Three IMS docs,staff cheated Govt Rs 6.48 Cr by hiking medicine price by 400%

Hyderabad: Three doctors serving with the Insurance Medical Service (IMS) in Telangana and medical staff, cheated the government exchequer Rs 6.48 Crore by increasing the price of medicine by 400 percent, said the sleuths of Anti Corruption Bureau who registered a case against 9 involved including Pharma company directors. This comes a day after the officials seized Rs 4.4 crore from a realtor in Cyberabad, allegedly belonging to the director.

In continuation with the extensive investigation into the multi-crore IMS scam, the sleuths of ACB registered a case under Prevention of Corruption Act against Dr Ch Devika Rani ( suspended) Director of Insurance Medical Service (IMS), Dr Kalakunta Padma, former joint director-IMA, Dr Kurapati Vasantha Indira-former assistant director –IMS.

The trio are accused of colluding with Kancharla Srihari Babu @ K Babji of Omni Medi, Kancharla Sujatha of Omni

Healthcare, Kukkala Krupasagar Reddy proprietor of M/s Legend enterprises, Tankasala Venkatesh- Regional manager Hemocue, Bandi–Venkateshwarulu and Cherukuri Nagaraju, both employees of Omni Medi and cheated the government of Rs 6.48 Crore.

The ACB was acting upon a report submitted by the Vigilance and Enforcement wing. Investigation revealed, one of the primacy accused, K Srihari Babu @ K balaji, floated shell companies and indulged in circular trading. Srihari, the proprietor of Omni Medi located in Hyderabad, created a ‘fake authorisation letter’ as a distributor of medicines of Sweden based Hemocue HB Cuvettes company. He routed the business deal through his shell company called Legend Enterprises, in connivance with his wife Krupasagar Reddy. He influenced the director of IMS by bribing them to purchase medical stock at a high price and subsequently sell them at higher rates.

The investigators said, “A product namely Hemocue HB Cuvettes manufactured by M/s Hemocue, was supplied to the distributors at the rate of Rs 3,300 per unit. Further, the distributors of the Sweden company supplied the same item to accused Srihari at Rs 4,800 per unit. And the same stock was sold to IMS at Rs 16,500 per unit( an excess of 11,700).

The nine involved in scam cheated the government exchequer of Rs 6.48 Crore by raising fake bills & purchased which dint exist physically. “The director of IMS Dr Ch Devika Rani paid Rs 93,55,000 excess for 567 units of HB Cuvettes from the distributor Srihari” investigator said.