New Delhi: Jawad Ahmed Siddiqui, chairperson of the Al Falah group, had “incentives” to leave India as his close relatives reside in the Gulf, and he has been linked to at least Rs 415 crore in funds allegedly obtained “dishonestly” from students at institutions operated by his Trust, according to the ED presented in court. Siddiqui was taken into custody by the federal investigative agency on Tuesday night after extensive searches targeting the Al Falah University group in Faridabad. This University is pivotal to the investigation regarding the November 10 Red Fort area blast that resulted in 15 fatalities and numerous injuries.
He was brought before Additional Sessions Judge Sheetal Chaudhary Pradhan (Saket court) early Wednesday, where the agency requested a 14-day remand for custodial questioning. The court granted him a 13-day remand to ED custody until December 1. The agency informed the court that under Siddiqui’s direction, the university and its governing trust generated crime proceeds amounting to Rs 415.10 crore by deceitfully convincing students and parents to pay money based on false claims of accreditation and recognition. It further asserted that Siddiqui’s arrest was crucial due to concerns over his potential flight and lack of cooperation. “The accused possesses substantial financial resources and influence and has a history of serious economic crimes.
His close family members are settled in Gulf countries, presenting him with incentives to escape India. In light of the severe allegations (with crime proceeds estimated in hundreds of crores) and the possible repercussions under PMLA, there is a reasonable fear that if not apprehended, he may abscond or evade effective interrogation, relocate assets and himself outside the jurisdiction, and continue to obstruct the investigation,” the ED conveyed to the court. It stated that Siddiqui was the founder and managing trustee who was “controlling the mind” of the Al Falah charitable trust and exerts de facto influence over Al Falah University and its institutions.
The agency claimed that Siddiqui’s custodial questioning was essential to uncover and assess the full scope of the “proceeds of crime,” including those not yet reflected in the disclosed income tax return (ITR) figures, and to facilitate the timely attachment and confiscation under the PMLA. The ED also alleged that Siddiqui has “command” over the staff managing admission registers, fee ledgers, accounts, and IT systems of the University and other institutions under the Trust, suggesting he could “destroy or alter records.” The entire Al Falah educational framework is under his control, and only a fraction of the identified proceeds of crime, amounting to Rs 415.10 crore, has been uncovered thus far, the ED informed the court while seeking his remand.
The agency indicated that the entire Al Falah group has experienced a “meteoric rise” since the 1990s, evolving into a significant educational entity. “However, the financial records of the various entities do not align with the substantial amount of assets and wealth accumulated by the group,” it stated in court. Siddiqui’s attorney contended in court that his client has been falsely accused in this case. The court granted Siddiqui’s 13-day remand to ED, asserting that his arrest complied with the PMLA provisions and considering the “seriousness” of the offense, as well as the fact that the investigation is still in its early stages.
The ED has acknowledged two Delhi Police FIRs to initiate its case under the anti-money laundering legislation against the Al Falah group.
