In July 1961, the new under-construction Panshet dam had started developing some problems, even before it was complete. Against some recommendations, the dam was being filled up during the 1961 monsoon season. Cracks started developing and yet there was lot of debate on whether the dam was in real imminent danger. A valiant last-ditch effort by the Army Jawans managed to delay the inevitable by a few hours. These few hours helped a lot. If not for this great effort, where thousands of sand bags were deployed, the dam would have burst in the middle of the night, creating havoc for the sleeping residents of Pune. The few hours delay meant that the burst happened early morning and the wall of flood waters reached Pune later in the morning. The deluge of flood waters of Panshet also broke the smaller Khadakwasla dam, further downstream.
Residents started getting some warnings early in the morning and the authorities started moving out the residents living near the riverside. The low lying areas of the old city were almost completely submerged. Except for the Bund Garden Bridge, all the bridges were under water as well. Water rushed into the old ‘Peths’ and along Karve Road, Deccan Gymkhana areas. For many hours, the high water levels persisted. More than 100,000 families need to be relocated and the death toll exceeds 2,000, though no offical numbers are available.
The floods completely cutoff the electric and water supply. July 12th was a dark, rainy night in. The cleanup and rebuilding took many months. The old riverside city landscape changed forever. New localities (such as Lokmanya Nagar, Gokhale Nagar, etc.) were setup to resettle some of the flood affected citizens. Most of the bridges were damaged and needed fixing and in some cases complete rebuilding. With Khadakwasla and Panshet dams completely drained, there was no water supply for the city. The Peshwa era Katraj water aqueduct was used to meet some water requirements. Wells were another source. Wadas that had wells had to prominently list ‘Well’ on their main door – so that, the water source could be be made available.