The Supreme Court has sought a response from the Delhi government regarding allegations that the Institute of Liver and Biliary Sciences (ILBS) failed to provide mandatory free treatment to underprivileged patients. The legal challenge also highlights concerns over alleged financial mismanagement and governance gaps within the autonomous institution.
The Supreme Court of India has issued a formal notice to the Delhi government regarding a petition that accuses the Institute of Liver and Biliary Sciences (ILBS) of failing to fulfill its public health obligations. The court is examining allegations that the institute has not provided the mandatory free treatment to patients from economically weaker sections, a requirement tied to the concessional land allotted to the facility.
It is important for readers to note that ILBS is an autonomous, government-funded institution operating under the Delhi government. It is not a publicly traded company and does not have stock market implications. The focus of this judicial intervention is on public accountability, fiscal governance, and the enforcement of health policy mandates.
Concerns Over Governance and Financial Oversight
The petition before the court raises significant questions about the financial administration of the institute. Citing reports from the Comptroller and Auditor General (CAG) covering periods in 2018 and 2023, the legal filing highlights concerns about the management of public funds. These reports are cited to substantiate claims regarding significant outstanding contingency advances, reportedly totaling over ₹36 crore, and the existence of non-serviceable equipment valued at nearly ₹9.68 crore.
Furthermore, the petition alleges a lack of adequate internal oversight. It claims that the institute’s Finance Committee has not met for three consecutive years, raising concerns about the monitoring of institutional expenditures. Another point of contention is a corpus fund of approximately ₹68 crore, which the petition claims remains stagnant in fixed deposits despite recommendations that it should be returned to the public exchequer.
The judicial scrutiny also touches upon the core operational mandate of the institute. Under a 2018 Supreme Court directive, hospitals that have received government land at concessional rates are obligated to reserve 10% of their inpatient beds and 25% of their outpatient services for patients from economically weaker sections. The ongoing case aims to determine whether ILBS has maintained these specific quotas.
The Supreme Court has scheduled the next hearing for November 4, 2026, to review the response filed by the Delhi government. The final outcome of these proceedings could have implications for the administrative and operational practices at the institute.