No ICU and equipment in hospitals, non-functional mohalla clinics, only 4% of promised rooms added, and others: CAG report exposes the reality of Delhi’s health infrastructure

The Comptroller Auditor General (CAG) audit report tabled in the Delhi Assembly on 25th February laid bare Delhi’s healthcare infrastructure. Delhi Chief Minister Rekha Gupta tabled the report in the Assembly which revealed all the discrepancies in the healthcare system of the national capital.

Delhi’s poor health infrastructure and the reality of Mohalla clinics

The audit report exposed the reality of Delhi’s Mohalla clinics which were once hailed as a revolutionary step towards accessible healthcare. Some of the findings of the audit report regarding the healthcare infrastructure in the national capital are –

• Delhi’s healthcare infrastructure suffered from a range of problems, including financial mismanagement, negligence and lack of accountability in the last six years. It also highlighted an acute shortage of medical equipment and healthcare staff and the underutilization of emergency funds. The doctors at the Mohalla clinics spent less than a minute on consultations with patients.
• About 70% of the patients who visited the Mohalla clinics between October 2022 and March 2023 received consultations for less than a minute. Around 18% of the Mohalla clinics assessed were found non-operational for periods ranging from 15 days to 2 years. Out of the 74 clinics reviewed, none was found to have maintained the full stock of 165 drugs listed in the Essential Drugs list.
• Several hospitals in Delhi were reportedly found to be lacking critical medical services. Out of 27 hospitals in the city, 14 do not have ICU facilities, and 16 do not have blood banks. 12 of the hospitals were found operating without ambulance services. The AYUSH dispensaries in Delhi also lacked essential facilities like toilets, power backups, and check-up tables. Many hospitals reportedly face staff shortages, with a 21 % shortage of nurses, a 38% shortage of paramedics and around 50-60% shortage of doctors.
• The CAG report revealed that critical hospital infrastructure like operation theatres, ICU beds and private rooms were not at all utilised at Rajiv Gandhi Janakpuri Super Speciality Hospitals. Besides, the trauma centre did not have doctors for emergency care.
• Under-utilisation of Covid emergency funds was also highlighted in the report. Out of Rs 787.91 crore allocated for the COVID-19 response, only Rs 582.84 crore were utilised. Rs 30.52 crore meant for healthcare workers and Rs 83.14 crore allotted for essential drugs and PPE kits remained unused.
  • The previous AAP government failed to expand bed capacities in hospitals. Out of the promised 32,000 hospital beds, only 1,357 (4.24%) were added. Moreover, several hospital projects were delayed in the national capital, resulting in cost overruns amounting to Rs 383.52 crore. This included hospitals like Indira Gandhi Hospital, Burari Hospital and MA Dental Ph-II.
  • Hospitals have long surgery waiting periods, for example, Lok Nayak Hospital has 2-3 months waiting for general surgeries and 6-8 months waiting for burn and plastic surgeries. The CNBC hospital has a 12-month wait for pediatric surgeries.

Massive losses incurred due to the Liquor Excise Policy

The infamous Liquor Excise Policy 2-21-22 introduced by the previous AAP government which led to the arrest of former CM Arvind Kejriwal and Deputy CM Manish Sisodia was also exposed by the CAG audit report. As per the CAG audit report released on 11th January 2025, the Delhi government incurred a loss of Rs 2,002 crore in the formulation and implementation of the policy.

1. The audit report revealed that the group of ministers responsible for overseeing the policy did not consider the recommendations of the Expert Committee without offering any justification. The infirmities pointed out by the Committee in the policy were ignored. “…cases of related business entities holding licenses across the supply chain and skewed distribution pattern highlighted the risk of exclusivity arrangements and brand pushing…Some retailers retained licenses till the expiry of the policy period, some surrendered the same before the policy period was over. As retail licensees were limited in numbers, it caused a disruption in supply because the policy did not contain any provision requiring the licensees to give advance notices before surrendering the license, “the report said.
2. According to the audit report, a loss of another 941 crore was incurred by the government due to its decision to open liquor vends in non-conforming areas. “In spite of being aware that vends were required to be opened in non-conforming wards in order to achieve the objective of equitable distribution, the Department did not take timely action to work out modalities leading to non-achievement of the objective. It also resulted in loss of revenue of approximately Rs 941 crore due to exemptions which had to be given to the zonal licensees”, the report read. In addition, Rs 144 crore was reportedly lost due to an irregular grant of waiver to the licensees because of the COVID-19 pandemic-related closures.
3. The report also highlighted that many liquor wholesalers did not submit mandatory quality tests verifying compliance with the norms of the Bureau of Indian Standards (BIS). Besides, the reports of quality, harmful ingredients, heavy metals, and methyl alcohol were not submitted by several brands.
4. Financial irregularities were also found in the Excise Supply Chain Information Management System (ESCIMS). The report claimed that undue benefit of Rs 24.23 crore was given to the implementing agency. As per the contract, the implementing agency was entitled to payments only for barcode authenticated bottles at the Point of Sale (POS) during sales. However, it was found in audit that between December 2013 and November 2022, barcode authentication amounted to Rs 65.88 crore while the actual payment created was Rs 90.11 crore.

Two of the 14 CAG audit reports have been released by the Delhi government so far. Subsequently, the CAG audit reports will be examined by a Public Accounts Committee comprising MLAs from the BJP and the AAP. The committee will be empowered to call government officials and former ministers for questioning and submit its recommendations.