Karnataka Government Launches Inquiry into Drug Pricing Discrepancies

The Karnataka government has initiated an inquiry into the procurement of life-saving drugs at inflated prices by the Chikkamagaluru Institute of Medical Sciences. This decision follows a complaint regarding discrepancies in pricing compared to other medical institutes in the state. Medical Education Minister Sharan Prakash Patil announced the establishment of an expert committee to investigate these irregularities during a session in Belagavi on Thursday.

During discussions prompted by a calling attention motion from BJP MLCs, including C T Ravi and Bharati Shetty, Patil revealed that tenders had been awarded to purchase 416 types of medicines from six agencies at a total cost of Rs 4.90 crore for the fiscal year 2025-26. He confirmed that supplies worth Rs 4.53 crore are currently withheld, while essential life-saving medications valued at Rs 36.28 lakh have been received.

Investigation Scope and Future Implications

Patil acknowledged that differences in drug pricing had been identified, with the Chikkamagaluru institute paying significantly more than similar institutions in Kodagu, Haveri, and Raichur. He expressed concern that similar irregularities could exist in other medical facilities throughout the state. The minister emphasized the need for a thorough examination by the expert committee, which will also be tasked with recommending a price ceiling for future drug procurements.

The inquiry arises from a backdrop of growing scrutiny over healthcare spending in Karnataka. According to Patil, while a centralized procurement system for the entire state could streamline purchases, it may also lead to disruptions in the supply of essential medicines if delays occur. As a result, the government has opted to grant autonomous medical institutes the authority to manage their own tender processes, allowing them to acquire the necessary medicines in a timely manner.

Ravi, one of the BJP MLCs involved in raising the issue, remarked on the importance of transparency in procurement practices, suggesting that the inquiry’s findings could have far-reaching implications for healthcare management across Karnataka. The investigation aims to ensure that the system remains accountable and that life-saving drugs are accessible at fair prices.

As the inquiry progresses, healthcare stakeholders will be closely monitoring the outcomes to understand the full extent of any irregularities and the potential reforms that may follow. The Karnataka Assembly’s recent passage of the Hate Speech Bill without full debate also underscores the current political climate and the urgency for accountability within government operations.

The expert committee’s findings are anticipated to play a crucial role in shaping future procurement strategies and ensuring that public health resources are utilized effectively and ethically.