Officials are cracking down on 203 of the network’s hospitals for various irregularities

Contractual health workers under the Andhra Pradesh Doctors and Health Contractual Joint Action Committee (JAC) along with their children staged a protest at King George Hospital (KGH) in Visakhapatnam on Saturday demanding regularization, payment of full gross wages and job security. | Photo credit: In Paradise

More than 200 hospitals in Andhra Pradesh involved in the Dr. NTR Vaidya Seva, has been arrested over the last two years for various irregularities in providing health services to patients.

According to a statement by the Ministry of Health, Medical Care and Family Welfare, the NTR Vaidya Seva Trust has imposed fines totaling ₹34.39 crore on 203 hospitals and initiated disciplinary proceedings against 44 hospitals.

This includes 25 suspensions, 13 suspensions of payment, the removal of five hospitals from the network and the de-accreditation of one hospital.

Some of these hospitals charged for treatment that should have been provided free of charge to beneficiaries under the scheme.

Other complaints included denial of cashless treatment to eligible beneficiaries, delay in treatment, failure to follow prescribed medical protocols and neglect of patient care.

The trust investigated these complaints and took action against the erring hospitals. NTR Vaidya Seva Trust CEO Dr. Padmavathi submitted a report on these measures to Health, Medical and Family Welfare Minister Satya Kumar Yadav.

According to the report, officials are analyzing hospital bills and prior authorization applications to identify unusual patterns, excessive use of medical packages and suspicious transactions.

This process also helps detect duplicate billing, changes in medical records, and abuse of the system.

NTR Vaidya Seva Trust uses Artificial Intelligence (AI) based systems to expedite account verification, ensure consistency in audits and settlement of pending accounts.

Accounts flagged by AI as suspicious are not automatically considered fraudulent; a final decision on disciplinary action is made only after district and state officials conduct an investigation, review medical records and find sufficient evidence.

Published – October 11, 2026 12:51 PM IST