Rs 550-Crore CGMSC Scam: Three Arrested For Tender Manipulation, Probe Intensifies
Three persons were arrested on Monday for alleged tender manipulation and cartelisation in the Rs 550-crore CGMSC medical procurement scam.
Published : January 20, 2026 at 8:02 AM IST
Raipur: Officials of the EOW (Economic Offences Wing) and ACB (Anti-Corruption Bureau) on Monday arrested three persons in connection with the CGMSC (Chhattisgarh Medical Services Corporation Limited) scam, taking the total number of arrestees in the case to eight.
As per officials, three accused including Abhishek Kaushal, Director of Records and Medicare System Private Limited, Panchkula; Rakesh Jain, proprietor of Shri Sharda Industries, Raipur; and Prince Jain, liaison officer of Records and Medicare System Private Limited, were arrested for alleged irregularities in purchase of medical equipment and reagent chemicals in 2023 that caused a loss of Rs 550 crore to the state exchequer.
Earlier, the bureau officials had arrested five persons, including Shashank Chopra, the director of Mokshit Corporation located in Durg.
In an official statement, the investigating agencies stated that there were major irregularities in the purchase of medical equipment and reagents under the Hamar Lab scheme, which provides free testing facilities to the general public in the state. As per the investigation, records were manipulated to benefit Mokshit Corporation in the tender process. Medicare System and Shri Sharda Industries participated in the tender based on forged documents. During the tender process, the three firms colluded to influence the competition and formed a cartel, submitting tenders in a similar pattern, the release mentioned.
Investigation further revealed that the product descriptions, pack sizes, reagents, and consumables information provided by the three firms were almost identical. The rates were also quoted in a similar pattern, with Mokshit Corporation quoting the lowest rate, followed by RMS and Shri Sharda Industries. Due to this collusion, Mokshit Corporation supplied materials to CGMSC at a price three times higher than the MRP. This resulted in a financial loss of approximately Rs 550 crore to the government.
"Abhishek Kaushal, Director, Recorders and Medicare System (Panchkula, Haryana), Rakesh Jain, Proprietor, Shri Sharda Industries (Raipur) and Prince Jain, Liaison Officer, Recorders and Medicare System (Panchkula, Haryana) have been nabbed. Prince Jain is the brother-in-law of Director of Mokshit Corporation (Durg), Shashank Chopda (who was held in January last year)," said the ACB/EOW statement.
On Monday, officials of the EOW and ACB produced the three arrested accused before the Special Court under the Prevention of Corruption Act, following which it remanded all three accused to police custody until January 27. Officials stated that all aspects related to the misuse of government funds in the public interest-oriented Hummer Lab scheme are being investigated.
"The three were arrested under sections 409, 120 (B) of IPC and sections 13 (1) (a), 13 (2), 7 (c) of Prevention of Corruption Act. The ACB/EOW has been granted their custodial remand till January 27. Further action will be taken against the culprits based on the evidence," the release added.
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