Government shared data of Medisep beneficiaries with private firms; K C Venugopal raises serious allegations

THIRUVANANTHAPURAM: AICC General Secretary and MP K C Venugopal has alleged that the state government shared sensitive personal and medical data of Medisep beneficiaries with two private companies, similar to the earlier controversy involving Sprinklr during the COVID-19 period.

Venugopal said that the health details of around 31.46 lakh people, including government employees, pensioners, and their dependents under the Medisep insurance scheme, were handed over to private firms. He demanded an investigation into the deal, alleging corruption.

"The earlier decision to share data with Sprinklr had sparked major controversy and was later cancelled. A committee led by former Civil Aviation Secretary M. Madhavan Nambiar was appointed to study the issue, and it found serious lapses. However, instead of implementing the committee’s recommendations on data protection and privacy, the government appointed another panel," Venugopal said.

"The Medisep contract was awarded to the public sector firm The Oriental Insurance Company, which then outsourced it to two private companies. These firms thus gained access to the personal data of government employees and pensioners. These companies, driven by profit motives, have been rejecting and reducing medical claims on a large scale, causing hardship to beneficiaries. Thousands of employees have come forward with complaints," he said.

Venugopal further accused the Pinarayi Vijayan government of being primarily responsible for what he described as a betrayal of government employees and pensioners.