The Enforcement Directorate (ED) arrested Jawad Ahmed Siddiqui, chairman and founder of Al Falah University in Haryana, on Tuesday, 18th November evening, on money laundering charges. Hours later, a Delhi court sent him to 13 days of ED custody, stating that the case was serious and the investigation was still in its early stages.
The ED told the Delhi court that Al Falah University had made around Rs 415 crore by misleading students and their families through false claims about its accreditation and recognition. The agency said the university enriched itself using dishonest practices that hurt students’ futures.
The arrest came after the ED conducted searches at 25 locations linked to the Al Falah group in Delhi-NCR. The agency started its investigation based on two FIRs filed by the Delhi Police Crime Branch. The university also came under the scanner after three doctors working there were identified as suspects in the 10th November Red Fort blast.
Last week, during a high-level meeting chaired by Union Home Minister Amit Shah, the ED was asked to review the university’s financial trail. The meeting, which lasted around one and a half hours, also examined the progress of the Red Fort blast inquiry.
In its remand papers, the ED said the university and its controlling trust collected about Rs 415.10 crore in fees by making false claims about having accreditation from the National Assessment and Accreditation Council (NAAC) and recognition from the University Grants Commission (UGC) under Section 12(B). It said these actions broke educational norms and badly affected students who trusted these claims in good faith.
The agency explained that many students and families spent their time and savings based on the university’s promises. When such recognition turned out to be false, their degrees lost value. This not only ruined career opportunities but also caused financial losses and emotional distress.
According to the ED, the Al Falah Charitable Trust, which runs educational institutions, earned Rs 415 crore as fees and other receipts through dishonest means. The agency considered this amount as proceeds of crime and said part of it was used for personal and private benefits. Evidence collected so far shows that financial decisions were taken directly under Siddiqui’s instructions.
The prosecutor, Simon Benjamin, representing the ED and told the Additional Sessions Judge Sheetal Chaudhary Pradhan of Saket court that by making false claims about its recognition, the university harmed the lives and career prospects of many students. He said that the institution continued to attract new admissions and collect large sums while breaching students’ trust and hopes.
As part of its ongoing investigation, the ED has also identified nine shell companies registered at the same address as the Al Falah group. These companies are now being examined for their role in the financial irregularities connected to the case.