The probe began after FIRs accusing the university of fake NAAC accreditation and misleading UGC claims. The ED is also examining whether any laundered funds were used to support those involved in the November 10 Red Fort blast, which killed 14 people.
The Enforcement Directorate on Tuesday arrested Jawad Ahmed Siddiqui, founder of Al-Falah University and chairman of the Al-Falah Group, in a money laundering case that is also being examined for possible terror-financing links, officials said.
The action comes amid heightened scrutiny of the Faridabad-based university, which investigators describe as the epicentre of a ‘white-collar’ terror module linked to the November 10 Red Fort blast that killed 14 people and injured several others. Earlier in the day, India Today TV reported that Siddiqui was being questioned, and his residence was under search.
ED officials said the arrest followed detailed scrutiny of evidence collected during searches at university premises and other locations tied to the Al-Falah Group.
FIRs ON FAKE ACCREDITATION TRIGGERED ED INQUIRY
According to sources, the ED probe was initiated after two FIRs by Delhi Police Crime Branch alleged that Al-Falah University made fraudulent NAAC accreditation claims and falsely projected itself as recognised under Section 12(B) of the UGC Act to mislead students and parents.
The UGC later clarified that the university is listed only under Section 2(f) as a state private university and has never been eligible for grants under 12(B).
TRUST STRUCTURE AND FINANCIAL TRAIL
Sources said the Al-Falah Charitable Trust, established in 1995, with Siddiqui as a founding and managing trustee, owns and financially consolidates all educational institutions under the Al-Falah Group. The trust and its institutions have grown rapidly since the 1990s, but investigators say this rise was not supported by matching financials.
Searches conducted at the university and at residential premises of key personnel revealed that crores of rupees in alleged proceeds of crime were generated and diverted.
Investigators found evidence that funds from the trust were routed to family-owned entities, with construction and catering contracts allegedly awarded to firms linked to Siddiqui’s wife and children.
RS 48 LAKH CASH HAUL, SHELL FIRMS FOUND
The ED seized Rs 48 lakh in cash, digital devices and extensive documentation. The agency has also identified multiple shell companies connected to the group, along with suspected violations under several other laws.
According to sources, evidence recovered during the probe shows a clear pattern of fund diversion, layering and misuse of trust funds, all under Siddiqui’s effective control of the organisation’s finances and decision-making.
POSSIBLE TERROR-FINANCING ANGLE
Alongside the financial probe, the ED is also examining whether any part of the laundered funds may have been channelled to individuals linked to the November 10 Red Fort blast, which killed 14 people. This line of enquiry remains ongoing.
After establishing his alleged role in generating and layering proceeds of crime, the ED placed Siddiqui under arrest on 18 November 2025, following due legal procedure. Further investigation is underway.
