Madras High Court Quashes Govt Order Sealing Private Hospital Allegedly Involved In Illegal Sale Of Oocyte

Justice Abdul Quddhose quashed the order after observing that the respondent authorities had failed to record in writing the reasons for suspending the registration of the clinic establishment without issuing any notice, as was necessary under proviso to Section 5 of the Tamil Nadu Private Clinical Establishment (Regulation) Act 1997 and Section 20(3) of the Pre-Conception & Pre-Natal Diagnostic Techniques Act, 1994.

Sudha hospital was shut down by the Government of Tamil Nadu  earlier this month after an alleged Illegal sale of oocytes of a minor girl using forged Aadhaar Card came to light. The hospital equipments were sealed and the in patients were directed to be discharged within a period of 15 days. Against this order, the writ petition was preferred. 

When the matter came up before the court today, the petitioner contended that the order of sealing of the hospital and preventing them not to intake any new patients was violative of Article 19 of the Constitution. They also contended that the drastic order was passed without granting them an opportunity of hearing under Section 5(2) of the Tamil Nadu Private Clinical Establishment (Regulation) Act 1997. Highlighting that the Petitioner was a reputed hospital that had been functioning in Erode for the past 35 years, the petitioners also pointed out that there were patients in the hospital who required treatment which included scanning and therefore the seizing of ultrasound scan machine and other equipments would affect them drastically. 

Per contra, the Additional Advocate General appearing for the respondent submitted that the order was passed after investigation by a team revealed gross violations in the conduct of the management of the hospital. The hospital had received oocyte from a minor girl through illegal procedures in gross violation of the Assisted Reproductive Technology (Regulation) Act, Pre-Conception & Pre-Natal Diagnostic Techniques Act, 1994 and the Tamil Nadu Private Clinical Establishment (Regulation) Act 1997, the AAG submitted.

It was further argued that the hospital authorities were aware that the child was minor and still proceeded with the medical procedure following the age provided in the fake Aadhaar Card. The respondent also contended that since public interest was involved, the respondent was within authority when it ordered sealing of the Hospital without granting them an opportunity of hearing. 

The court after hearing both the sides recommended that a panel of doctors, to be appointed by the Respondent, could be directed to supervise the operations of the hospital till the final disposal of the case. However, the same was refused by the State. 

The court, after closely looking into the provisions of the Tamil Nadu Private Clinical Establishment Act and the Pre-Conception & Pre-Natal Diagnostic Techniques Act, was of the opinion that the respondent had failed to record in writing the serious allegations that were made against the hospital and which were listed out in the counter affidavit. 

The court thus quashed the impugned order and directed the respondent authorities to de-seal the hospital equipments within a period of three days. The authorities were also directed to consider the matter afresh and conduct fresh investigation after giving reasonable opportunity of hearing to the hospital. 

Case Title: Sudha Hospital v. The Director of Medical And Rural Health and another

Case No: WP No. 18572 of 2022

Citation: 2022 LiveLaw (Mad) 315