Officials of the Anti-Corruption Bureau (ACB) probing the multi-crore scam in the purchase of drugs, surgical equipment, lab kits and furniture in ESI hospitals and dispensaries, are probing the alleged role of 25 more persons in the fraud.
The agency has so far arrested 12 persons, including former Labour Minister K. Atchannaidu.
The then directors of the Directorate of Insurance Medical Services (DIMS) procured the material worth about ₹975.79 crore from June 2014 to March 2019.
However, it was alleged that some public representatives, officers and staff of the DIMS and the Central Drug Stores formed into a syndicate, procured the drugs, surgical and lab equipment without calling tenders and note files and caused about ₹150 crore loss to the government.
Disclosing this to newsmen here on Wednesday, ACB Joint Director (JD) P.V. Ravi Kumar said, the agency is investigating the role of some officials, medical shop owners and middlemen in the scam.
“Based on call data and other sources, we are looking into the involvement of 25 more persons in the fraud. The bail and anticipatory bail petitions filed by the arrested in the ACB court were dismissed,” the JD said.
The ACB has identified the role of eight more persons, including some officials and private persons, involved in Employees’ State Insurance (ESI) scam.
Manhunt launched
“Special teams are trying to arrest the accused, including Venkata Suresh, son of former Labour Minister Pithani Satyanarayana, staff of some private firms and proprietors of some drug stores,” Mr. Ravi Kumar added.
“The accused procured the drugs and other material beyond the requirement and without any indents and violated the government orders. The equipment purchased include, digital X-rays, monitors, dental chair, BP apparatus, biometric machines, operation tables and other material,” the JD said.