In a major anti-fraud action, the Indian government has removed 1,114 hospitals from the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB PMJAY), suspended 549 more, and imposed penalties worth ₹122 crore on 1,504 institutions found misusing the scheme. The announcement was made in the Lok Sabha on Friday.
The Health Ministry has described this as part of its zero-tolerance policy towards corruption and malpractice in the delivery of public healthcare benefits. The National Anti-Fraud Unit, along with State Anti-Fraud Units, has been using advanced AI systems, data analytics, random inspections, and strict transparency measures to detect and prevent fraud in real time.
The AB PMJAY provides an annual health cover of ₹5 lakh per family, making the fair and lawful delivery of its benefits essential. According to the ministry, violations such as denying care to eligible patients or breaching empanelment agreements will now face swift and strict action.
To ensure accountability and protect beneficiaries, the scheme operates a three-tier grievance redressal system at the district, state, and national levels. People can file complaints through online portals, the call centre number 14555, email, or direct contact with State Health Agencies. The government has also introduced measures to settle hospital claims within 15 days for local treatment and within 30 days for cases involving treatment across states.
This crackdown comes amid rising concerns over issues such as ghost billing, unnecessary procedures, and fraudulent use of the Ayushman card, which have threatened public trust in the programme. By targeting errant hospitals and reinforcing checks, the government aims to protect the integrity of India’s largest healthcare scheme and ensure that it continues to serve the poorest and most vulnerable households.
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