Money laundering case: ED files charge sheet against Al-Falah head, attaches ₹139 cr assets

THe Enforcement board of directors (ED) has filed a bill sheet of paper against Jawad Ahmed Siddiqui, chairman of Faridabad-based Al-Falah University, and the family-run Al-Falah sympathetic cartel as part of its money laundering probe into the varsity linked to the November 10 terror attack near Delhi’s Red Fort, people familiar with the development said on Friday.The federal agency, officials said, has attached assets worth ₹139 crore, including 54 acres of land inside the university campus, under the Prevention of Money Laundering Act (PMLA).Officials, who asked not to be identified, said the charge sheet, filed on Friday, contains evidence of systematic financial irregularities.ED said in a statement that it has quantified proceeds of crime (PoC) worth ₹493 crore in its probe.“It was generated through fraudulent misrepresentations to regulators/stakeholders and consequential admissions and fee collections,” the statement said. “Siddiqui was found to have layered PoC through family-controlled entities. Institutional funds were routed through family-owned entities including Amla Enterprises LLP, Karkun Construction & Developers, Diyala Construction and Developers Pvt Ltd, etc. Investigation also found foreign remittances and siphoning abroad.”The agency found outward foreign remittances of over ₹3 crore by Siddiqui favouring his wife and around ₹1 crore favouring his son. The agency based that the Al-Falah trust routed over ₹110 crore to family-controlled firms.HT had reported on December 25 that ED has found that firms controlled by Siddiqui’s wife and children were awarded contracts for catering and construction of the university and hospital complex. The agency has also alleged that Al-Falah Charitable Trust – also linked to Siddiqui – had acquired land using university funds.Siddiqui was arrested on November 18 by ED on money laundering charges linked to alleged cheating of students at institutions run by the Al-Falah Trust.While seeking Siddiqui’s remand, ED told a court that the university and its controlling trust generated “proceeds of crime” by “dishonestly” inducing students and parents through false claims of accreditation and recognition.Al-Falah University came under scrutiny after the deadly November 10 blast near the Red Fort, in which a group of extremist doctors allegedly used the campus as a base. The National Investigation Agency (NIA) is separately investigating the terrorism angle of the blast.An ED officer familiar with the case details said, “We’ve been investigating all related persons and entities over the last two months. We have found that there is an organised layering and integration of suspected proceeds of crime into educational and charitable structure at the university, fraudulent land acquisition and diversion of charitable funds, among others”Construction work for the university’s medical college and hospital was awarded to Karkun Construction and Developers, a firm in which Siddiqui’s son and daughter hold 49% shares each. Similarly, catering contracts went to Amla Enterprises LLP, largely owned by his wife and son.“The firms are effectively run/controlled by Jawad Ahmad Siddiqui and such related-party transactions were not disclosed in statutory filings,” a second ED officer said.The probe also found that university funds were diverted to acquire land in Delhi’s Madanpur Khadar village through another entity, Tarbia Education Foundation, linked to Siddiqui.The agency has also flagged possible overseas links involving Siddiqui’s children. Officials aware of the matter have told HT that ED’s probe has suggested that his son Afham Ahmed and daughter Afiya Siddiqa may be holding dual citizenship, as certain foreign incorporation filings describe them as British nationals, a claim that is currently under verification.The agency has also identified a UK-based company, Ennoble Education and Training Ltd, incorporated in May, with initial shareholding linked to Siddiqui’s children. Its shareholding was later changed to include a UK-based associate, whose details are being verified. “There are indications that Jawad Ahmad Siddiqui has settled his family abroad, including issues relating to dual nationality,” an ED official said.Besides, ED’s probe continues to examine violations of educational regulatory norms (including National Medical Commission, University Grants Commission, National Assessment and Accreditation Council etc.) and the full extent of the financial network.