This paper deals with the problem of soil improvement using geosynthetics and substitution of the loose sand and soft clay with coarse gravel having good soil mechanics characteristics. High ground water at 1 m below the ground surface, the anticipated earth-quake of 9 degrees MCS intensity scale, liquefaction potential and heavy weight of the structure are the reasons for this soil improvement technique to be analytically examined in relation to the soil-structure interaction. Analysis has been performed using Plaxis software under static as well as earthquake conditions. By using the stress-strain analysis, forces in the geogrid and settlements have also been calculated. Earthquake loading case and the results from the analysis are discussed in details and the use of the geosynthetics has been approved.