The phenomenon of internal erosion contributes significantly to the damage of water-retaining structures like dams. Estimating the factors that influence the transport of soil particles disturbed by hydraulic forces is essential to predict the possibility of internal erosion in earthen dams. Palemvagu project, a medium-scale irrigation project on the tributary of Godavari River. It is situated near Mallapuram village, within the Venkatapuram mandal of the Bhupalpally district in Telangana. The dam failed twice in the period between 2006 and 2008 due to overtopping and internal erosion. To investigate the root causes of the Palemvagu dam failures, both analytical and numerical investigations were carried out in the present study. This earthen dam section was simulated using SEEP/W at steady state conditions to evaluate exit gradients. Further, a layer of geotextile was introduced on downstream slope as part of the corrective measures. The outcomes of this study demonstrate that providing a layer of geotextiles on dam slopes can effectively control erosion. For uncovered slopes, exit gradient values was observed in range from 0.2 to 2.1. However, in the presence of geotextiles, the exit gradient value was reduced to between 0.01 and 0.05. Furthermore, covering the downstream side of the earthen dam was observed to prevent breach formation effectively. Annual soil loss for downstream slope was also calculated using universal soil loss equation (USLE), considering erodibility of in-situ soil. Due to the provision of geotextiles, annual soil loss was reduced to half of its actual value, reducing the risk of soil loss on slopes.