New Delhi: A showcause notice has been issued to a private hospital at Kalyan district in Thane on Friday, November 11, after it denied the acceptance of Rs 500 and Rs 1000 notes from the patients.

The District Collector Mahendra Kalyankar issued the notice to the private hospital after several patients made complaints regarding the denial of acceptance of notes by the hospital. As per the notice, the hospital has been asked to file a reply by tomorrow that is November 12.

The hospital’s refusal was highlighted after a patient identified as Ratilal Shah, filed a complaint to the office of District Collectorate.

As per the complainant, at the time of his discharge from the hospital, he tried to settle his medical bill using Rs 500 and Rs 1,000 notes. However, the staff at the payment counter refused to accept these notes.

The patient, Ratilal Shah then made a complaint to the District Collectorate, following which a Sub Divisional Officer paid a visit to the hospital and told the staff that as per the circular issued by the Directorate of Health Services two days back, it is mandatory for the hospitals to accept the old currency notes from patients.

The notice issued by District Collectorate, however, said that even after Ratilal Shah’s discharge, several other patients called up the Collectorate to complain that the hospital was insisting on payment through new notes.

The letter issued to the hospital read, “This (refusal to accept demonetised notes) will create law and order problem…Therefore, why action should not be taken against the hospital under section 188 of the IPC and also Bombay Nursing Home Registration Act of 1949”.

The decision of curbing Rs 500 and Rs 1000 notes was made by the Prime Minister Narendra Modi on November 8 in order to put an end to corruption. However, following the chaos after the ban, the government extended the use of Rs 500 and Rs 1000 note for public utility purposes.