Telangana orders probe into medicine procurement
HYDERABAD: Suspected irregularities in the procurement of medicines and medical equipment by the state Health Department over the past four years have come under scrutiny.
Preliminary findings reportedly indicate violations of procurement norms and financial irregularities in tenders handled by the Telangana Medical Services and Infrastructure Development Corporation (TGMSIDC). The purchases covered medicines supplied to government healthcare facilities ranging from district hospitals to Primary Health Centres across the state.
Sources said the alleged irregularities may involve officials who headed the corporation as well as doctors who recommended purchases. In this backdrop, Chief Minister Revanth Reddy has directed the Vigilance and Enforcement Department to conduct a comprehensive inquiry into the matter. Officials have begun the process of securing records related to the procurements.
Vigilance to review four years of purchases
Vigilance officials will examine all tenders and purchases made through TGMSIDC between April 1, 2022 and March 31, 2028, according to the records cited in the report. Documents show that approximately ₹3,545 crore was spent during this period on medicines, medical equipment, diagnostic kits, reagents and other items.
Investigators will examine whether purchases were made strictly on the basis of hospital indents, whether supplies exceeded actual requirements and whether the tender process allowed adequate competition.
The inquiry will also look into allegations that tender conditions were framed to favour certain companies, purchases were made at prices higher than prevailing market rates and tender norms were altered during the procurement process.
Officials’ role under scrutiny
The Vigilance and Enforcement Department is also examining the role of key TGMSIDC officials.
The probe will focus on officials involved in tender finalisation, supplier selection and procurement decisions. Investigators will verify whether procedures prescribed under Government Order No. 140, issued on November 9, 2022, were followed.
Reports submitted by technical committees, commercial evaluation committees and expert committees, along with approval records, will be reviewed. The inquiry will seek to establish whether any violations occurred at any stage and whether the government suffered financial losses.
Special focus on five medicines
Vigilance has sought details of procurement related to five medicines purchased in large quantities during the four-year period. These include Rituximab, Tirzepatide (as mentioned in the source copy), Insulin 50:50, Insulin 70:30 and Ferric Carboxymaltose.
Officials will analyse the difference between market prices and government procurement prices for these medicines. The investigation will also examine whether tender conditions restricted competition and whether contracts were repeatedly awarded to the same companies.
Sources said some medicines allegedly remained unused until their expiry dates. There are also allegations that expired stocks were quietly shifted to warehouses and destroyed. Vigilance is reportedly examining these claims as part of the inquiry.
Vigilance seeks 11 categories of records
As part of the investigation, the Vigilance and Enforcement Department has sought 11 categories of documents from TGMSIDC.
These include hospital indents, procurement approvals, tender notifications, tender evaluation reports, comparative price statements submitted by companies, Standing Expert Committee reports, technical and commercial evaluation committee reports, central drug store stock registers and inward and outward movement records.
Sources said Vigilance wrote to the corporation on May 20 seeking the documents. However, the TGMSIDC General Manager reportedly sought an additional five days to furnish the information.
