Mithi River Scam: ED Raids 18 Premises Linked To Dino Morea, Others In Mumbai, Kerala Seize Upto ₹1.25 Crore

(MENAFN- Live Mint) The Enforcement Directorate (ED) conducted search operations at 18 locations across Mumbai, Kochi and Thrissur on Friday in connection with the Mithi River desilting scam which caused a wrongful loss of more than ₹65 crore to the Brihanmumbai Municipal Corporation (BMC), the central probing agency said on Friday.

Informing more about the searches, the ED said that operations were being carried out under the provisions of the Prevention of Money Laundering Act (PMLA) at locations linked to contractors and officials suspected of embezzlement in the desilting operations of the Mithi River.

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The ED seized digital devices, various incriminating documents and cash amounting to ₹7 Lakh, while freezing 22 bank accounts/FDRs and one demat account. Also, the ED stated that total amount of seizure/freezing is more than ₹1.25 crore (approx.)

Taking to X, ED wrote, "ED, Mumbai has conducted search operations at 18 locations across Mumbai, Kochi and Thrissur on 06.06.2025 at the office/residential premises linked to Prashant Ramgude (BMC Engineer), Bhupendra Purohit (BMC Contractor), M/s Matprop Technical Service Pvt Ltd, Jay Joshi (Director of M/s Virgo Specialties Pvt Ltd), Ketan Kadam (Controller of M/s Woder India LLP) and Santino Rocco Morea/ Dino Morea (Close associates of Ketan Kadam) under the provisions of PMLA, 2002 in the matter of“Mithi River Desilting Scam”.

"During the searches, digital devices, various incriminating documents and Cash amount of ₹7 Lakh have been seized, and 22 Bank Accounts/FDRs and 01 Demat Account were frozen. The total amount of seizure/freezing is more than ₹1.25 Crore (approx.) so far," the ED added.

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According to a report by Hindustan Times, the case involves accusations of inflated bills, fake work logs, and systematic diversion of public funds sanctioned for flood prevention and drainage maintenance in Mumbai.

After the catastrophic 2005 floods, the Mithi River drew national attention and the BMC initiated regular desilting and cleaning operations to prevent future flooding.

However, the probe and audits by agencies exposed glaring discrepancies in the actual versus reported desilting work and thereby raised serious concerns about corruption.

Following the Anti-Corruption Bureau and the Comptroller and Auditor General (CAG) flagged possible financial misconduct, the ED registered a money laundering case to trace the proceeds of crime.

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During the probe, ED found out that a network of contractors and middlemen submitted fraudulent work completion reports. Also, the contractors and middlemen siphoned off funds meant for critical infrastructure development.

The ED seized financial documents, electronic devices, and transaction records during their raids.

The news developments in the case focus on a list of alleged financial irregularities and sparked renewed calls for accountability and systemic reforms in the functioning of local bodies.

With agency inputs.

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