Delhi High Court issues notice on plea against incorporation of Delhi Healthcare Corp Ltd without the LG's approval

  • Shreya Agarwal
  • 05:00 PM, 08 Nov 2021

The Delhi High Court today issued notice on a petition challenging incorporation of the 'Delhi Health Corporation Limited' (DHCL) and posted the matter for hearing on January 11.

The division bench of Chief Justice DN Patel and Justice Jyoti Singh was hearing the matter filed by one Abhijit Mishra, whose primary allegation was that the incorporation has been carried our without the consent of the Lieutenant Governor and thus contravention the provisions of the Government of National Capital Territory of Delhi (GNCTD) Act, 1991 and the Transaction of Business of GNCTD Rules, 1993.

It was further said that such incorporation was also against the Constitution of India, arguing that it has already been observed in the past that recommendation by the Lieutenant Governor is mandatory prior to the introduction of a Bill or amendment in the legislative assembly, wherever any amendments in law affect financial obligations of the Delhi Government. 

The petition also pointed though the Delhi Government says it has "not transferred a single penny to DHCL", Delhi Arogya Kosh's balance sheet shows a Rs. 5 crore transfer from the Delhi Arogya Kosh to DHCL. The petitioner further submitted that equity capital funding for DHCL has also been done from Delhi Arogya Kosh. 

It was argued that no audit of the same has been carried out by the Delhi Government, in defiance of prior directions of the High Court. Denying this Adv. Gaurang Kanth submitted that an audit has been carried out by Delhi government.

Cause Title: Abhijit Mishra vs GNCTD

Image Credits: Indian Express