Jawad Ahmad Siddiqui, Chairman of the Al Falah Group, has been remanded to 13-day Enforcement Directorate (ED) custody till December 1, in a money laundering case linked to alleged terror financing. The agency alleges that institutions run by the group dishonestly generated more than Rs 415 crore from students.
The ongoing investigation under the Prevention of Money Laundering Act (PMLA) has established that all bank accounts of the educational institutions under the Al Falah Group operated under a single Permanent Account Number (PAN), and Income Tax Returns (ITRs) were consistently filed in the name of the Al Falah Charitable Trust, pointing to complete unified financial control by the trust and its key functionaries.
In its remand application moved before Additional Sessions Judge Sheetal Chaudhary Pradhan at Saket District Court, New Delhi, the ED highlighted that ITRs from financial year 2014-15 onwards provided crucial insights. For 2014-15 and 2015-16, the trust declared Rs 30.89 crore and Rs 29.48 crore, respectively, as donations received.
From 2016-17 onwards, however, the university shifted its classification and began declaring income as “receipts from main object”, i.e., from academic activities instead of donations. A sharp surge in declared income was noticed from 2018-19. The institution’s income rose from Rs 24.21 crore in 2018-19 to Rs 80.01 crore in 2024-25, aggregating to over Rs 415 crore during this period.
Jawad Ahmad Siddiqui, the founder and chairman of the Al Falah Group, was arrested by the ED on the evening of November 18 in connection with the terror-financing-linked money laundering probe. In an order passed in the early hours of November 19, the Saket court granted 13-day ED custody till December 1.
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The remand note further alleged that Al Falah University continued to charge and collect full fees from students despite functioning without valid accreditation, an act that squarely falls within the ambit of fraud and forgery. Multiple cases registered against the university allege that students were admitted on the basis of falsely claimed accreditation, fake documents were prepared, and illegal income was generated through various charges.
The PMLA investigation has unearthed evidence indicating that the university defrauded students and the public, and fees collected from students were diverted for personal and private purposes, the ED stated. Siddiqui’s arrest followed an extensive probe and detailed analysis of evidence collected during large-scale searches conducted at premises linked to the Al Falah Group under the ECIR registered by the ED under PMLA.
The investigation was triggered by two FIRs lodged by the Crime Branch of Delhi Police, which accused Al Falah University, Faridabad, of making fraudulent and misleading claims of having obtained NAAC accreditation with the intent to deceive students, parents, and stakeholders for wrongful monetary gain.
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The FIRs also stated that the university falsely claimed recognition under Section 12(B) of the UGC Act, 1956, with the motive to cheat aspirants, students, parents, guardians, stakeholders, and the general public. The University Grants Commission (UGC) has clarified that Al Falah University is recognised only under Section 2(f) as a state private university, has never applied for inclusion under Section 12(B), and is therefore not eligible for central grants under that provision.
The Al Falah Charitable Trust was established through a public charitable trust deed executed on September 8, 1995, with Jawad Ahmad Siddiqui named as one of the founding trustees and designated as the managing trustee.
All educational institutions of the group—university and affiliated colleges—are ultimately owned, and their finances are consolidated under this trust, which remains effectively controlled by Siddiqui.
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From a modest beginning in the 1990s, the Al Falah Group witnessed a meteoric rise to become a large educational conglomerate, but the ED alleges that remarkable growth was not supported by commensurate legitimate financials. On November 18, the ED carried out searches at 25 locations across Delhi, including the premises of Al Falah University and the residences of key persons associated with the group.
The probe has revealed the generation of substantial proceeds of crime. Evidence shows that crores of rupees were diverted by the trust to entities owned by family members. For instance, construction contracts and catering contracts were allegedly awarded by the trust or by Siddiqui to companies belonging to his wife and children.
During the searches, the agency recovered and seized over Rs 48 lakh in cash, multiple digital devices, and incriminating documents.Several shell companies linked to the group have been identified, and numerous violations of various other statutes have also come to light during the investigation.
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