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Audit finds ₹93.32L fraud at UP’s Kanpur GSVM College

Posted on March 25, 2025 by Newsbit

An audit by the accountant general (AG) has uncovered financial irregularities here at GSVM Medical College, including alleged fraudulent patient admissions and inflated payments for biomedical waste disposal. The audit, covering 2020-21 to 2023-24, detected discrepancies exceeding ₹93.32 lakh, with empty hospital beds falsely recorded as occupied to justify expenses.

The audit revealed that the college awarded a biomedical waste disposal contract to a private firm at ₹30.42 per unit, higher than Jhansi Medical College’s ₹27.6 per unit for similar services. While Jhansi renewed its agreement at ₹35.80 per unit in 2023, Kanpur’s rate was increased to ₹41.17 per unit without clear justification.

The discrepancies came to light during a review of tenders issued since 2019.

GSVM Medical College principal Dr Sanjay Kala, who took charge in 2022, stated that the contract was signed before his tenure. He argued that updated state waste management guidelines—mandating capped rates—could not be applied retroactively.

Dr Kala added that the company’s payment has been put on hold after the audit’s objections. If the audit approves, the payment will be released; otherwise, it will be returned to the government.

However, auditors maintained that payments made post-2023 should comply with current norms.

Further concerns were raised over missing vehicle logbooks from the firm essential for verifying waste transportation. Despite repeated requests, the contractor failed to provide the records, leading authorities to withhold pending payments.

In its response, the firm asserted that its contract adhered to the terms of the 2019 tender and denied any wrongdoing. However, the AG’s office has sought detailed clarification on the rate increases and procedural lapses. Hindustan Times

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