Delhi Government Arrests Former Health Official in Procurement Scam

The Anti-Corruption Branch (ACB) of the Delhi Government has detained Dr. Vatsala Aggarwal, formerly the Director General of Health Services (DGHS), amid an investigation into alleged procurement fraud. The arrest occurred on Saturday, June 27, 2026, following the apprehension of Dr. Vijay Kumar Ranga, another key figure implicated in the same case. Both arrests are part of a broader investigation into alleged irregularities in the acquisition of medical supplies, surgical items, and equipment, with financial implications reportedly amounting to several hundred crores of rupees.

The inquiry commenced after the Directorate of Vigilance raised concerns about questionable transactions associated with the Central Procurement Agency (CPA) operating under the DGHS. Investigators alleged that the procurement processes for items such as portable X-ray machines, surgical consumables, and anaesthesia workstations were conducted at inflated prices, resulting from artificially manipulated tender specifications designed to favour specific suppliers, thus excluding legitimate bidders.

The ACB officially registered a case on June 2 under relevant sections of the Prevention of Corruption Act and criminal conspiracy laws, citing extensive misuse of public funds. As part of the ongoing investigation, officials are currently reviewing procurement records, tender documentation, and related material.

Following Dr. Aggarwal's removal from her position on May 21 and subsequent transfer to the Guru Teg Bahadur Hospital, she was suspended on the directive of Delhi Lieutenant Governor Taranjit Singh Sandhu. This action aimed to facilitate disciplinary proceedings related to the ongoing investigation.

In addition to Dr. Aggarwal's suspension, the Delhi Government has suspended five pharmacists and two officials from the CPA after an internal inquiry uncovered serious procurement irregularities, including issues related to the management and storage of medicines at various agency facilities. The ACB noted that investigations are still ongoing to further clarify the involvement of additional officials and private vendors in the alleged malpractice.

Delhi Chief Minister Rekha Gupta has emphasised the importance of a transparent and timely investigation, reinforcing the government’s position on maintaining a zero-tolerance policy towards corruption and safeguarding public funds from misuse. The Central Government Health Scheme, which serves a large number of beneficiaries, is at the centre of this scrutiny due to the alleged financial misconduct involving its procurement processes.