Delhi High Court Decision on Hospital

New Delhi: The Delhi High Court on Tuesday asked the Delhi government to take a decision 'as early as possible and practicable' on the offer made by a doctor, whose 150-bed multi-speciality hospital was closed down due to insolvency resolution process against its parent company, that he would put in the funds required to operationalise it to run on a day-to-day basis.

A bench of Chief Justice D N Patel and Justice Jyoti Singh directed the Delhi government to take a decision in consultation with the Centre and the insolvency resolution professional appointed by the National Company Law Tribunal.

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The court said that the decision be taken 'in accordance with the law and as early as possible and practicable'.

It said it was not fixing a time limit for taking the decision as the government was already burdened with a lot of things that it has to do during the prevailing pandemic.

With the observation, the bench disposed of the plea.

The order came after the doctor, Rakesh Saxena, who had set up the hospital said he will put in Rs 15 lakh initially for operationalising the equipment there and thereafter, he will put in Rs 4 lakh every month towards running costs.

He also told the court that he would bring in his team of doctors and would run the hospital as per the rates fixed by the Delhi government.

The Delhi government had earlier told the court that operational licence can be given for the hospital if it has all the requisite infrastructure in place.

It had, however, said that it cannot bear the expenditure or provide logistical support for running the hospital as a COVID-19 centre as its resources -- manpower, medicines and equipment -- were already 'stretched thin' in operating its own hospitals.

The submission was made on an affidavit filed through Delhi government standing counsel Santosh K Tripathi who said the licence can be granted if the court so directs and if the hospital -- Febris Multispeciality Hospital -- is in compliance with the parameters given in the Delhi Nursing Homes Registration Act.

The affidavit has been filed pursuant to the court questioning the logic behind the Delhi government's decision not to use the 150-bed multi-speciality hospital when its services and that of its medical team were being offered by the doctor who established it.

Saxena, who set up Febris Multispeciality Hospital under the parent company Durha Vitrak Pvt Ltd, said that considering the serious situation in the national capital -- grappling with a huge surge in COVID-19 infections and shortage of beds, oxygen and medicines -- his hospital be used to help people.

He has said the Centre or Delhi government can take over the hospital closed since 2019 and use the facilities there for COVID-19 patients.

In his petition, he has urged the court to direct renewal of the license of the hospital in view of the prevailing emergent situation on the ground.

The corporate insolvency resolution process was initiated against the company on an application filed before the National Company Law Tribunal by the LIC Housing Finance Ltd, a creditor of Durha Vitrak Pvt Ltd.

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