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 35 lakh from one of the trustees.

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. 

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.

Further details regarding the arrest of Jawad Siddiqui are awaited.