Fresh report alleges Delhi chief secy enabled 'lucrative collaboration' between ILBS, son's company

New Delhi: Delhi Vigilance Minister Atishi has alleged in a fresh report that Chief Secretary Naresh Kumar used his position to enable a "lucrative collaboration" between the Institute of Liver and Biliary Sciences and a company in which his son was a partner, government sources said on Friday.

There was no immediate response from the chief secretary or the Institute of Liver and Biliary Sciences (ILBS).

According to the "supplementary report" submitted to Delhi Chief Minister Arvind Kejriwal, the company was formed just 20 days after Kumar's appointment as chief secretary on April 20, 2022.

The report follows an earlier one submitted by Aitishi on a land acquisition matter in south west Delhi's Bamnoli village.

As chief secretary, Kumar also served as chairman of the ILBS governing council which, in a meeting on December 6, 2022, decided to set up a virtual or augmented reality lab at the institute.

The lab, meant for conducting research on simulation of various endoscopy procedures using augmented reality, was launched by Kumar on January 14.

A Memorandum of Understanding (MoU) of the company of Kumar's son with ILBS to collaborate on conducting research and studies on simulation of various endoscopy procedures using augmented reality was executed on January 24, the report alleged.

The company was "chosen on nomination basis without any competitive bidding process and without any due diligence of the competence or experience in healthcare sector or virtual reality", it further charged.

While the report did not provide the exact nature of any irregularity, it claimed "the MoU also provides a huge scope for profiteering to the company by providing it with joint intellectual property rights for any IP developed through this project and 50 per cent share of profits by both parties for any future commercialisation of work arising out of this collaboration".

"Prima facie it appears that Naresh Kumar has acted in violation of All India Services Conduct Rules and has used his position to enable a lucrative collaboration for his son's company at a loss to the public exchequer," the report alleged.

If the ILBS expertise and database was made commercially available through competitive bidding, large sums of revenue would have accrued to the institute, it claimed.

Instead, it was provided "free of cost" to a seven-month-old start-up with "no experience or expertise", the report further charged.

The minister in her report also recommended Kumar's suspension and sending the matter to the CBI for investigation, the sources said.

The earlier, 670-page report had alleged "prima facie complicity" of Kumar in a land acquisition matter and claimed that it would have involved a windfall gain of Rs 897 crore for stakeholders.