Former DGHS Arrested in Procurement Scam
The Delhi government's Anti-Corruption Branch (ACB) arrested former Director-General of Health Services (DGHS) Dr Vatsala Aggarwal on Saturday in connection with an alleged multi-crore procurement scam involving medicines, surgical items, and medical equipment, officials confirmed. The arrest follows the earlier apprehension of Dr Vijay Kumar Ranga in the same case, who was remanded to four days of police custody by a Delhi court.
Details of the Alleged Scam
According to the ACB, the case involves large-scale financial irregularities in procurements worth several hundred crores of rupees conducted by the Central Procurement Agency (CPA), operating under the DGHS. The investigation was triggered after the Directorate of Vigilance flagged suspicious transactions and possible procedural violations. Investigators allege that items such as portable X-ray machines, bed sheets, C-arm radiological equipment, anaesthesia workstations, oral rehydration solution (ORS), surgical consumables, and medicines were procured at highly inflated rates through manipulated tender processes.
Tailor-Made Specifications and Excluded Bidders
The ACB alleged that tailor-made specifications were framed to favour selected suppliers, excluding genuine bidders from the process, resulting in the misuse of public funds running into hundreds of crores. Based on a complaint, the agency registered a case on June 2 under relevant provisions of the Prevention of Corruption Act and criminal conspiracy sections of the Bharatiya Nyaya Sanhita. Officials said procurement records, tender files, and related documents are being scrutinised as part of the investigation.
Removal and Suspension of Officials
Dr Aggarwal was removed from the DGHS post on May 21 and placed under “awaiting posting” before being transferred to Guru Teg Bahadur Hospital. She was subsequently suspended at the direction of Delhi Lieutenant Governor Taranjit Singh Sandhu to facilitate disciplinary proceedings. The Delhi government has also suspended five pharmacists and two CPA officials after an internal inquiry reportedly found serious irregularities in the procurement, storage, and management of medicines at various agency stores.
Investigation Ongoing
The ACB stated that further investigation is under way to identify the role of other officials and private suppliers in the alleged scam. The case has raised concerns about governance in public health procurement and the oversight mechanisms in place to prevent such irregularities.



