Overcharge by hospital: Delhi HC directs NCT govt to pay Rs 16 lakh to district judge as reimbursement for Covid-19 treatment

There was no bed available for his treatment in an empanelled hospital in Delhi when Kumar had to be hospitalised for treating Covid-19. At the PSRI, Kumar remained on a ventilator for a period of three weeks.

A single judge bench of Justice Rekha Palli noted that “…Undoubtedly, respondent nos. 1 to 3 are justified in urging that the respondent no. 5 had charged much beyond what was prescribed in the circular dated 20.06.2020 issued by the GNCTD (Government of National Capital Territory of Delhi), and it is only because of the said overcharging that the petitioner had to incur much higher expenses than what have been reimbursed to him by the respondent nos. 1 to 3. However, the fact remains that during April and May, 2021, when the residents of Delhi were not only struggling to get hospital beds, but there was also a huge shortage of oxygen, the petitioner, had no other option but to take treatment at respondent no. 5, and has thankfully survived. One shudders to think what fate the petitioner would have met if he had not, at that point, been treated at respondent no. 5 hospital.”

The high court in its November 22 order held that the judicial officer, who had to spend his hard-earned savings while undergoing treatment to save his life, cannot be denied full reimbursement for the failure of the hospital to abide by the circular of the Delhi government.

The Court did not go into the validity of the June 2020 circular while adjudicating the plea wherein the judicial officer sought “simpliciter reimbursement of the amount for the bona fide expenses incurred by him” for treatment of Covid-19.

The high court rejected the Delhi government’s argument that the hospital should either be directed to explain its stand on the plea regarding its action of charging amounts higher than the ones prescribed in the circular or be instructed to refund the balance amount.

Allowing the judicial officer’s plea, the Delhi High Court observed that the Delhi government should reimburse the judicial officer and, if permissible, recover the same from the hospital. “It is however made clear that this Court has not expressed any opinion on the validity of the circular dated 20.06.2020 and therefore, it will be open for the respondent nos. 1 to 3 to pursue its remedy as per law, against respondent no. 5, including taking penal action, and recovery of any amount which it perceives has been charged in excess,” it said.

The high court directed the government to pay the remaining amount within four weeks.