CAT - Patna

Administrative Tribunals lack jurisdiction to compel private hospitals to enter into cashless medical facility agreements.

Abhay Kumar vs EMPLOYEES PROVIDENT FUND ORGANISATION (EPFO)

CAT - PatnaJUDGMENT: April 09, 20262 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The applicants, retired employees and officers of the Employees' Provident Fund Organization (E.P.F.O.) and members of the E.P.F.O. Pensioners Association, filed this Original Application seeking to set aside a reasoned speaking order (Annexure-A/1)

Source reference: p. 2

This order was passed by the respondents following directions issued by the Tribunal in a previous matter, O.A. No. 750/2024

Source reference: para. 2

The impugned order stated that while the respondent department had made efforts to contact private hospitals to provide cashless medical facilities to employees and pensioners at CGHS rates, the hospitals were not agreeable to such terms

Source reference: para. 2, 4

The applicants sought a direction from the Tribunal to compel the respondents to ensure private hospitals enter into a Memorandum of Understanding (MoU) for cashless facilities

Source reference: para. 3
02

Issues

1. Whether the Central Administrative Tribunal has the adjudicatory jurisdiction to compel private hospitals to enter into a Memorandum of Understanding (MoU) with a government department

Source reference: para. 3

2. Whether the Tribunal can exercise control over private hospitals under the provisions of the Clinical Establishments (Registration and Regulation) Act, 2010

Source reference: para. 3
03

Law Applied

The Tribunal primarily applied the provisions of the Administrative Tribunals Act, 1985, which defines and limits the adjudicatory purview of the Tribunal to service matters of government employees.

Source reference: para. 5

It further referenced the Clinical Establishments (Registration and Regulation) Act, 2010, noting that regulatory authority over medical institutions vests with bodies like the National Medical Commission (formerly the Medical Council of India), rather than the Tribunal.

Source reference: para. 3
04

Reasoning

The Tribunal observed that its jurisdiction is restricted to the mandates provided under the Administrative Tribunals Act and does not extend to private entities such as private hospitals.

Source reference: para. 3, 5

The court noted that the respondent department had already complied with previous judicial directions by making bona fide efforts to secure cashless facilities, but could not force private hospitals to agree to specific financial or contractual terms.

Source reference: para. 2, 4

The Bench reasoned that it lacks the legal authority to issue a writ of mandamus or any mandatory direction to private hospitals to enter into an MoU.

Source reference: para. 3

Furthermore, the Tribunal advised the applicants that any grievances regarding the conduct of clinical establishments must be addressed through the appropriate remedies available under the Clinical Establishments Act, 2010, which falls outside the Tribunal's scope.

Source reference: para. 2, 3
05

Holding

The Tribunal held that it lacks the jurisdiction to issue directions to private hospitals as they are beyond its adjudicatory purview.

Consequently, the application was disposed of for want of jurisdiction.

Source reference: para. 6

No order was made as to costs.

Source reference: para. 7
CAT - Patna

Original Court PDF

Abhay KumarvsEMPLOYEES PROVIDENT FUND ORGANISATION (EPFO)

CAT - Patna · April 09, 2026

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