Finance Dept. clears ₹23 crore dues for paediatric surgeries under Rashtriya Bal Swasthya Karyakram

Bringing relief to small and medium private hospitals, the State Finance Department has approved the release of over ₹23 crore in dues pending since 2017 for paediatric surgeries carried out under the Rashtriya Bal Swasthya Karyakram (RBSK).

The Department last week cleared a Cabinet note proposing that the pending payments be released using available grants with the Suvarna Arogya Suraksha Trust (SAST), the nodal agency implementing the State’s health schemes. The proposal now awaits Cabinet approval.

This issue of prolonged delay in clearing payments to private hospitals that had performed surgeries for children under the programme had been reported by The Hindu in September last year.

Demanding reimbursement of the dues, private hospitals had earlier warned that they would suspend paediatric surgeries under the Ayushman Bharat Arogya Karnataka (AB-ArK) scheme if the payments were not cleared. Several hospitals had also said they were considering legal action, and some have even approached the court.

Dispute since 2016

The dispute dates back to 2016, when the State introduced additional treatment codes under RBSK without prior approval from the Centre. Hospital authorities said they carried out surgeries in good faith based on the government’s published codes between 2016 and 2018, but subsequent audits flagged that the procedures lacked central clearance, leaving the claims pending.

Officials attributed the delay to a technical issue in the procedure listing on the SAST portal, which stalled the processing of claims.

Launched in 2013-14, RBSK aims to improve the survival, growth and development of children aged 0-18 years by screening them for the “4 Ds” — defects at birth, deficiencies, diseases, developmental delays and disabilities. Children diagnosed with illnesses are provided treatment and surgeries free of cost under the National Health Mission, including care in empanelled private hospitals where services are unavailable in government facilities.

Cabinet nod is key

Hospital associations have maintained that the responsibility for clearing the dues rests with the State government, as the procedures were introduced through its own notifications. They said the prolonged delay had placed significant financial strain on hospitals that had provided specialised care. “We are still wary about the payment and can rest only after the Cabinet clears it,” said Pavan Kumar Patil, a representative of the Indian Medical Association’s Karnataka chapter..

Harsh Gupta, Principal Secretary (Health), said the file will be placed in the next Cabinet and following its approval measures will be initiated to settle the issue.