New Delhi: In a major operation early Tuesday morning, the Directorate of Enforcement (ED) raided around 25 premises associated with Al Falah University and its affiliated entities across Delhi-NCR. The coordinated raids, which began at 5:15 AM, are part of the agency’s continuing investigation into suspected financial mismanagement, shell companies, and potential money laundering activities.
Sources within the ED confirmed that the searches were specifically targeting entities connected to the Al Falah Trust, a significant body that oversees the university’s operations. The investigation focuses on alleged irregularities involving financial transactions, shell companies, and the flow of illicit funds. Key personnel responsible for finance and administration within the trust are also reportedly under scrutiny.
According to ED officials, the investigation uncovered the existence of nine shell companies, all of which are registered at the same address. Initial findings suggest these companies exhibit typical traits of shell operations, such as a lack of physical offices, minimal operational activity, and questionable financial footprints. Investigators also discovered the use of common contact details, including a shared mobile number and email address, across multiple entities and bank accounts linked to the group.
Further evidence indicates discrepancies in the university’s filings with government agencies. In particular, reports to the Employees’ Provident Fund Organisation (EPFO) and the Employees’ State Insurance Corporation (ESIC) were found to be inconsistent with the scale of the university’s operations. Officials are also examining weak Know Your Customer (KYC) documentation and overlapping signatories and directors across the various firms.
In addition to these financial irregularities, the ED’s probe has raised questions about the authenticity of claims made by the university regarding its academic credentials. Allegations about false or misleading statements concerning approvals from the University Grants Commission (UGC) and the National Assessment and Accreditation Council (NAAC) are now under review.
The ED’s investigation is part of a broader effort to clamp down on the misuse of educational institutions for illegal financial activities. The agency’s findings so far have highlighted several red flags, and it is expected that further searches and inquiries will follow.
As the investigation continues, the focus is on determining the full extent of the financial irregularities, the involvement of shell companies, and any potential links to broader money laundering schemes.
