ED Files Chargesheet Against Al Falah Group Chairman, Charitable Trust in Money-laundering Case

New Delhi: The Enforcement Directorate has filed a chargesheet before a Delhi court against Jawad Ahmad Siddiqui, Chairman of the Al Falah Group, in connection with an alleged money-laundering case.

The chargesheet has also been filed against the Al Falah Charitable Trust, taking the total number of accused in the matter to two.

According to the agency, the investigation was initiated on the basis of two FIRs registered by the Delhi Police Crime Branch. The FIRs alleged that the university had falsely claimed accreditation from the National Assessment and Accreditation Council (NAAC).

The Enforcement Directorate has informed the court that it has provisionally attached assets as part of its probe under the Prevention of Money Laundering Act (PMLA).

Earlier, the ED told the court that Siddiqui was arrested in connection with alleged money laundering involving the Al Falah Charitable Trust, which controls the university and its affiliated educational institutions. The agency's action followed the Crime Branch FIRs alleging that expired NAAC accreditation grades were falsely advertised by the university and its institutions.

The ED has further alleged that claims of regulatory recognition were fabricated to mislead students and parents, thereby inducing admissions and the collection of fees through misrepresentation. The court recorded that the agency's financial analysis indicated that funds collected during the relevant period appeared to be linked to the alleged misrepresentations, bringing them within the ambit of proceeds of crime under the PMLA.

Searches conducted across multiple locations led to the recovery of cash, digital devices, and financial records. The ED told the court that certain contracts were allegedly diverted to entities linked to the accused's family, and that senior officials confirmed Siddiqui's role in approving major financial decisions. The agency also pointed to alleged layering of funds through related entities to obscure the money trail.

Granting custodial remand earlier, the court said ED interrogation was required to trace additional proceeds of crime, prevent dissipation of assets, and avoid tampering with records.

The court also noted the risk of influencing witnesses and the possible flight risk. While Siddiqui's counsel opposed the remand and claimed cooperation, the court held that custodial interrogation was justified given the seriousness of the allegations. 

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