Supreme Court Directs Governments To Address Exploitation In Private Hospitals

The Supreme Court of India has issued a directive to the central and state governments to formulate policies to curb the exploitation of patients and their families in private hospitals.

This decision was made after addressing the issue of patients being coerced into purchasing medicines and medical supplies from the hospital’s own pharmacies at inflated prices.

Key Court Directions

The Supreme Court bench, comprising Justices Surya Kant and Kotishwar, emphasized that all state governments must regulate private hospitals, which often force patients to buy medicines and medical devices at exorbitant prices.

The court highlighted that such practices are a breach of basic patient rights and fairness.

Furthermore, the court ruled that governments should be sensitive to unfair practices and should address any issues relating to undue charges or exploitation promptly.

In this case, Siddharth Dalmia filed a petition raising concerns that private hospitals exploit patients by compelling them to purchase medicines from the hospital pharmacy, where prices are often significantly higher than market rates.

Dalmia, who filed the petition after personally experiencing the issue with a relative, argued that patients are being unfairly burdened.

Government Accountability & Private Hospital Regulations

The court’s ruling highlighted the state governments’ failure in ensuring accessible and affordable medical infrastructure for citizens.

Justice Surya Kant mentioned that state governments must control private hospitals to prevent such exploitation, which, in turn, undermines the democratic principle of providing basic healthcare for all.

“Not only people, but States look to private hospitals for providing basic and specialised service to the public at large,” the court noted.

While emphasizing the need for regulation, the court also warned against taking an overly stringent approach that could discourage private investors who help fill the gaps in the public healthcare system.

“It will not be advisable for the court to issue mandatory conditions that would hamper the establishment of hospitals by the private sector,” stated the court.

Court’s Caution On Over-Regulation

Though the court has instructed the governments to formulate guidelines to regulate private hospitals, it also cautioned against adopting a harsh stance that could negatively affect the healthcare sector.

The ruling made it clear that stringent actions against private hospital owners could discourage future investments, which would ultimately be detrimental to the country’s healthcare sector.

This landmark judgment by the Supreme Court has placed a significant responsibility on both the central and state governments to ensure the fair treatment of patients in private healthcare facilities.

It also reinforces the need for creating policies that balance patient protection with the smooth functioning of private hospitals.

By addressing the rampant exploitation seen in many private hospitals, the court aims to ensure a more transparent and accountable healthcare system for citizens.

This decision highlights the Court’s commitment to addressing issues within the private healthcare sector and safeguarding the interests of patients across India.

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