New Delhi, Nov 17 The Institute of Liver and Biliary Sciences (ILBS) on Friday denied making payments to any vendor for the development of AI software, after it was alleged that MetaMix Technologies Pvt Ltd was given the tender. Delhi Chief Secretary Naresh Kumar's son Karan Chauhan is a founder of the MetaMix.
The ILBS in a statement said: "The Institute of Liver and Biliary Sciences (ILBS) vehemently denies all media reports regarding any payment to any vendor for the development of Al software."
It said that ILBS "confirms that it did not issue any purchase order" or made any "payment" to any Al Software developer or company.
"These allegations are totally baseless and are without merit. ILBS firmly reiterates its commitment to transparency and adherence to ethical practices in all its endeavours. Any insinuation suggesting otherwise is entirely unfounded," the ILBS said.
The remarks from the hospital came after it was alleged that Naresh Kumar, who is also the Chairman of the ILBS Hospital, gave the work to develop AI software without any tender to MetaMix.
According to Delhi government sources, in course of an inquiry ordered by Vigilance Minister Atishi, it was further discovered that Chauhan is also the Founder or Director in a web of companies, many of which have been awarded contracts by government agencies, including in Delhi.
"The investigations in the NHAI land acquisition matter and the complex web of undisclosed commercial relationships have given rise to a reasonable suspicion that the Chief Secretary may have unduly favoured other companies associated with his son, or may have used his power and influence on other persons to accrue unlawful benefits to the companies associated with his son," the source said.
"One particular relationship that was unearthed in the inquiry was that Chauhan is the founder of a company called MetaMix Technologies Pvt. Ltd. This company was founded on May 10 last year by Chauhan, Anish Sarin, also promoter of Anant Raj Limited, which is also involved in the commercial relationships discovered in the NHAI land acquisition case and Saksham Harivyasi," the source said referring to the preliminary report by the Vigilance Minister.
It was also claimed that MetaMix has been working with the Institute of Liver and Biliary Sciences (ILBS) as an esteemed knowledge partner and is developing a research lab in ILBS.
"A Memorandum of Understanding (MoU) for the partnership between MetaMix and ILBS was executed on January 25 this year," the source claimed.
The source said that during the preliminary probe by Vigilance Minister revealed that "from the examination of all existing records and relevant information in the public domain, it is apparent that the Chief Secretary, who is also the Chairman of ILBS hospital has used his position and influence to enable his son's startup MetaMix to gain huge financial benefits, industry experience, reputational gain and other intangible benefits from a government body, whose decision-making process he directly controlled".
"In a textbook case of nepotism, Chief Secretary influenced the resources and expertise of ILBS to be used to develop MetaMix's technology free-of-cost, even getting ILBS to play a role in promoting and marketing the technology. All of this was achieved through signing of a MoU on a nomination basis with MetaMix… which has been modelled as an all-in-one success recipe for Naresh Kumar's son's startup," the source said, mentioning the report.
The source further stated that while signing the MoU with MetaMix, ILBS agreed to provide unrestricted access to valuable datasets, case data and set data that are crucial for developing augmented reality models, which no other private company can access for free.
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