New Delhi | HL 05 July, 2026
The investigation into the alleged Rs. 650-crore medical procurement scam linked to Delhi’s Central Procurement Agency (CPA) has gathered pace, with the Anti-Corruption Branch (ACB) intensifying its search for a key suspect accused of manipulating government tenders and operating a network of proxy firms.
According to officials familiar with the investigation, the ACB has carried out searches at several locations in Delhi, Noida and Dehradun after the suspect, Rajeev Rangila, failed to appear before investigators despite being served notices. Authorities are also considering issuing a Look Out Circular (LOC) to prevent him from leaving the country.
Alleged Tender Manipulation Under Scanner
Investigators allege that the suspect played a central role in influencing procurement processes within the Central Procurement Agency over several years. The probe is examining allegations that tender conditions were deliberately framed to favour selected suppliers while restricting competition.
Officials suspect that several firms allegedly linked to the accused through relatives or associates received government contracts after qualifying under customised tender conditions. Investigators are also examining allegations that fake firms and proxy entities were used to participate in procurement and secure payments from government departments.
The ACB is further looking into the role of the suspect’s family members and financial transactions connected to the procurement network.
Alleged Kickback Trail Being Examined
The investigation is also focusing on allegations that medicines and medical equipment were purchased at prices substantially higher than prevailing market rates. According to sources connected with the probe, procurement worth around Rs. 400 crore is suspected to have generated nearly Rs. 300 crore in illegal kickbacks, allegedly routed back through suppliers and intermediaries.
Investigators are analysing financial records, procurement files and payment trails to determine who allegedly benefited from the transactions and how the money may have been distributed. These allegations form part of the ongoing criminal investigation and remain subject to verification.
Senior Officials Already Arrested
The ACB has already arrested former Director General of Health Services (DGHS) Dr. Vatsala Aggarwal, former Central Procurement Agency head Dr. Vinod Kumar Ranga and former Deputy Controller of Accounts Neeraj Chopra in connection with the case.
Investigators allege that procurement decisions were influenced through manipulated tender specifications, enabling selected firms to secure contracts. The accused officials have not been convicted, and the allegations remain under investigation.
Health Department Initiates Disciplinary Action
Alongside the criminal investigation, the Delhi Health Department has begun departmental action against several employees.
The services of Data Assistant Sumit Singh have been terminated with immediate effect. In addition, Senior Assistants Arun Kumar and Kundan Kumar Singh, along with Pharmacist Hukma Ram Lohiya, have been placed under suspension pending departmental proceedings.
Officials have seized government records, computers, laptops, identity cards and other official materials connected to the dismissed employee as part of the ongoing inquiry. Investigators are examining whether the employees had any role in procurement, documentation or communication with suppliers.
Nineteen Paramedical Employees Transferred
In another administrative move, the Health Department has transferred 19 paramedical personnel who had been working on deputation at the Central Procurement Agency.
The transferred employees include pharmacists, junior medical laboratory technicians, laboratory attendants and other staff members deputed from major Delhi government hospitals, including Lok Nayak Hospital, Guru Teg Bahadur Hospital and Deen Dayal Upadhyay Hospital.
Officials said the transfers are intended to facilitate an impartial examination of procurement files, stock registers, requisition records and related documents while the investigation continues.
Probe Continues
The Anti-Corruption Branch is continuing to examine procurement records, financial transactions and the alleged involvement of suppliers, intermediaries and government officials. Investigators have indicated that additional questioning and further arrests cannot be ruled out as more evidence is analysed.
