDDU) in Local Purchase, instead of contract rate during 2017-18.

Devika, Vasanta and other officials inserted 286 Purchase Orders (POs) during August 2018 as if it was issued on May 17, 2018. They cancelled 26 earlier PO by entering ante dated RC number entries in the records for the benefit of the pharma companies.

The bureau registered several cases against the accused and started their investigation. The residences of the Director, Assistant Director, Joint Director, pharmacists and other private people involved in this case are being searched as part of the investigation.