J&K High Court Stays Suspension of Prominent Hospitals 'Shifa Medical Centre' & 'Florence Hospital' Under AB PMJAY

The Jammu and Kashmir and Ladakh High Court of Jammu & Kashmir and Ladakh has stayed the suspension orders issued against Shifa Medical Centre and Florence Hospital under the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB PMJAY). The suspensions, imposed by the State Health Agency (SHA) on January 11, 2025, were challenged by both hospitals on the grounds of procedural lapses and violations of natural justice.The suspensions were part of an SHA crackdown on empaneled hospitals allegedly violating AB PMJAY guidelines. Both Shifa Medical Centre and Florence Hospital were accused of coercing patients into paying additional charges and engaging in practices detrimental to the scheme's objectives.Staying the suspension against these hospitals a bench of Justice Mohammad Yousuf Wani ordered,“..subject to any vacation or modification upon the consideration of objections/arguments and till next date of hearing before the bench, operation of the suspension order bearing No. 03 SHA, J&K of 2025 dated 11.01.2025 is kept in abeyance”Assailing the suspension Advocate Arif Sikander Mir, representing the two hospitals had argued that the suspension orders and the preceding show-cause notices were fundamentally flawed. The show-cause notice dated December 18, 2024, provided an unreasonably short period of two days for the hospitals to respond, violating principles of natural justice, he submitted.Counsel further contended that the suspension orders were issued by an incompetent authority under outdated rules and guidelines and emphasized their longstanding reputation for delivering quality healthcare.Shifa Medical Centre, in particular, highlighted its receipt of an appreciation certificate for exemplary service under AB PM-JAY on August 15, 2023. The hospitals accentuated that the allegations against them were unsubstantiated and that they had been denied a fair hearing.Deputy Advocate General Hakim Aman Ali, appearing for the respondents, defended the suspension orders, citing multiple complaints of serious violations. The SHA alleged that both hospitals had demanded out-of-pocket payments from beneficiaries covered under the scheme, contrary to its guidelines.In a surprise inspection conducted on November 23, 2024, significant irregularities were reportedly found, including coercing patients into paying additional charges and denying treatments. The respondents argued that these actions undermined the integrity of the AB PM-JAY scheme, which is a critical social welfare initiative. They maintained that the suspension orders were issued in compliance with the scheme's rules After hearing both sides, Justice Wani noted the serious issues raised regarding procedural fairness and adherence to natural justice. The court observed that the hospitals must be given an adequate opportunity to respond to the allegations.The court ordered that the suspension orders dated January 11, 2025, be kept in abeyance until the next hearing on February 7, 2025 and in the meantime, the respondents were directed to conduct a fresh disciplinary inquiry into the allegations.The court specifically instructed the respondents to provide both hospitals with a fresh opportunity of two weeks to submit their replies to the show-cause notice dated December 18, 2024, ensuring due process is followed.Case Title: Shifa Medical City(Hospital) & Florence Hospital Vs UT of J&KClick Here To Read/Download Order

J&K High Court Stays Suspension of Prominent Hospitals 'Shifa Medical Centre' & 'Florence Hospital' Under AB PMJAY

LIVELAW NEWS NETWORK

Tags