Bengal’s health regulatory commission, formed to redress people’s grievances against private hospitals, has no right to fix hospital charges, Calcutta High Court has ruled after hearing a petition from a private hospital.

The West Bengal Clinical Establishment Regulatory Commission had issued several advisories and an order fixing charges at private hospitals.

“The advisories and the order are unconstitutional and are not binding on the petitioners,” Justice Moushumi Bhattacharya said in an order on Wednesday.

“The West Bengal Clinical Establishment Regulatory Commission shall therefore recall and rescind the impugned advisories and is prohibited from giving any effect to the impugned advisories and order to the extent of fixation of rates and charges for clinical establishments including the petitioner no. 1.…”

Apollo Multispeciality Hospitals had moved the petition, citing 26 advisories issued by the commission between July 27, 2020, and September 7, 2021, and its order of June 2, 2021, on the rates that clinical establishments can charge patients.

“The impugned advisories and order have clearly been issued in the absence of a statutory bulwark. The advisories are neither reasonable nor supported by the findings and conclusion of a specialised body of experts with domain knowledge,” the court order said.

“The fixation of rates and charges are simply actions which muscle through the specific provisions provided in the act for taking steps without stopping by to consider whether the conditions precedent for the advisories have been satisfied. The facts urged leave little doubt that the fundamental right of the petitioner no. 1 to carry on business has been infracted without the authority of law.”

The high court order applies only to patients who pay cash and not to those who get admitted under insurance schemes, a commission official clarified.

“We will appeal to the division bench,” said retired judge Ashim Banerjee, chairman of the commission.

An official of Apollo Multispeciality Hospitals said the hospital chain would go to the Supreme Court, if necessary.

The commission had been issuing advisories fixing the charges for medicines and diagnostic tests and the maximum deposit. Most of the advisories were related to the Covid-19 pandemic.

The panel had issued a notice in 2017 saying there was no basis for levying differential charges for diagnostic and pathology tests, medicines and doctors’ visits based on the rates for the beds or rooms.

In the June 2, 2021, order, the commission had fixed the charge for a chest X-ray (PA view) at Rs 400 while saying that blood tests to measure sodium, potassium or chloride levels should not cost more than Rs 450. Many private hospitals had said the rates were unviable.

“Bengal is the only state where such a regulatory commission for private healthcare units exists. It helps address patients’ grievances but the commission must also ensure that unrealistic rates are not forced upon the hospitals,” said Sudipta Mitra, chief executive of Peerless Hospital.