New Delhi: The Delhi government has cancelled the licence of Max Hospital, Shalimar Bagh, which means now it cannot run its out-patient department or admit new patients.

However, patients already admitted can seek referral or continue treatment at Max Shalimar Bagh.

"Max Hospital Shalimar Bagh had become an habitual offender, we had no option but to cancel their license," Satyendra Jain, Delhi Health Minister said on Saturday, reported ANI.

The move came after a three-member inquiry panel of the government submitted its final report to Health Minister Satyendar Jain, who described the incident as "not acceptable".

According to the Directorate General of Health Services (DGHS) of the Delhi government's heath department, the licence has been cancelled till further order.

In the order issued by the DGHS, the keeper of the hospital has also been directed to "refrain from admitting any new indoor patient and stop all outdoor treatment service in the premises with immediate effect".

Chief Minister Arvind Kejriwal said, "open loot or criminal negligence" by any hospital will not be tolerated.

"Whereas we don't wish to interfere in day to day functioning of pvt hospitals, however, open loot or criminal negligence by any hospital won't be tolerated. We won't hesitate to take strongest action in such cases (sic)," he tweeted.