We rely here on a non-smooth contact dynamics (NSCD) approach to treat particle collisions in a direct numerical simulation of a dense particulate flow. Interactions between particles are considered by a non-smooth formulation of particle dynamics at the microscopic scale, which enables one to straight forwardly implement complex contactlaws. The hydrodynamic coupling is achieved by a distributed Lagrange multiplier/fictitious domain (DLM/FD) method . As a preliminary step, the relevance of our NSCD-DLM/FD method is assessed by comparing results of 2D sedimentation simulations with those obtained with a usual molecular dynamics collision model. Then, we use it to investigate how a fully immersed granular packing collapses depending on its initial particle volume fraction, providing clues on the micro-rheology of dense particulate flows.