In a major development in the Mithi River Desilting Scam, the Enforcement Directorate (ED), Mumbai Zonal Office, carried out follow-up search operations at eight locations across Mumbai on July 31, 2025. The raids are part of the ongoing investigation into alleged financial irregularities involving contractors and civic officials linked to the Brihanmumbai Municipal Corporation (BMC).
The search operations were conducted at office and residential premises associated with BMC contractors — M/s Acute Designs, M/s Kailash Construction Company, M/s Nikhil Construction Co, M/s N A Construction Pvt Ltd, M/s J.R.S Infrastructure — and BMC Engineer Prashant Krishna Tayshete.
According to ED sources, the latest search action resulted in the freezing of over ₹47 crore held across multiple bank accounts, fixed deposits (FDRs), and demat accounts. In addition to the financial clampdown, officials seized several digital devices, property-related documents, and incriminating records that may further expose the scope of the alleged scam.
The desilting of the Mithi River, a critical flood-mitigation project for Mumbai, has long faced scrutiny over questionable contracts and poor execution. The ED’s probe is aimed at unearthing money laundering and fund diversion under the Prevention of Money Laundering Act (PMLA).
The investigation is ongoing, and further actions are expected as forensic analysis of seized documents and digital data continues.
Background:
The Mithi River desilting project was launched to address the city’s chronic monsoon flooding by improving drainage and water flow. However, multiple audits and reports have raised red flags about discrepancies in contractor payments and the quality of desilting work.
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