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BMC tender scandal: Private trust’s fake address raises questions

Updated on: 06 July,2023 06:56 AM IST  |  Mumbai
Vinod Kumar Menon | vinodm@mid-day.com

BMC’s lack of due diligence in awarding the contract to Jeevan Jyot Charitable Trust raises concerns amid alleged doctor scam; the trust’s activities are under scrutiny

BMC tender scandal: Private trust’s fake address raises questions

BMC’s official communication addressed to charitable trust with V N Desai hospital’s address

A private charitable trust having the address and phone number of the ICCU of a BMC-run hospital raises severe concerns about the corporation’s lack of due diligence. 


This evidence suggests that either the central purchase department (CPD) of the Brihanmumbai Municipal Corporation (BMC) was negligent or that there was deliberate connivance with a powerful lobby to favour the trust.


The trust, known as M/s Jeevan Jyot Charitable Trust, is currently under scrutiny for a doctor scam, allegedly defrauding the corporation of crores of rupees by violating tender conditions and providing BAMS and BHMS doctors instead of MBBS and MD doctors to run the ICCU.


A health care expert, who prefers to remain anonymous, stated, “It is evident from the BMC documents that the CPD, located in Byculla, which executed the tender and work order on behalf of the corporation, has shown a lack of due diligence. This could be attributed to either their lackadaisical attitude or deliberate connivance with a powerful lobby, either from within or outside the civic corporation, to favour the trust. As a result, no effort was made to verify the trust’s address and other contact details.”

Five years ago, in an article titled “Outsourcing ICUs in peripheral hospitals is a waste of public money, say doctors,” mid-day was the first to raise concerns about outsourcing peripheral hospital ICUs. Recently, mid-day has written a series of articles exposing the wrongdoings of the Jeevan Jyot Charitable Trust.

According to official communication from the central purchase department of BMC, dated May 17, 2018, the trust was awarded a two-year contract (May 17, 2018, to May 16, 2020) to provide intensivist services for ICU units in three civic-run hospitals: MM Malviya Hospital, Govandi (MICU and TICU); KMJ Phule Hospital, Vikhroli (MICU); and M T Agarwal Hospital, Mulund (EMS & ICCU). The total consideration for the contract was R8.83 crore, as stated by the health expert.

The trust was responsible for hiring and deploying qualified MD (medicine)/MBBS doctors to run the peripheral hospitals’ EMS/ICU/TICU. However, they hired non-allopathic doctors (BHMS/BAMS) who were not registered with the Maharashtra medical council. Furthermore, they continued to operate the ICUs even after the contract period ended, obtaining extensions until October 2022. Despite numerous complaints from patients’ relatives, medical superintendents, and even senior civic officials, including the commissioner, the complaints against the trust were ignored.

Blacklisting trust an eyewash

Regarding the BMC’s response, Goldy Sharma, a whistleblower in the case, considers the blacklisting of the trust to be merely an eyewash. Sharma, who has been investigating the trust’s wrongdoing for the past four years post the demise of his elder brother Rajkumar Sharma at MT Agarwal hospital in 2019, alleges that his complaints to senior civic and police officials went unheard. He believes that if the BMC were to take his complaint seriously, many innocent lives could have been saved. Sharma further suggests that a criminal offence should be registered against the Jeevan Jyot Charitable Trust for cheating and violating tender conditions, instead of just blacklisting the trust. He believes that a high-level corruption inquiry into outsourcing BMC peripheral hospitals is necessary and will expose several senior BMC officials and external forces.

Sharma has also reported receiving threat calls since filing a police complaint against the trustees of the Jeevan Jyot Charitable Trust. Despite informing the police and requesting protection, he continues fighting against a powerful lobby without security. As a last resort, Sharma has applied for a firearm license for self-protection, hoping the police department will evaluate his request and take necessary action. He plans to expose the trust’s activities by filing a writ petition at the Bombay High Court, incorporating crucial evidence he has collected over the past four years.

Activists demand enquiry

Activists, including Advocate Godfrey Pimenta, a trustee of the Watchdog Foundation, are demanding a thorough investigation. Pimenta finds it shocking that the Jeevan Jyot Charitable Trust, which was awarded the tender to supply doctors with MD and MBBS degrees, instead provided doctors with non-allopathic degrees to hospitals with ICUs. Furthermore, the trust listed its registered address as the ICU at VN Desai Hospital, Santacruz East, Mumbai. Pimenta emphasises that the involvement of civic officials is evident, and pending a comprehensive investigation, they should be suspended immediately to ensure a fair process.

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