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Centre replaces criminal fines with administrative penalties for minor hospital lapses

Centre replaces criminal fines with administrative penalties for minor hospital lapses

Photo credit: X/ @FitRaheIndia

New Delhi: Minor procedural lapses by hospitals and clinics will now attract administrative penalties instead of criminal fines under amendments to the Clinical Establishments (Registration and Regulation) Act, 2010 notified by the Union health ministry, as the Centre pushes ahead with its Jan Vishwas reforms to promote trust-based regulation.The amendments, notified on June 22, implement provisions of the Jan Vishwas (Amendment of Provisions) Act, 2026 and are aimed at reducing compliance burden, improving ease of doing business and ensuring proportionate regulatory enforcement, while continuing to safeguard patient safety and the quality of healthcare services.The changes apply to routine and low-risk procedures and minor administrative lapses, including surgeries for minor injuries, wound cleaning and stitching, mole removal, drainage of small abscesses, and minor reconstructive procedures of the eyelid, ear and nose, provided they do not pose an immediate risk to patients.Under the amended framework, the term “fine” has been replaced with “penalty” in Sections 40, 43 and 46 of the Act, shifting enforcement from criminal action to administrative adjudication. Section 44 has also been amended to introduce graded penalties for contraventions by companies, with the quantum of penalty linked to the nature and severity of the violation.The notification strengthens the adjudicating authority mechanism under Section 41 by expanding its scope to cover proceedings under Sections 40, 43 and 44. It also introduces a structured adjudication process that provides an opportunity for hearing before penalties are imposed, along with provisions for recovery of penalties and an appeal mechanism for aggrieved parties.The ministry said the changes are expected to encourage voluntary compliance, reduce unnecessary litigation and ensure proportionate action in cases of minor procedural non-compliances while maintaining regulatory oversight over clinical establishments.The amendments are part of the broader Jan Vishwas reform programme, which rationalises provisions across 79 Central Acts administered by 23 ministries and departments. In the health sector, 35 provisions across five Acts under the Union health ministry have been amended to decriminalise minor procedural non-compliances and strengthen citizen-centric regulatory practices.

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