The special court for ACB cases on Wednesday granted the anti-corruption agency, which is investigating the drug scam in the Directorate of Insurance of Medical Services (DIMS), Vijayawada, three-day custody of former Labour Minister and Tekkali MLA K. Atchannaidu. The court also dismissed the bail petitions filed by the accused.
The court directed the ACB officials to question the MLA at the Guntur General Hospital, where he is undergoing treatment.
Officials of the ACB are probing the alleged multi-crore scam that occurred in DIMS and some ESI Hospitals and dispensaries across the State.
In January, Vigilance and Enforcement (V&E) officials conducted an inquiry into the scam, visited a few Employees’ State Insurance (ESI) Hospitals, dispensaries and diagnostic centres and found many irregularities in procuring the material.
V&E and ACB sleuths found that the officials procured medicines, surgical equipment, dressing material, furniture and other material, worth about ₹988 crore without inviting open tenders and gave the contracts without sanction from the government.
The agencies, which managed to get the contract, violated the rules and resorted to large-scale irregularities. ACB officials identified 19 persons, including a few officers, and have arrested a few accused in the case so far.