Mumbai: Two Middlemen Arrested in Mithi River Desilting Scam as SIT Widens Probe into Rs 65 Crore BMC Fraud

Mumbai, 7th May 2025: Mumbai Police’s Special Investigation Team (SIT) has arrested two middlemen, Ketan Kadam and Jay Joshi, in connection with the alleged Rs 65 crore Mithi River desilting scam, marking the first arrests in a case that has implicated three BMC officials, five contractors, three middlemen, and two company directors. The SIT, part of the Economic Offences Wing (EOW), registered a criminal case after uncovering fraudulent payments, forged documents, and fake MoUs that led to a wrongful loss for the Brihanmumbai Municipal Corporation (BMC).

The investigation revealed that contractors, with the help of these middlemen, secured tenders using bogus documents, including MoUs signed in the name of a landowner who had died 20 years ago. The SIT has conducted raids at multiple locations linked to the accused, including offices and residences, as it continues to scrutinize over Rs 1,100 crore spent on desilting contracts since 2005.

Officials allege that between 2013 and 2023, contractors submitted fake bills and reports for sludge removal, with no actual work performed at many sites. The scam also involved inflated machinery rentals and collusion between civic officials and private firms to siphon off public funds. The arrests come as the SIT expands its probe, with further action expected against those named in the FIR, which includes charges of criminal breach of trust, forgery, cheating, and criminal conspiracy under the Indian Penal Code.