By Special Correspondent
Bhopal: A major scandal has shaken Madhya Pradesh’s health system after former minister and Raghogarh MLA Jaivardhan Singh exposed what he described as a Rs 943-crore “deeply organised and highly alarming” pathology outsourcing scam in the State Health Department. Singh has demanded a CBI investigation, alleging that the fraud is one of the largest and most systematic cases of corruption in the State’s recent history.
In response to a question raised by him in the Assembly, the department supplied an unprecedented 68,000 pages of documents. Preliminary scrutiny, Singh said, has already revealed shocking inconsistencies indicating a meticulously planned racket involving outsourced pathology services across 2,019 government institutions.
According to Singh, the outsourcing firm Science House claimed in official records to have conducted 12.84 crore pathology tests between 2020–21 and 2025, despite the State’s population being only around seven crore. He argued that no population could undergo such a number of tests within a year, particularly when many districts reported dysfunctional machines and negligible actual testing. “The numbers themselves expose the fraud,” he said, asserting that fake tests were billed to extract hundreds of crores from the State treasury.
Between 2020–21 and 2025, the company received payments amounting to Rs 943 crore. Singh further revealed that two companies operated by the same individual were awarded contracts under different names, with significant variations in test rates Rs 50 in one and several times higher in the other—suggesting large-scale manipulation of pricing.
He also alleged massive GST fraud, stating that the company charged 18% GST on healthcare services despite such services being exempt under central guidelines. This, he said, resulted in further losses to the government.
Singh claimed that fake reports were generated without conducting tests in several CHCs, PHCs and block hospitals, amounting to “direct cheating of patients.” He added that despite previous action by the ED and Income Tax Department and the company owner’s arrest, the State government granted the firm an extension in July 2025.
Accusing the BJP government of shielding corruption, Singh said the Congress would take the matter to the public and continue to press for a fair and independent CBI inquiry.
