Did ED Uncover a Major Scam in the Mithi River Case?
Click to start listening
Synopsis
The Enforcement Directorate has launched a massive investigation into the alleged Mithi River scam, uncovering a web of deceit involving high-profile individuals. With assets worth over Rs 1.25 crore seized, the probe reveals a troubling manipulation of public contracts that threatens the integrity of municipal governance.
Key Takeaways
- ED raids 18 locations related to the Mithi River scam.
- Assets worth over Rs 1.25 crore have been seized.
- Investigation reveals a collusion involving multiple parties.
- Authorities are examining the financial implications of the case.
- The public interest is at stake in this ongoing investigation.
Mumbai, June 7 (NationPress) The Mumbai Zonal Office of the Enforcement Directorate (ED) carried out extensive search operations at 18 locations in Mumbai, Kochi, and Thrissur as part of an ongoing investigation into money laundering under the Prevention of Money Laundering Act (PMLA), 2002. This case is associated with the alleged Rs 65 crore ‘Mithi River desilting scam’.
As per the statement from the ED released on Saturday, the searches were focused on both office and residential premises linked to prominent figures including BMC Engineer Prashant Ramgude, BMC contractor Bhupendra Purohit, M/s Matprop Technical Service Pvt Ltd, Jay Joshi (Director, M/s Virgo Specialties Pvt Ltd), Ketan Kadam (Controller, M/s Woder India LLP), along with close associates Santino Rocco Morea and actor Dino Morea.
The ED's investigation was prompted by an FIR filed by Azad Maidan Police Station, Mumbai, under various sections of the Indian Penal Code (IPC), 1860. This FIR charges 13 individuals and entities with causing a wrongful loss exceeding Rs 65 crore to the Brihanmumbai Municipal Corporation (BMC).
Initial findings suggest that the accused formed a cartel with the intention of manipulating BMC tenders related to the desilting work of the Mithi River. This cartel purportedly monopolized contract awards and inflated pricing, leading to significant financial gains for contractors and a substantial loss for the public treasury. The proceeds from these unlawful activities were then laundered through shell companies set up by key individuals, including Kadam, Purohit, and Ramgude.
During the search operations, the ED confiscated Rs 7 lakh in cash, froze 22 bank accounts and fixed deposits, along with one demat account. The total value of assets seized and frozen has surpassed Rs 1.25 crore.
Additionally, numerous digital devices and incriminating documents were obtained, which are anticipated to be crucial for the ongoing investigation under PMLA. The inquiry is still in progress, with the ED examining the financial trail and a potentially wider network involved in this scam.
Point of View
It is crucial to ensure transparency and accountability in public contracts. The ongoing investigation by the ED into the Mithi River scam is a reminder of the need to uphold integrity in governance. As the nation watches, we must advocate for justice and the protection of public funds.
NationPress
07/06/2025
Frequently Asked Questions
What is the Mithi River desilting scam?
The Mithi River desilting scam involves allegations of manipulation in BMC tenders for desilting work, leading to a wrongful loss of over Rs 65 crore.
Who are the key individuals involved?
Key individuals include BMC Engineer Prashant Ramgude, contractor Bhupendra Purohit, and actor Dino Morea, among others.
What actions has the ED taken?
The ED has raided 18 locations, seized cash, frozen bank accounts, and recovered incriminating documents.
What is the status of the investigation?
The investigation is ongoing, with the ED analyzing financial trails and possible broader networks involved in the scam.
What laws are being invoked in this case?
The investigation is being conducted under the Prevention of Money Laundering Act (PMLA), 2002.
