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Sunday, September 23, 2007

Lilavati hospital in financial mess

More than Rs 50 crores of public money has been misused by one of Mumbai's leading hospitals, the Lilavati Hospital.

The Lilavati hospital of Mumbai is famous for its celebrity patients but now it is under the scanner for the wrong reasons.

An investigation ordered by the Supreme Court has revealed a shocking misuse of funds in the hospital, which is under the Bombay Public Act Trust.

NDTV has a copy of the report that lists misappropriation of funds worth over Rs 50 crore in the last few years.

In 2002 the hospital spent Rs 15 crore to buy equipment, but not a single machine has ever reached the hospital.

The same year the hospital shows an expenditure of Rs 2 crore for maintainance, but the amount was never sanctioned by the trust.

Over Rs 3 crore were spent on the foreign trips of lawyers representing the hospital but these visits were actually made to settle the personal lawsuits of the managing trustee Vijay Mehta.

Between 2003 and 2004, Lilavati Hospital gave a loan of Rs 6 crore to the Madhumati Trust owned by an official of the hospital. This money was given when the hospital itself was deep in debt.

It's because of a dispute between two trustees that the case came up in the Supreme Court last year. And now it has opened a virtual can of worms.

Source: www.ndtv.com

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