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Ex-Delhi officer Dr Vatsala Aggarwal was arrested in connection with an alleged multi-crore procurement scam. Photo: Viral X

Ex-Delhi DGHS chief arrested in alleged multi-crore medical procurement scam

| @indiablooms | Jun 28, 2026, at 12:10 pm

The Delhi government's Anti-Corruption Branch (ACB) on Saturday arrested former Director General of Health Services (DGHS) Dr Vatsala Aggarwal in connection with an alleged multi-crore procurement scam involving medicines, surgical consumables and medical equipment, officials said.

The arrest comes days after the ACB apprehended Dr Vijay Kumar Ranga in the same case. A Delhi court later remanded Ranga to four days' police custody.

Probe into procurement worth hundreds of crores

According to the ACB, the case relates to alleged large-scale financial irregularities in procurements worth several hundred crores of rupees carried out by the Central Procurement Agency (CPA), which functions under the DGHS.

The investigation was launched after the Directorate of Vigilance flagged suspicious transactions and possible procedural violations in the procurement process.

Investigators have alleged that portable X-ray machines, bed sheets and linen, C-arm radiological equipment, anaesthesia workstations, oral rehydration solution (ORS), surgical consumables and medicines were purchased at highly inflated prices through manipulated tender processes.

Allegations of tailor-made tenders

The ACB alleged that procurement specifications were deliberately designed to favour select suppliers while excluding genuine bidders, resulting in the alleged misuse of public funds running into hundreds of crores of rupees.

Based on the complaint, the agency registered a case on June 2 under relevant provisions of the Prevention of Corruption Act and criminal conspiracy sections of the Bharatiya Nyaya Sanhita.

Officials said procurement records, tender documents and related files are being scrutinised as part of the ongoing investigation.

Aggarwal was removed, later suspended

Dr Aggarwal was removed from the post of DGHS on May 21 and placed under "awaiting posting" before being transferred to Guru Teg Bahadur Hospital.

She was subsequently suspended on the directions of Delhi Lieutenant Governor Taranjit Singh Sandhu to facilitate disciplinary proceedings.

Earlier on Saturday, the Delhi government also suspended five pharmacists and two officials of the Central Procurement Agency after an internal inquiry reportedly found serious irregularities in the procurement, storage and management of medicines at various agency stores.

Government vows strict action

Chief Minister Rekha Gupta reiterated that her government follows a zero-tolerance policy towards corruption and administrative negligence, warning that strict action would be taken against any official found guilty of wrongdoing.

The chief minister had earlier sanctioned a corruption probe against Dr Aggarwal and other Health Department officials under Section 17A of the Prevention of Corruption Act.

The ACB said further investigation is underway to ascertain the role of other government officials and private suppliers in the alleged procurement scam.

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