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5400 Crore Fraud Rocking the Pharmacy Council of India (PCI)

CBI Intensifies Probe into Pharmacy Council of India Corruption Scandal Involving Montu Patel

Published on: July 14, 2025
By: [BTNI]
Location: New Delhi, India

The Central Bureau of Investigation (CBI) has escalated its investigation into the massive corruption scandal rocking the Pharmacy Council of India (PCI), with its former president, Dr. Montu Kumar Patel, at the center of allegations involving a Rs 5,400 crore fraud. The probe, which has sent shockwaves through India’s pharmacy education sector, focuses on the irregular approval of 870 pharmacy colleges in just 13 days during the 2023-24 period, alongside accusations of bribery, electoral manipulation, and systemic irregularities.

The CBI conducted high-profile raids on Patel’s residence in Zundal, Ahmedabad, and his Delhi office earlier this month, following a complaint from the Union Health Ministry. Investigations revealed that Patel allegedly orchestrated approvals for substandard pharmacy colleges lacking adequate infrastructure, faculty, or students, in exchange for hefty bribes. Reports indicate that approvals for diploma colleges were renewed for Rs 8 lakh annually, while B Pharma institutions fetched Rs 15 lakh.

The CBI alleges that Patel, in collusion with unknown members of the PCI’s Executive Committee (EC), approved at least six colleges—SSD College of Pharmacy, Gagan College of Pharmacy, Shanti Devi Jain Degree College, Heyward College of Pharmacy, Veer Shivaji College of Pharmacy, and Subhawati College of Pharmacy—despite negative inspection reports.

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A significant shift in inspection protocols under Patel’s tenure has drawn scrutiny. Until December 2022, PCI conducted physical inspections, but in 2023-24, Patel introduced online inspections via a Standard Inspection Format (SIF) through a Google link, receiving 908 applications, of which 870 were shortlisted. A notable case involves Rameshwar Prasad Satya Narayan Mahavidyalaya in Ayodhya, approved for a D. Pharma course despite an 8-minute online inspection noting absent faculty and inadequate infrastructure.

The college, owned by Vinod Kumar Tiwari, allegedly paid over Rs 10 lakh in cash and Rs 95,000 via banking channels to a middleman, Santosh Kumar Jha, to secure approval.

Further allegations point to Patel’s manipulation of PCI’s internal elections. During the 114th Central Council meeting in April 2022, meant solely for electing the president, Patel allegedly appointed Nilimenka Das and six co-opted members to the EC, consolidating his control. The CBI also uncovered that Patel booked 15 rooms at the Hotel Connaught in Delhi, costing Rs 2.75 lakh, to host voters before the election, suggesting an attempt to influence the outcome. Patel, who reportedly refused to step down after losing the Gujarat Pharmacy Council elections, is also accused of using illicit funds to acquire land in Gujarat and Uttar Pradesh through associates, including his driver and Congress leader Jashu Chaudhary.

Patel, currently absconding, is said to have planned an escape to Canada, transferring significant sums via hawala channels. The CBI is pursuing these financial trails and collaborating with Canadian authorities to recover assets. The scandal has reignited calls for the National Pharmacy Commission Bill, which aims to overhaul the outdated Pharmacy Act of 1948 and address systemic flaws in the PCI’s functioning. Experts warn that without reform, such fraudulent practices could persist, undermining India’s pharmacy education system.

The PCI has handed over its operations to Vice President Jashu Chaudhary as the investigation widens to cover irregularities in states like Maharashtra, Uttar Pradesh, Madhya Pradesh, and Rajasthan. The CBI is also examining Patel’s alleged involvement in an IELTS scam, where his wife, Khushboo Vora, is accused of taking exams for others, amassing Rs 300 crore.

As the probe unfolds, the nation awaits answers on how such large-scale corruption went unchecked and what measures will be taken to restore integrity to the PCI.

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