The Enforcement Directorate (ED) has intensified its investigation into the alleged financial irregularities surrounding Al-Falah University. On Tuesday, the agency arrested the university’s founder, Jawad Ahmed Siddiqui, after uncovering evidence of fund diversion and suspicious financial dealings. The probe also includes a parallel examination of possible links to a terror-financing network tied to the November 10 Red Fort blast, which killed 14 people.
Officials confirmed that the arrest followed extended searches, detailed financial analysis, and examination of documents seized from the Faridabad-based university and associated premises.
How the ED Inquiry Began
The ED launched its investigation after the Delhi Police Crime Branch registered two FIRs accusing Al-Falah University of fraudulently claiming NAAC accreditation and misleading students about its status under the UGC Act.
The UGC later clarified that the university is recognised only under Section 2(f) as a state private university and had never qualified for grants under Section 12(B).
These FIRs triggered a deeper financial probe, during which ED officials traced a series of transactions pointing to a pattern of alleged fund diversion.
Trust Structure and Suspicious Financial Trail
Investigators learned that the Al-Falah Charitable Trust, created in 1995 with Siddiqui as a key founding trustee, controls all educational institutions under the Al-Falah Group. While the group’s infrastructure grew rapidly over the years, officials say its financial records did not match this rise.
Searches at the university and the residences of senior staff revealed crores of rupees in alleged proceeds of crime.
Officials found that several construction and catering contracts were awarded to companies linked to Siddiqui’s immediate family members. According to investigators, trust funds were routed through these entities and then layered through multiple channels.
Cash Seizure and Shell Firms Detected
During the raids, ED officials seized Rs 48 lakh in cash, along with digital devices and large volumes of financial documents.
The agency also identified several shell companies tied to the group, which they believe played a key role in the alleged money laundering operations.
Sources said that investigators recovered evidence that showed a “clear pattern of fund diversion, layering and misuse of trust funds,” all of which reportedly fell under Siddiqui’s direct control.
Possible Link to Red Fort Blast Probe
Alongside the financial investigation, the ED is examining whether any of the allegedly laundered funds may have reached individuals connected to the November 10 Red Fort blast. This part of the investigation remains ongoing.
Several individuals associated with Al-Falah University — including Dr Muzammil Ganaie and Dr Shaheen Sayeed, both already arrested — are under scrutiny.
Dr Umar Nabi, who was driving the Hyundai i20 that exploded near the Red Fort, also served as an assistant professor at the university.
Authorities previously uncovered a suspected Jaish-e-Mohammed-linked network operating across Jammu and Kashmir, Haryana, and Uttar Pradesh. They recovered 2,900 kg of explosive material from two Faridabad rooms and arrested multiple individuals.
Arrest of Siddiqui
After establishing his alleged involvement in generating, routing, and concealing proceeds of crime, the ED arrested Siddiqui on 18 November 2025. Officials said the arrest followed due legal procedures, and further investigation is underway.
