This study was undertaken to investigate the cause of mortality in the captive stock of silver moony Monodactylus argenteus. The fishes showed severe infection of dinoflagellate protozoan Amyloodinium sp. (Blastodinida, Oodiniaceae) on gills and skin with complete mortality of the stock within a week. Histopathological changes were evident in the gill tissues with severe lamellar epithelial cell hyperplasia and lamellar fusions with the presence of trophonts of Amyloodinium sp. Scanning electron microscopy (SEM) also revealed trophonts of Amyloodinium sp. of varying sizes in groups consisting of 3 to 5 trophonts tightly attached to gill lamellae. Source water contaminated with the tiny infectious form of the parasite (dinospores) favoured by higher salinity and low water temperature in the rearing tank could be the triggering factor for the spurt of infections. Proper quarantine and biosecurity protocols to prevent the potential sources of water-borne infection sources are likely to be far more effective than treatment.