Telangana IMS director arrested in multi-crore drugs scam

Hyderabad, Sep 27 (IANS) Telangana's Anti-Corruption Bureau (ACB) on Friday arrested Insurance Medical Service (IMS) Director Devika Rani and five others in a multi-crore- scam in supply of medicines to dispensaries and hospitals under the Employees State Insurance (ESI) scheme.

After simultaneous raids at 23 places in Hyderabad and Warangal, the ACB sleuths took Devika Rani into custody from her residence in Hyderabad and later shifted her to the ACB office for questioning. Five other officials and pharmacists were also taken into custody. The arrested are likely to be produced in a court later in the day.

The director and other officials allegedly caused losses to the government exchequer by purchasing medicines through special medical drug dispensing units instead of 'rate contract' firms during 2017-18.

IMS director allegedly diverted several crore rupees by purchasing drugs and surgical kits from unauthorised firms under the guise of emergency. They are facing charges of making false indents, falsifying records and violating rules in purchasing medicines.

The anti-graft agency launched an inquiry into the scam following directions from the state government.

The Vigilance and Enforcement wing had earlier conducted a probe into the allegations that Devika did not follow the eligibility criteria in selection of firms for supply of medicines. The probe found that the medicines were brought at exorbitant prices, in violation of the procurement procedures and e-tender process.