Mon Mar 31 22:50:00 UTC 2025: **Andhra Pradesh Hospitals to Halt Cashless Services Over ₹3,500 Crore in Unpaid Dues**
Vijayawada, April 1, 2025 – The Andhra Pradesh Speciality Hospital Association (APSHA) will halt all cashless services under the Dr. NTR Vaidya Seva scheme on April 7th, affecting thousands of patients. The decision follows the state government’s failure to pay ₹3,500 crore in outstanding dues, despite repeated appeals.
While the government has recently released ₹300 crore, the APSHA president, Dr. K. Vijay Kumar, stated this represents less than 10% of the total amount owed. The association, after submitting representations to district collectors, is now meeting with elected officials and bureaucrats to raise awareness about the crisis. Dr. Kumar emphasized the association’s inability to continue providing services without payment, citing the accumulated debt, which has increased from ₹2,200 crore under the previous government. The lack of response from the state government to their March 8th announcement to cease cashless services further fueled the decision.