Al‑Falah University Founder Jawad Ahmed Siddiqui Arrested By ED In Money Laundering Case

New Delhi: The founder of Al‑Falah University, Jawad Ahmed Siddiqui, was arrested on Tuesday by the Enforcement Directorate (ED) in a money laundering case related to Al-Falah Charitable Trust. The action came up after the investigating agencies started tightening the noose following the doctors at the university being linked to the deadly Red Fort car‑blast case. According to reports, the agencies also seized Rs 48 lakh during the action. 

According to official sources, an investigation into the affairs of the Al‑Falah Group led the Enforcement Directorate to take into custody Jawad Ahmed Siddiqui, who is the chairman and managing trustee of the group. The arrest, carried out under Section 19 of the Prevention of Money Laundering Act (PMLA) 2002, followed a series of raids at 19 locations across Delhi, including the premises of Al‑Falah University in Faridabad and the private residences of senior officials.

Documents And Digital Evidence Recovered

During the operation, the officers recovered a staggering amount of cash, a collection of digital devices and a trove of paperwork that pointed to a network of shell companies allegedly used to funnel money.

The ED’s action was prompted by two FIRs lodged by the Delhi Police Crime Branch. The FIRs accused Al‑Falah University of fabricating NAAC accreditation and of falsely claiming recognition under Section 12(b) of the University Grants Commission (UGC) Act 1956.

The UGC later issued a clarification stating that the university is listed only under Section 2(f) as a state‑private institution and has never applied for inclusion under Section 12(b), rendering it ineligible for any grants under that provision. 

What Enforcement Directorate Said

Following the action, the officials said, “The Enforcement Directorate has arrested Jawad Ahmed Siddiqui, chairman of the Al Falah Group, under Section 19 of the Prevention of Money Laundering Act, 2002, following a detailed investigation and analysis of evidence gathered during a search operation conducted earlier today at premises linked to the group…..During the operation, we carried out searches at 19 locations in Delhi, including the Al Falah University campus and the residential homes of key officials. The raids resulted in the seizure of over Rs 48 lakh in cash, multiple digital devices and extensive documentary evidence."

“Our investigation has revealed that large amounts of proceeds of crime have been generated and that crores of rupees have been diverted from the Al Falah Charitable Trust to entities owned by Siddiqui’s wife and children. For instance, construction and catering contracts were awarded to those family‑run businesses…..The evidence also shows the existence of several shell companies used to layer and conceal illicit funds. Numerous violations under various other statutes have been identified, and the role of Mr Siddiqui in controlling the trust and its financial operations is clearly established,” the statement continued.

“The ED has intensified its probe into the financial affairs of Al Falah University, its associated trusts and firms, after two FIRs were registered by the Delhi Police Crime Branch alleging fraudulent NAAC accreditation claims and false UGC recognition under Section 12(B). The University Grants Commission has clarified that Al Falah University is listed only under Section 2(f) and has never applied for Section 12(B) status,” the statement added.

“Mr Siddiqui was produced before the competent court to seek remand and will remain in custody while the investigation continues. The ED will pursue all leads to recover the proceeds of crime and bring any other persons involved to justice,” the Directorate concluded.

ED Finds Several Irregularities

Al‑Falah Charitable Trust, established by a public deed on 8 September 1995, names Jawad Ahmed Siddiqui as one of its founding trustees and its managing trustee. All the educational entities operated by the group, including the Al-Falah University and its affiliated colleges, are financially consolidated under this trust, which investigators say is effectively controlled by Siddiqui.

As per the official sources, the trust’s rapid expansion since the 1990s has transformed it into a large educational conglomerate, but the ED alleges that the growth was not matched by legitimate finances.

The central investigating team stated that they found evidence that large sums of money were diverted from the trust to entities owned by Jawad Siddiqui’s wife and children. The contracts for construction and catering services at the university were reportedly awarded to these family‑run firms, a practice that the ED described as part of a pattern of generating and layering proceeds of crime.

In addition to the cash haul, the officials seized documents that revealed how funds were moved through multiple shell companies, further obscuring their origin.

Investigating Agencies Suspect Bigger Conspiracy

After gathering the evidence, the ED followed the required legal procedures and presented Jawad Siddiqui before a magistrate on the same day to seek remand. He is now in custody pending further interrogation, and the agency has indicated that the probe will continue, with more arrests possible as the investigation proceeds. The probe agencies are also investigating the angle to ascertain any unlawful deeper links of the University's management and its founder, Jawad Ahmad Siddiqui. 

Amidst a probe into Delhi’s Red Fort car blast case, the new revelation against the founder and the trustees of the University has raised questions about oversight of private universities and the use of charitable trusts for personal gain.

Probe Into Delhi's Red Fort Car Blast

The suicide attack that rocked Delhi’s historic Red Fort on the evening of November 10 left at least 15 people dead and over two dozen injured when a Hyundai i20 car exploded near the monument around 7 pm. In the days that followed, investigators from the National Investigation Agency (NIA) arrested Jasir Bilal Wani, also known as Danish, in Srinagar and brought him before a special NIA court at Patiala House, where he was remanded to 10 days custody.

The NIA told the court that Wani, a Kashmiri resident with expertise in drones, had been contacted to design a precision rocket and had allegedly provided technical support for modifying drones and attempting to construct rockets in the run‑up to the car‑bomb attack. According to the agency, Wani was working with the suicide bomber, Umar un Nabi, and was an active co‑conspirator in the plot to sow terror and panic across the country.

Meanwhile, the Counter‑Intelligence Kashmir (CIK) conducted simultaneous raids at several locations in the Kashmir valley on Tuesday morning. These operations were carried out in the backdrop of the Red Fort bombing and was to unearth further links in the network that planned the attack.

In the meantime, the Patiala House court and other judicial venues in Delhi received bomb‑threat alerts that were later confirmed to be hoaxes. 

Further details regarding the arrest of Jawad Siddiqui are awaited.