New Delhi: The Enforcement Directorate (ED) on Tuesday arrested Jawad Ahmed Siddiqui, Chairman and Managing Trustee of the Al Falah Group and Al Falah Charitable Trust, in a major development connected to an ongoing money laundering and terror-linked investigation. Officials confirmed that the arrest was made under Section 19 of the Prevention of Money Laundering Act (PMLA), 2002.
Case Triggered by FIRs on Fraudulent Accreditation Claims
The ED initiated its probe following two FIRs filed by the Delhi Police Crime Branch. The allegations centre around Al Falah University, headquartered in Faridabad, which is accused of:
- Falsely claiming ‘Grade A’ NAAC accreditation, despite not being officially recognised.
- Misrepresenting eligibility under Section 12(B) of the UGC Act, allegedly to attract funds and mislead students, parents, and stakeholders.
- Unlawfully benefiting through misrepresentation, amounting to large-scale cheating and financial misconduct.
Fund Diversion and Shell Companies Under Scanner
According to the ED, investigators uncovered extensive financial irregularities involving the diversion of university and trust funds:
- Crores of rupees, categorised as “proceeds of crime,” were allegedly diverted to companies owned by Siddiqui’s wife and children.
- Contracts for construction, catering, and other services were reportedly routed to these family-linked firms.
- Multiple shell companies are alleged to have been used to layer funds, suppress accountability, and misappropriate trust resources.
19 Locations Searched; Cash and Digital Evidence Seized
Siddiqui’s arrest followed coordinated search operations conducted across 19 premises in Delhi–NCR, including:
- Properties linked to Al Falah University,
- Residences of senior functionaries, and
- Other locations tied to suspected shell entities.
During the raids, the ED seized:
- ₹48 lakh in cash,
- Various digital devices, and
- Incriminating documents believed to support the ongoing financial probe.
Parallel Probe Into Links With ‘White-Collar’ Terror Module
The money laundering investigation runs alongside a separate, high-stakes terror probe related to:
- A suspected “white-collar” terror module, and
- The recent Red Fort bomb blast in Delhi.
Al Falah University came under heightened scrutiny after it emerged that several suspects—including the alleged suicide bomber in the Red Fort incident—had documented links to the institution. This prompted central agencies to extensively examine the university’s academic records and financial operations.
Custodial Remand Sought
Following his arrest, Siddiqui was produced before a special PMLA court in Delhi. The ED has sought custodial interrogation to further investigate fund flows, shell company trails, and potential terror-financing angles.
