Norvic International Hospital at Thapathali has been collecting 13 percent service charge which is illegal, the Department of Supplies Management (DoSM) said.

A market inspection conducted by the department found that the well-known health institution had been adding 13 percent service charge on top of the 5 percent health service tax to the bill. The government has allowed hospitals to collect 5 percent health service tax from patients. The DoSM had told the management of Norvic Hospital to submit an explanation by Friday, but it ignored the order, said DoSM Director General Kumar Prasad Dahal.

“Norvic is the only hospital which has been collecting 13 percent service charge from patients. This is illegal,” Dahal said. “We will take appropriate action under the Black Marketing and Some Other Social Offences and Punishment Act.”

Norvic defended its policy by saying that it charged extra because of the quality service it provided to patients. RP Mainali, communication officer at the hospital, said the service charge was only applied to selected services like surgery.

“The extra charge has been taken only for services where we have to employ experts and high technology equipment,” said Mainali, adding that the government should not look at government hospitals and private hospitals from the same viewpoint when the country had adopted a free market economy.

Norvic has also been charged with failing to renew its operating licence. “In addition, the hospital has been operating with 130 beds while it has been permitted to have only 100 beds,” Dahal said.

DoSM steps up action against Kathmandu Valley Hospital

KATHMANDU: The Department of Supplies Management (DoSM) has stepped up action against Kathmandu Valley Hospital at Sundhara on the charge of operating without a licence. The facility is being operated as a subsidiary of Lunibha Health Care. It was found to have obtained a temporary licence in 1993 in which Ravi Rauniyar is named as the proprietor.

“The hospital has not obtained a permanent licence since then. Moreover, it has been found to have changed its name several times during that period,” said DoSM Director General Kumar Prasad Dahal.

According to Dahal, the 100-bed hospital targeted patients requiring intensive care unit (ICU) services. There is only one licensed doctor employed at the hospital while it has been treating eight inpatients.

Dahal said they had given the hospital management a 24-hour deadline to submit required paperwork. “In addition, we have asked the authorities to transfer the inpatients within three days. If the hospital management fails to come up with satisfactory clarification, the department will seal the place,” Dahal added. The Post could not establish contact with hospital management officials. In a separate market inspection conducted on Friday, Sarbagna Swasthya Sadan, Kupondol was booked for operating without renewing its licence. (PR)