ESIC Ordered to Pay ₹50 Lakh Over Death of Woman
The NCDRC’s ruling highlights the severe consequences of administrative delays and underscores the need for timely medical assistance to prevent such tragic outcomes.
Hyderabad, India – The National Consumer Disputes Redressal Commission (NCDRC) has issued a scathing verdict against the senior state medical commissioners of the Employees’ State Insurance Corporation (ESIC) in Hyderabad, Mumbai, and Delhi. The commission reprimanded them for their failure to provide timely medical assistance funds to an employee, resulting in the death of her 25-year-old daughter.
Case Background
- Complainant: Manda Kumari, a resident of Hyderabad and a member of the ESIC.
- Victim: Shanti Ayani, 25, diagnosed with blood cancer in 2011.
- Medical Recommendation: Bone marrow transplantation with an estimated cost of ₹50 lakh by Tata Memorial Centre (TMC).
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Timeline of Events
- November 2012: ESIC issued a letter of credit to TMC, but the hospital requested a deposit before commencing treatment.
- Repeated Delays: ESIC delayed the release of funds despite repeated reminders.
- Interventions: Kumari approached the Prime Minister and the National Human Rights Commission. A writ petition was filed with the Andhra Pradesh High Court, which issued an interim order for immediate fund release. This order was ignored by ESIC.
- October 2013: Due to lack of funds, Kumari admitted her daughter to a different hospital for chemotherapy. Shanti died within a month.
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NCDRC Verdict
- Initial Compensation: The state commission awarded ₹5 lakh to Kumari, which she found unsatisfactory.
- ESIC’s Defence: Claimed delays were due to verification processes, but the NCDRC found this explanation inadequate.
- Final Compensation: The NCDRC awarded a total compensation of ₹50.75 lakh, payable with 6% interest from 2013. ₹15 lakh to be immediately released to Kumari’s account, with the remaining amount deposited in a public sector bank.
- Trust Formation: The NCDRC directed the formation of a trust in memory of Shanti Ayani, with ₹35 lakh as corpus funds to support the education and health of underprivileged girls.
The NCDRC’s ruling highlights the severe consequences of administrative delays and underscores the need for timely medical assistance to prevent such tragic outcomes.
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