The Enforcement Directorate (ED) carried out follow-up search operations at eight locations across Mumbai on July 31 as part of its ongoing probe into the alleged ₹65 crore Mithi River desilting scam. The raids were conducted under the Prevention of Money Laundering Act (PMLA), 2002.
The searches targeted office and residential premises associated with five BMC contractors, Acute Designs, Kailash Construction Company, Nikhil Construction Co, N A Construction Pvt Ltd, and J.R.S Infrastructure along with BMC engineer Prashant Krishna Tayshete.
During the operation, the ED froze over ₹47 crore held in multiple bank accounts, fixed deposits, and demat accounts. Officials also seized digital devices, documents related to immovable properties, and several incriminating records believed to be crucial to the investigation.
The ED initiated the probe based on FIR registered on May 6 at the Azad Maidan Police Station. The FIR, filed under various sections of the Indian Penal Code (IPC), names 13 individuals and entities, including the aforementioned contractors and officials, for allegedly causing a loss exceeding ₹65 crore to the Brihanmumbai Municipal Corporation (BMC).
According to investigators, the desilting contractors are accused of submitting forged documents including fake MoUs from landowners and fabricated NoCs from Gram Panchayats for lands claimed to be used for silt dumping.
Evidence also suggests that officials from BMC’s Storm Water Drains (SWD) Department colluded with contractors and manipulated procurement processes for personal financial gains. The investigation has further revealed irregularities in the procurement and use of high-cost machinery, such as Silt Pushers and Amphibious Pontoon Machines, introduced during the 2021–2022 desilting tenders.
This is the second major search action in the case. On June 6, the ED had conducted similar operations at 18 different premises. With the latest crackdown, the total value of seized and frozen assets in the case has risen to approximately ₹49.8 crore.
