The Enforcement Directorate (ED) is moving towards the potential attachment of the Al Falah University campus in Faridabad, Haryana, under anti-money laundering laws. This action follows a probe into allegations that the construction of the varsity was funded by illicit money.
Probe into Proceeds of Crime and Construction Funds
Official sources revealed on Sunday that the federal agency is investigating whether funds used for building the university were sourced from alleged proceeds of crime. The university, located in the Dhauj area of Faridabad, came under the scanner of investigating agencies after last year's blast in the Red Fort area.
The ED's investigation is centered on the Al Falah Trust, which owns all the educational institutions under the group, including the university. The agency is currently identifying and valuing the trust's movable and immovable assets. A significant part of the Rs 415.10 crore identified as "proceeds of crime" in this case is suspected to have been pumped into constructing various university buildings.
Chairman's Arrest and False Accreditation Claims
The chairman of the Al Falah Group, Jawad Ahmed Siddiqui, was arrested by the ED in November on money laundering charges. The agency alleges that Siddiqui and the trust under his direction generated the massive sum by dishonestly inducing students and parents to pay fees based on false accreditation and recognition claims.
The ED informed a court that the university falsely claimed to be UGC-recognized and misrepresented its NAAC (National Assessment and Accreditation Council) accreditation status. The agency stated that the educational institutes run by the trust did not possess the required valid accreditation for teaching.
Link to Terror Probe and Land Document Forgery
The university's role emerged during a broader probe into a "white-collar" terror module. In a chilling connection, Umar-un-Nabi, a doctor at the Al Falah medical college, was identified as the suicide bomber who detonated an explosive-laden car outside the Red Fort on November 10 last year, killing 15 people. Over ten people, including three doctors, have been arrested in this case by the NIA and Jammu and Kashmir Police.
Separately, the ED is also investigating at least five instances where documents related to the General Power of Attorney (GPA) for acquiring land parcels in Delhi were allegedly forged at the behest of the trust linked to Siddiqui.
Attachment Process and Student Welfare
Sources indicated that once the probe concludes, an order will be issued under the Prevention of Money Laundering Act (PMLA) to provisionally attach assets found to be derived from criminal proceeds. The attachment aims to prevent these assets from being dissipated, sold, or transacted.
However, in a crucial relief for students, it is understood that their academic pursuits will not be interrupted. Even after attachment, students will likely be allowed to continue their studies uninterrupted. The sources explained that a government-appointed receiver could be vested with the administration of the campus after the provisional attachment attains finality. This measure ensures that education continues while criminal action and prosecution proceed.
The ED registered its case under PMLA on November 14, taking cognizance of two Delhi Police FIRs. Siddiqui's lawyer has contested the charges, claiming his client was falsely implicated and that the two FIRs were "false and fabricated." The ED, however, has noted the Al Falah Group's "meteoric rise" since the 1990s into a large educational body.
