Siddhanta Hospital: A Symbol of Collusion Between the Influential and a Corrupt System

Bhopal : 5 July 2026
Introduction: Siddhanta Hospital is, in name, a healthcare institution where patients receive treatment and relief from serious illnesses. However, it is alleged that the hospital charges patients exorbitant amounts in the name of medical care. Siddhanta was originally established as a partner institution of the Red Cross Society. The Red Cross Society had provided the facility with the objective of promoting public health and social welfare. Contrary to that purpose, questions have been raised regarding everything from the agreement under which it operates to its day-to-day management.
Operating from within the Red Cross Society campus, the hospital has allegedly become synonymous with serious irregularities, corruption, malpractice, and unauthorized encroachment. From the contractual arrangements to its operation, it is alleged that influential individuals misused Red Cross land and resources in a manner that suggests rules and laws apply only to ordinary citizens. The famous line from the Ramcharitmanas, “Samrath ko nahi dosh gusain” (“The powerful are seldom blamed”), appears to reflect the situation.
Details: How Rules and Conditions Were Allegedly Manipulated
Arbitrary Agreement and Questionable Appointments
To understand the controversy, one must first examine how the agreement was allegedly structured to favor certain interests. The process reportedly began in June 2014. First, the appointment of a General Secretary was allegedly made arbitrarily. Subsequently, a fully constructed building situated on land worth crores and potentially billions of rupees was transferred under terms that critics describe as highly favorable and far below its true value.
It is uncommon to hear of a tenant imposing conditions on a landlord. However, critics argue that the agreement between Siddhanta and the Red Cross demonstrates how influential individuals can allegedly dictate terms even to the property owner. They further allege that valuable public assets were effectively taken over for nominal consideration, creating opportunities for large-scale corruption.
According to these allegations, not only Siddhanta Hospital owner Subodh Varshney, but also several influential political figures were involved. The process through which Siddhanta obtained Red Cross land has been criticized as involving both irregularities and possible corruption. The agreement’s conditions are alleged to have been designed primarily to benefit Siddhanta and, specifically, Subodh Varshney.
On June 5, 2014, Rajiv Nayan Tiwari was allegedly appointed General Secretary without a board meeting or formal approval (Order No. IRCS/2014/3681 dated June 5, 2014). Merely fifteen days later, the order was reportedly amended to remove provisions that could have led to his removal, thereby ensuring continuity in his appointment (Order No. IRCS/2014/3940 dated June 20, 2014).
Critics describe this as the first step toward establishing Siddhanta. Subsequently, it is alleged that a plan was implemented to transfer control of an existing working women’s hostel operated on Red Cross land. Then-Chairman of the Red Cross Society Mukesh Nayak (currently associated with the Indian National Congress as a state media in-charge and a former Cabinet Minister), General Secretary Rajiv Nayan Tiwari, and Subodh Varshney allegedly prepared an agreement in June 2014 that overwhelmingly favored Siddhanta. The agreement was later registered, allegedly making it difficult for future chairpersons or officials to remove Siddhanta from the premises. Even Favorable Contract Terms Were Allegedly Insufficient
Initially, Siddhanta was reportedly granted permission to operate only 11 medical specialties. However, it is alleged that the hospital expanded operations to more than 17 specialties, exceeding the original authorization. Critics claim that substantial revenues have since been generated through these expanded activities.
Furthermore, while the agreement allegedly covered only 24,000 square feet, it is claimed that Subodh Varshney extended operations to approximately 27,500 square feet, thereby encroaching upon additional land beyond the contracted area. Critics argue that even the favorable contractual provisions were not enough to satisfy these ambitions.
Alleged Collusion Within the Administrative System
According to the allegations, Siddhanta Hospital’s building itself was constructed in violation of approved building regulations. The structure is claimed to exceed the permitted specifications. Despite objections reportedly raised by the town planning authorities, critics allege that Siddhanta has continued to operate uninterrupted due to support from a corrupt administrative system.
The allegations extend beyond the construction authorities to the health department as well. In 2022, then-Chief Medical and Health Officer (CMHO) Prabhakar Tiwari reportedly issued an inquiry report that cleared Siddhanta of all allegations. Despite repeated complaints, critics argue that the health department failed to take meaningful action and continues to remain inactive.
Complaints and Alleged Protection by Influential Figures
It is not the case that complaints were never filed. Numerous complaints have reportedly been submitted, but critics claim that the principle of “the powerful are never blamed” has prevailed, with authorities allegedly ignoring the allegations.
In August 2017, retired Major General S. R. Sinha reportedly wrote to the Governor of Madhya Pradesh raising concerns about the matter. However, critics say the complaint remains unresolved.
In 2022, another complaint was submitted to the CMHO of Bhopal regarding alleged irregularities, mismanagement, inadequate healthcare services, and high treatment costs. According to the allegations, then-CMHO Prabhakar Tiwari not only failed to act on the complaint but instead allowed Siddhanta to continue operations.
Earlier, in 2015, a complaint was reportedly lodged with the Economic Offences Wing (EOW), but critics claim that it too remains pending without resolution.
The current Chairman of the Red Cross Society and retired IAS officer Shyam Singh Kumre is reportedly taking cognizance of the matter and attempting to address what critics describe as corruption and irregularities. Whether these efforts will lead to meaningful action remains to be seen.




