Mon Jun 30 16:39:40 UTC 2025: **News Article:**
**Karnataka High Court Orders ₹10.41 Crore Payment to Private COVID-19 Testing Facilities**
**Bengaluru, June 30, 2025** – The Karnataka High Court has directed the State government and the Bruhat Bangalore Mahanagara Palike (BBMP) to release ₹10.41 crore in pending dues to two private health establishments. The payments are for COVID-19 testing services provided by BGS Global Institute of Medical Sciences, Kengeri and Vijayalakshmi Diagnostics Pvt Ltd (VDPL), Nagarbhavi, during the peak of the pandemic between 2020 and 2022.
Justice S.R. Krishna Kumar issued the order in response to petitions filed by BGS, seeking ₹4.53 crore, and VDPL, seeking ₹5.88 crore. The companies argued that despite the authorities acknowledging the debt, payment had been withheld due to an ongoing inquiry into irregularities during the COVID-19 pandemic.
The BBMP argued that it had requested permission from the One-Man Commission of Inquiry to release approximately ₹44 crore to various establishments but was denied pending the investigation’s outcome.
The High Court, however, clarified that the specific RT-PCR testing services provided by BGS and VDPL were not directly related to the subject matter of the commission’s inquiry. The court stated that lacking proof to the contrary, the BBMP was obliged to pay the legitimate debts.
The court has ordered the BBMP and state government to release the outstanding amounts to the two health establishments within six weeks.
First Piper 