Jawad Ahmed Siddiqui—founder, chairman, and chancellor of Al Falah University—has been remanded to 13-day Enforcement Directorate (ED) custody in connection with an expanding money-laundering investigation linked to the November 10 Delhi Red Fort blast. Siddiqui was arrested on November 18, 2025, after extensive ED raids across Delhi and Faridabad targeting the Al Falah Group. Investigators are probing alleged diversion of university funds, fraudulent accreditation claims, and potential terror financing involving doctors associated with the institution and implicated in the blast.

When Financial Crime Intersects National Security

The ED’s action against Siddiqui marks a dramatic escalation in a case that sits at the intersection of education, financial fraud, and terror networks. What began as a terror investigation has broadened into an inquiry uncovering suspected systemic irregularities within a prominent educational institution. The case raises troubling questions about the misuse of charitable and academic platforms for illicit financing, and the extent to which financial crimes may have supported extremist activities.

Origins of the Investigation: How a Blast Led to a University Hospital

The probe was set in motion when the suicide bomber behind the Red Fort car blast was traced to Al Falah University’s hospital. This link prompted immediate scrutiny of the institution’s financial operations. The ED subsequently initiated a money-laundering case under the Prevention of Money Laundering Act (PMLA), targeting Siddiqui and his associates for allegedly routing student fees and ill-gotten gains into shell firms and family-owned companies.

Simultaneous raids on more than 25 locations resulted in the recovery of Rs 48 lakh in cash, digital records, and documents indicating possible fund diversion. These discoveries strengthened suspicion that proceeds of crime may have been funnelled into activities connected to the terror module.

Detailed Analysis: Allegations, Evidence, and Investigation Updates

Financial Irregularities and Fake Accreditation Claims

Preliminary evidence points to the Al Falah Charitable Trust—under Siddiqui’s control—siphoning funds through companies owned by his wife and children. Contracts for construction, catering, and services were allegedly awarded without competitive bids, indicating deliberate layering of transactions to mask financial flows.

ED officials also found that the university issued misleading claims about accreditation from the UGC and NAAC. These alleged fabrications misled thousands of students and violated regulatory norms, positioning the institution as a revenue-generating front rather than an academic body.

Ongoing Investigation and Its Expanding Scope

New updates suggest the ED is mapping bank trails and digital communication networks to establish whether laundered funds were used to finance the terror module linked to the Red Fort blast. Officials argue that custodial interrogation is necessary to prevent evidence tampering and to decode the full financial architecture behind the alleged crimes.

The agency is also examining the role of multiple trustees and senior administrators, widening the probe beyond Siddiqui to assess systemic complicity.

Legal Proceedings: Court Endorses Need for Custody

A Delhi court remanded Siddiqui to 13 days of ED custody after reviewing early findings indicating financial wrongdoing with possible terror links. The court noted the seriousness of allegations and emphasized the importance of uncovering the money trail to disrupt funding channels of extremist networks.

A Case with Far-Reaching Implications

Siddiqui’s arrest marks a pivotal step in dismantling what investigators believe could be a multi-layered network blending education, charity, and illicit finance. As the ED continues to unravel the money-laundering chain and potential terror links, the case is poised to shape future scrutiny of private educational institutions and charitable trusts. The outcome may influence India’s broader strategy against terror financing and strengthen regulatory vigilance across sectors vulnerable to financial abuse.

(With agency inputs)