Hyderabad Flags 224 Illegal Hospitals Operating Without Approval, Cases Against Repeat Violators Likely
Hyderabad's healthcare network is under fresh scrutiny after officials identified 224 unauthorised hospitals operating across the city without mandatory approvals, triggering concerns over patient safety and public health standards.

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Notices have now been served to these facilities, and the health department has begun collecting penalties from those that failed to comply within the stipulated time. Authorities say the crackdown is widening, with closure proceedings and criminal cases also being prepared against repeat offenders and those continuing to function in secrecy.
224 Hospitals Identified, Fines Collected From 18 Facilities
The health department has confirmed that 224 unauthorised hospitals have been detected across Hyderabad, with enforcement notices issued to all of them. Officials said action has already started against facilities that ignored the warnings, with 18 hospitals paying ₹50,000 each as first-level penalties.
Under the rules, a first-time violation invites a ₹50,000 fine. If a hospital or clinic continues to operate without securing the required permissions and is caught again, the penalty rises sharply to ₹2 lakh. A third violation can attract a much steeper fine of ₹5 lakh.
Authorities said steps are now being taken to shut down establishments that continue to disregard the notices, while also tracking facilities that are still operating quietly despite enforcement action.
Some Facilities Still Running Secretly, Cases Likely Soon
Even as notices and penalties have been issued, officials found that several unauthorised hospitals are allegedly continuing operations discreetly, raising serious questions about enforcement gaps.
Authorities are now preparing to register cases against such establishments, especially those found repeatedly violating the law despite earlier warnings. The focus, officials said, is not just on imposing fines but also on ensuring that non-compliant healthcare units are prevented from functioning altogether.
The ongoing drive reflects growing concern that illegal medical facilities may be treating patients without meeting even the most basic regulatory and safety standards.
Unqualified Practitioners Running Clinics Without Mandatory Permissions
Officials have also flagged a troubling trend in which clinics and small hospitals are being run by people without the required qualifications or legal approvals.
In several cases, individuals without an MBBS degree are allegedly operating medical facilities after gaining limited exposure while working under qualified doctors. However, to legally run a hospital, clinic or nursing home, operators must not only hold an MBBS qualification but also obtain approval from the health department under the Clinical Establishments Act.
Despite this, a range of facilities including clinics, dental hospitals, physiotherapy centres and AYUSH establishments are reportedly functioning without proper authorisation.
Officials themselves have acknowledged that monitoring by the health department has remained inadequate, allowing such facilities to continue operating in multiple parts of the city.
Diagnostic Centres, Physiotherapy Units and AYUSH Clinics Also Found in Violation
The violations are not limited to hospitals alone. Officials said diagnostic centres are also bypassing legal safeguards, including provisions under the Pre-Conception and Pre-Natal Diagnostic Techniques (PCPNDT) Act, which is meant to prevent illegal sex determination tests.
Several centres have reportedly failed to comply with mandatory requirements such as:
- Displaying legally required boards
- Maintaining proper records
- Following prescribed documentation norms
Authorities also noted that surrogacy regulations are not being enforced effectively, adding to the broader concern over weak oversight in the healthcare ecosystem.
The scale of non-compliance becomes clearer from the registration data. At present, only 825 clinics are registered with the district medical and health department. Since registrations must be renewed every five years, officials said many facilities have either failed to renew them or are continuing without valid permissions.
Among the most glaring gaps:
- Hundreds of physiotherapy centres are operating in Hyderabad, but only 15 have official approval
- Only 80 AYUSH centres are authorised by the department
- Several of these approved AYUSH facilities have also failed to renew their licences
The figures suggest that a significant number of healthcare-related establishments in Hyderabad may be operating outside the legal framework, prompting concerns over accountability, professional standards and patient safety.
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