Al-Falah University founder Jawad Ahmed Siddiqui has been remanded to 13-day ED custody in a ₹415-crore money laundering probe linked to alleged fake accreditation, fee fraud, and potential terror-financing overlaps. A Delhi court approved extended interrogation after major financial irregularities surfaced.
Delhi Court Sends Al-Falah University Founder to ED Custody Till December 1
TheInterviewTimes.com | November 19, 2025: In a major development shaking India’s private education sector, a Delhi court on Wednesday remanded Al-Falah University founder and chairman Jawad Ahmed Siddiqui to 13 days of Enforcement Directorate (ED) custody in an alleged ₹415.10 crore money laundering case.
Additional Sessions Judge Sheetal Chaudhary Pradhan at Saket Courts granted the ED’s plea for custodial interrogation until December 1, 2025, after Siddiqui was arrested under Section 19 of the Prevention of Money Laundering Act (PMLA). The 65-year-old education magnate was produced amid heightened security involving CRPF teams and senior ED officials.
Fake Accreditation, Massive Fee Collections and Alleged Diversion of Funds
The money-laundering case is rooted in two Delhi Police Crime Branch FIRs filed on November 13, accusing Al-Falah University of misrepresenting its accreditation status for years.
Investigators allege the university falsely claimed:
- NAAC accreditation, and
- UGC Section 12B recognition
These claims were allegedly displayed on official brochures, the university website, and admission portals. According to police and ED findings, these false credentials enabled the institution to secure thousands of admissions while collecting ₹415 crore between FY 2018–19 and FY 2024–25.
Instead of investing in academic resources, laboratories, or hostel infrastructure, ED officers say the money was allegedly routed to family-controlled entities and shell companies.
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Key Alleged Diversion Routes
- Construction contracts awarded to firms controlled by Siddiqui’s wife and children.
- Security, housekeeping, and catering contracts routed through benami front companies.
- Large transfers flagged to entities linked to foreign accounts in Dubai and Singapore.
During 25 coordinated raids across Delhi-NCR, ED recovered:
- ₹48 lakh in unaccounted cash,
- multiple laptops and mobile phones,
- and incriminating digital ledgers documenting fund flows.
The ED stated in court, “Jawad Siddiqui exercised de facto control over every financial decision and poses a serious flight risk, considering his family’s foreign citizenship in Gulf nations.”
Links to Red Fort Blast Probe Add Serious Dimension
The investigation has deepened due to overlaps with the probe into the November 10 Red Fort blast, which killed 14 people.
Sources confirm:
- Two prime suspects worked at Al-Falah Hospital in Okhla, run by the same charitable trust.
- Ten Al-Falah University students were detained after digital forensic teams found access to radical online material.
While ED has not booked Siddiqui under terror-financing provisions, senior officials call the case “multi-layered”, indicating that hawala routes and cross-border fund transfers are being examined.
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Defense Counters ED’s Claims, Students Protest Outside Court
Senior advocate Rebecca John, representing Siddiqui, opposed the remand, arguing that:
- Siddiqui had cooperated fully,
- Predicate IPC offences are bailable,
- And the ED is “fishing for evidence.”
The court rejected these arguments citing the scale of alleged fraud, the need to examine seized digital records, and confront Siddiqui with co-accused and financial documents.
Meanwhile, outside the courtroom, a small crowd of students held placards reading “Return Our Fees” and “Justice for Duped Students.” Many said they enrolled believing Al-Falah University held a NAAC ‘A’ grade, only to later discover the accreditation never existed.
Campus Shut, Forensic Audits Intensify
The ED is preparing a supplementary prosecution complaint, while forensic auditors scrutinize 40+ entities linked to the Siddiqui family.
The main campus of Al-Falah University in Faridabad remains sealed and guarded by Haryana Police, leaving thousands of students uncertain about degrees, transfers, and admissions.
Key Takeaways
- Al-Falah University founder Jawad Siddiqui is in 13-day ED custody in a ₹415-crore PMLA case.
- Investigators allege fake NAAC accreditation, fraudulent fee collection, and diversion of funds to shell companies.
- Probe overlaps with the Red Fort blast case, raising deeper concerns.
- Students demand refunds and clarity on academic status.
- University operations remain suspended as ED expands its forensic investigation.