Bhubaneswar, May 13: The Odisha government today threatened to cancel the land lease agreement with private hospitals, which refuse to treat the beneficiaries of two health insurance schemes - Rashtriya Swasthya Bima Yojana and Biju Krushak Kalyan Yojana.

The decision was taken at a meeting, chaired by chief minister Naveen Patnaik.

Major private hospitals such as Kalinga Hospital, Apollo Hospital and Aditya Care Hospital in Bhubaneswar and Ashwini Hospial in Cuttack have not got empanelled under the schemes, said official sources.

Managements of these private hospital express inability to treat the patients, stating that their treatment cost is higher than the package prescribed by the government under the schemes, said a senior official. However, the government had allotted them land and provided other infrastructural facilities to set up the hospital, he said.

Besides, some of the hospitals empanelled with the government are allegedly harassing the beneficiaries by charging higher than the prescribed package or refusing to treat them if they do not pay the differentials.

The state government today decided to issue showcause notice to hospitals refusing treatment or harassing them. If necessary, criminal proceedings will be initiated against them.

As many as 560 hospitals (government-422 and private-138) have been empanelled under the Biju Krushak Kalyan Yojana and 577 (government-423 and private-154) under the Rashtriya Swasthya Bima Yojana.

Nearly 55 lakh farmer families of the state are enrolled under the Biju Krushak Kalyan Yojana, and they have been issued cashless cards. The beneficiaries and their family members (up to five persons) are entitled to get insurance benefits up to Rs 1 lakh per year. By April 30, a sum of more than Rs 26 crore has been paid to various hospitals for treatment of over 46,000 beneficiaries.

Similarly, nearly 44 lakh families in the below poverty line category and others, including the Mahatma Gandhi National Rural Employment Guarantee Scheme workers, building and other construction workers, autorickshaw drivers and scavengers, have been enrolled under the Rashtriya Swasthya Bima Yojana. From August 2013 onwards, 3.22 lakh families have availed themselves of the benefits of free treatment and Rs 100 cash as transportation charge under the scheme. The government has spent more than Rs 108 crore to various hospitals for their treatment.

However, proper monitoring of the schemes is not being possible as these are implemented under two separate agencies - state agriculture directorate and labour directorate. The state government had, therefore, decided to set up a separate directorate for their successful implementation. But, it is yet to take shape.

The chief minister, who reviewed implementation of the two schemes today, directed the officials to expedite the process. Naveen also said he would review implementation of the schemes every two months. He also underscored the need for regular review of functioning of help desks set up in various hospitals under the schemes.