Al Falah University founder scams students, parents of ₹415 crore. Here's what ED reveals

The Enforcement Directorate (ED) has accused Al Falah University founder Jawad Ahmed Siddiqui of collecting more than ₹415 crore ($50 million USD approx) through fake claims and misleading admissions, leading to his arrest and 13-day ED custody. The case took a sharp turn on Tuesday (Nov 18) night when Siddiqui was arrested after long hours of searches at several places linked to the Faridabad-based Al Falah University. He was taken to court around 1 am, where the ED asked for a 14-day custodial remand. The judge granted 13 days, keeping him in the agency’s custody till December 1.

According to the ED, Siddiqui used forged accreditation and false promises about NAAC and UGC recognition to attract students and parents. The agency said the university collected more than ₹415 crore through these claims and then diverted a large part of the money for Siddiqui’s personal use. The ED also said his strong finances, influence and family ties in Gulf countries made him a flight risk, which is why custody was needed.

The investigation is linked to a larger probe into the Monday (Nov 10) blast near the Red Fort, which killed eight people and injured many others. The ED took note of two Crime Branch FIRs that accused the university of fake documents and misleading admissions. The agency believes staff members handling key areas like accounts, fee records, and IT systems were under Siddiqui’s control, giving him the power to alter or destroy important evidence.

Officials also said they need more time to find the complete money trail, check multiple bank accounts, and track possible assets. The ED added that only a small part of the ₹415 crore has been traced so far, and more links must be verified.

Siddiqui’s lawyer argued that the allegations were false and based on wrong complaints. However, the court said the case is at an early stage and the charges are serious, making ED custody necessary for a proper investigation.

Siddiqui will remain with the ED until December 1, while the agency continues to examine financial records, forged documents and the rapid growth of the Al Falah group, which has now come under heavy scrutiny.