BMC Approves SevenHills Lease to Capri Global Amidst Opposition
BMC's decision to lease SevenHills Hospital to Capri Global draws protests from opposition, questioning private involvement.
The Brihanmumbai Municipal Corporation's (BMC) Improvement Committee has approved the leasing of the SevenHills Hospital campus in Marol to Capri Global Ventures Pvt Ltd. This decision was met with considerable opposition from members of Shiv Sena (UBT) and the Congress, who raised concerns over the need for private involvement in public health infrastructure.
Contentious Approval Process
The proposal, initially tabled in May, faced delays as it was neither approved nor rejected, leading to its re-evaluation by the civic administration. During the committee meeting on Tuesday, opposition members questioned the necessity of involving a private operator and criticized the proposal's processing. Despite these objections, the committee's chairman, Shiv Sena corporator Sandhya Doshi, passed the proposal without further discussion from the civic administration.
Congress leader Ashraf Azmi criticized the move, alleging that work had already commenced at the hospital before receiving statutory approval. "We have learnt that the company with whom the BMC has entered into a lease agreement has already started work at the facility. How can such a move be allowed without the approval of the statutory committee?" Azmi asked.
Public-Private Partnership Details
Capri Global emerged as the successful resolution applicant for SevenHills Healthcare Pvt Ltd through the insolvency process. The company will receive equity-based support from Reliance Foundation, which manages H N Reliance Hospital at Girgaum. The proposal allows for a new lease agreement with SevenHills Healthcare Pvt Ltd, now under Capri Global's ownership, continuing the hospital's operation under a public-private partnership model. This involves a 30-year lease, extendable by another 30 years, for nearly 66,688 square meters of BMC-owned land.
Shiv Sena (UBT) corporator Sachin Padwal and Congress corporator Raja Rahebar Khan expressed their disapproval, advocating for the BMC to run the hospital independently. Padwal highlighted that the corporation has sufficient funds to manage the facility, especially given its significant spending on infrastructure projects. Khan suggested a site inspection before finalizing the proposal, emphasizing the seriousness of the allegations regarding premature work commencement.
Future of SevenHills Hospital
The approved resolution plan includes redeveloping SevenHills Hospital into a 1,500-bed not-for-profit tertiary care facility. The new management has committed to honoring the conditions of the 2005 contract and 2013 memorandum of understanding, which require reserving 20% of operational beds and outpatient department services for BMC patients at civic rates.
Despite the opposition, civic officials argue that reviving SevenHills Hospital will enhance Mumbai's public healthcare infrastructure, restoring a long-defunct hospital to operational status while maintaining subsidized treatment for BMC patients under the PPP model.