This paper presents a direct numerical simulation technique multigrid - finite element fictitious boundary method (FEM-FBM) for the simulation of incompressible viscous fluid flow along with moving rigid bodies. Multigrid finite element solver is used to compute fluid flow on a fixed Eulerian mesh which is independent of particles shape, size and number and the solid particles are allowed to move freely in the whole computational domain. Fictitious boundary method (FBM) is used to treat the particles inside the fluid which takes account the interaction between the fluid and the particles. FBM is based on an explicit volume integral based calculation for the hydrodynamic forces. Particle-particle and particle-wall interactions are handled by collision model proposed by P. Singh et al. [1]. The accuracy and efficiency of presented method is analyzed by four test cases and then numerical tests are performed to show that this method is potentially powerful and provides an efficient approach to simulate complex particulate flows with large number of particles.