Jaipur: The Rajasthan High Court has denied bail to two doctors accused of alleged fraud in the Rajasthan Government Health Scheme (RGHS) and causing financial loss to the state government.
Justice Chandra Prakash Srimali rejected the bail pleas of Dr. Kamal Kumar alias K.K. Agarwal and Dr. Banwari Lal alias B. Lal, a partner in a diagnostic centre.
The High Court said doctors hold a respected position in society and that fraud in a government health scheme can affect the healthcare system as well as public trust.
Fake Records Allegedly Used to Claim RGHS Payments
According to the allegations, the two doctors used fake documents and records in the names of patients to obtain payments for medical tests and treatment.
The case also involves allegations of fake records being used to claim payments for investigations such as MRI and CT scans.
The government alleged that the records were prepared in the names of RGHS beneficiaries and used to obtain payments from the scheme.
1,390 Beneficiaries Allegedly Linked to Fake Consultation Slips
The state government told the High Court that between September 2023 and August 2025, fake consultation slips were allegedly prepared in the names of 1,390 RGHS beneficiaries.
According to the government, these fake slips and other records were then used to obtain payments for investigations and treatment in the names of patients.
The government also alleged that payments for MRI and CT scans were obtained on the basis of these fake documents.
Diagnostic Centre Allegedly Received ₹1.30 Crore from RGHS
The government claimed that the diagnostic centre received around ₹1.30 crore from RGHS on the basis of the allegedly fake records.
The state further told the High Court that the alleged fraud was not limited to this amount.
According to the government, different methods were allegedly used in the wider case, causing a financial loss of around ₹7 crore to the state government.
Doctors Cited Custody and Completion of Investigation in Bail Pleas
The doctors argued that they had been in judicial custody for a considerable period and that the police investigation had already been completed.
They also pointed out that the charge sheet had been filed and argued that there was no strong reason to keep them in custody.
The state government opposed the bail pleas, citing the seriousness of the allegations, the alleged fake records and the financial loss caused to the government.
High Court Rejects Bail Over Alleged Fraud in Government Health Scheme
After hearing both sides, the High Court refused to grant bail to the two doctors.
The Court took into consideration the allegations and the alleged financial loss to the state government.
It also observed that doctors have a respected position in society and that alleged fraud in a government health scheme is not limited to financial loss. Such conduct can also affect the functioning of the healthcare system and the trust of the public.
Trial Court Asked to Expedite Proceedings
Along with rejecting the bail pleas, the High Court directed the trial court to speed up the proceedings.
The trial court was asked to fix nearby hearing dates and take necessary steps to ensure the presence of witnesses.
The High Court also directed that statements of important witnesses be recorded on priority and that efforts be made to complete the trial at the earliest.
The allegations against the doctors will ultimately have to be established on the basis of evidence during the trial.