Nadda's statement comes hours after a newborn, who was declared dead along with his still-born twin, was later found alive.
Speaking to ANI, Nadda said, "This is an unfortunate incident which has taken place. I have asked the Delhi Government to look into the matter and take necessary action".
"I also appeal to the states adopt Clinical Establishments Act so that regulatory authorities are operative and can see working and functioning of private institutions," he said.
Earlier in the day, Shalimar Bagh Max Hospital handed the dead twins over to the family in plastic bags. However, the parents realised that one of the twins, wrongly declared dead, showed movements in the bag just before burial.
The parents immediately rushed to a nearby hospital where they were informed that one of the infants was alive.
Meanwhile, Delhi Police Spokesperson Deependra Pathak told ANI that the police were taking into account all details of the situation, and were also consulting legal experts.
"It is a very shocking incident, and shows height of negligence. We have started immediate inquiry and investigation in this case. We are also consulting legal experts," Pathak said.
The Delhi Police will take further action if a case of negligence surfaces.
"Under the court's direction, we will also consult Delhi Medical Council or Indian Medical council, and convey to them details of all circumstances. Then, we'll take legal action if a case of negligence surfaces," Pathak said, adding that the police will also look if there are more cases of criminal negligence in the hospital. (ANI)