Khyati Hospital Scam Explained: Unnecessary Angioplasty, PM-JAY Fraud and Patient Deaths

The Khyati Hospital case came to light after two patients died following angioplasty in November 2024, triggering a probe into alleged unnecessary procedures and fraudulent PM-JAY claims
Khyati Multispeciality Hospital board.
According to investigators, the fake PM-JAY cards were issued to the patients so that the hospital could falsely gain government funds.Google Maps
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New Delhi: On February 10, 2026, the Supreme Court refused to cancel the bail of Dr. Prashant Vazirani, a Cardiologist at Khyati Multi Speciality Hospital in Ahmedabad. Dr. Prashant was arrested for doing unnecessary angioplasty operations on PMJAY beneficiaries; the patients later died.

Dr. Prashant Vazirani was arrested on November 13, 2024, in Khyati Hospital Case, after he performed unnecessary angioplasty on seven patients in Khyati Hospital, two of whom died following the procedures.

On November 28, 2024 the GMC cancelled his medical license for three years. In April 2025, Dr. Prashant made an appeal to NMC that led to an interim stay. In May 2025 his bail plea was rejected by the court. He was later granted bail on December 8, 2025. 

A bench of justice including JK Maheshwari and AS Chandurkar refused to cancel his bail, which was granted to him on December 8, 2025 by the Gujarat High Court.

The bench said that he is a doctor and he should be allowed to serve. However, authorities can keep a watch on him if he does something wrong.

What Happened in the Khyati Hospital Angioplasty Case?

The case dates back a few years ago, when investigators were investigating the deaths of 2 patients in Khyati Hospital who were made to undergo angioplasty surgery even when it was not needed

The case regarding the death of 2 patients at Khyati Hospital was filed on November 11, 2024. The investigators then learned that there had been three more deaths in the hospital in the duration of the last 18 months. All the patients were from  nearby villages, and they all died post their angioplasty surgery at Khyati Hospital in Bodakdev. 

According to reports by TOI, the patients were brought from medical camps that were arranged by Khyati hospital in the nearby areas during 2023-2024. 

A few of the patients were told that they needed urgent surgery for their heart even without any medical tests, and were therefore taken to the hospital to perform the said surgeries. 

The relatives of the deceased told police that the doctors behaved very unprofessional with their family and that the doctor found a heart blockage during a quick check-up without doing standard tests like an ECG, 2D Echo, or TMT

The doctors then allegedly told the patients that they could not give a final, certain diagnosis without using these advanced tests. 

The investigators then examined other medical camps that were conducted by Khyati Hospital in the nearby villages including, Kadi, Mehsana, Khavad, Kanjari, Vinayakpura, Vaghroda and Borisana, between 2023 and 2024. Amongst the five patients who died were Muji Chavda and Fataji Thakor. Muji Chavda was diagnosed at the Khavad camp, and Fataji was diagnosed at the Vaghroda camp. Both of them had their angioplasty surgery at Khyati Hospital. After the surgery, Muji died of complications at UN Mehta Hospital on March 23, 2023, and Fataji Thakor died on October 15, 2023, at Khyati Hospital. The angioplasty surgeries were allegedly done by Dr. Prashant Vazirani. 

According to the reports, the relatives of the patients alleged that the false angioplasty surgeries were conducted because Khyati Hospital  wanted to steal cash benefits from the Pradhan Mantri Jan Arogya Yojana (PM-JAY) scheme.

Surgery equipments on blue sheet.
The issues began to unravel when police noticed a major red flag: the hospital’s fatality rate stood at 1.3% from 2021 to 2024.Jonathan Borba/Pexels

What Did the Investigation Find About PM-JAY Claims by Khyati Hospital? 

According to the reports, Khyati Hospital treated 8,534 patients between September 2021 and October 2024. Around 3,842 patients were treated under PM-JAY.

The investigators found out that allegedly 112 patients died during treatment or due to post-surgery complications during this period.

The hospital also submitted false reports to create an urgency for patients to get their angioplasty done so that they could get faster approvals and eventually get the money from the PM-JAY accounts.

How Were Fake PM-JAY Cards Allegedly Used in the Khyati Hospital Case?

According to the Ahmedabad Crime Branch, officials from Khyati Hospital also issued fake PM-JAY cards to people who were not eligible for the scheme. Fake cards were given to people for a nominal amount of Rs. 1500- Rs. 2000. 

The crime branch arrested 6 people who were involved in this racket.

According to investigators, the fake PM-JAY cards were issued to the patients so that the hospital could falsely gain government funds.

Khyati Hospital Scam: How the PM-JAY Fraud Came to Light 

According to officials, the CEO of Khyati Hospital, Chirag Rajput, was one of the suspects arrested in the PM-JAY card scam in November 2024. The Director of the hospital, Rajshri Kothari was also arrested after being on a run in December 2024.

The issues began to unravel when police noticed a major red flag: the hospital’s fatality rate stood at 1.3% from 2021 to 2024. More problems arose when the investigators found out discrepancies in financial statements, where the hospital showed fake losses to hide their fraud. Khyati Hospital cheated the government of crores by submitting fake bills of procedures that they did to patients unnecessarily.

Many healthcare scams have been going on across the country, from organ trafficking to fake PM-JAY cards, but the issue is that many innocent people are suffering huge losses of life and money because of corruption in the healthcare system. 

(Rh/ARC/MSM)

Khyati Multispeciality Hospital board.
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