The Competition Commission of India has decided to widen the scope of investigation into a matter related to alleged unfair pricing by super-speciality hospitals in and around Delhi.
The commission had directed its investigative arm, the Director General, to probe into alleged violation of provisions of Section 3 and 4 of the Competition Act, 2002, relating to imposition of unfair prices by private super-speciality hospitals.
On examining the report submitted by the DG, the commission found prima facie contravention of the provisions of the Act, noted a release issued on Wednesday. “Huge profit margins are being earned by sale of products to the locked-in in-patients to the detriment of such patients,” it noted.
Probe scope
“Considering the mandate given to the commission to eliminate the practices having adverse effect on competition and to protect the interest of consumers, the commission decided to widen the scope of investigation to cover the practices of super speciality hospitals across Delhi in respect of healthcare products and services provided to their in-patients,” the release stated.
The commission maintained that the investigation will focus on the products sold by the super-speciality hospitals to their inpatients “which are not required on an urgent basis for any medical procedure/intervention or which do not involve any high degree of quality issue from the medical procedure point of view”. The commission has directed the DG to swiftly complete the investigation, it noted.
“By broadening the scope of investigation in the matter, the commission aims to prevent practices having adverse effect on competition in the tertiary healthcare sector,” noted the release.