Pills, Profits, and Paper Trails: ₹1.87 Crore Vanishes in Gujarat Clinical Trial Scam

A five-member probe panel constituted by the Ahmedabad Municipal Corporation (AMC) , Gujarat has found that 15 doctors from the VS General Hospital in Paldi, Ahmedabad, allegedly siphoned off ₹1.87 crore in clinical trial funds into their personal bank accounts between 2021 and 2025.

1. Probe investigates 65 human clinical trials involving drug interventions, bioequivalence studies, and post-marketing surveillance for conditions like diabetes, obesity, lupus, skin infections, and heart ailments.

2. Financial malpractices include dividing the trial fees directly into private accounts rather than through hospital finances.

3. Specific figures include:

   • ₹3.25 lakh credited to a former Medical Superintendent

   • ₹56.04 lakh to an Associate Professor

   • ₹91.83 lakh to another doctor

   • Between ₹20,000 and ₹4 lakh to 12 other doctors.

4. In sharp contrast, only ₹10.63 lakh went into the hospital’s accounts

1. The probe flagged 58 clinical trial agreements with inconsistent formats and unclear financial terms, reflecting systemic irregularities.

2. Many trials were authorized by private ethics committees, as VS Hospital lacked its own after separation from NHL Medical College in 2019–20.

1. In April, eight contractual doctors were dismissed and one faculty member suspended based on preliminary findings.

2. The final report, submitted last week, has led to chargesheets against the former Medical Superintendent and Associate Professor.

3. The AMC will issue recovery notices to the doctors involved. Failure to repay may trigger further action.

4. An inquiry, slated to last 3–4 months, will follow before recommendations are made by an AMC-designated officer

1. AMC officials emphasize that no adverse impact on trial participants has been established.

2. However, doctors involved in trials may face re-evaluation to ensure participant safety and data integrity.

1. The probe relied on bank statements, transaction references from Site Management Organizations, and documentation from pharmaceutical companies.

2. Findings have been forwarded to the Drugs Controller General of India (DCGI), which confirmed financial misconduct and called for further investigation.

The probe into VS Hospital has uncovered serious financial misconduct, with doctors allegedly diverting clinical trial funds for personal gain.

(Rh/Sakshi Thakar/MSM/SE)