Daijiworld Media Network - Ghaziabad
Ghaziabad, Oct 31: The Enforcement Directorate (ED) has arrested Samajwadi Party leader and former Uttar Pradesh minister Mohammad Azam Khan in a money laundering case linked to the Maulana Mohammad Ali Jauhar University, an official said on Saturday.
Azam Khan will soon be produced before the Special Court (PMLA) in Ghaziabad for custody proceedings, the official said in a statement.
The arrest comes close on the heels of the ED provisionally attaching land and buildings belonging to the university in Rampur district, Uttar Pradesh, valued at Rs 426.46 crore, in connection with its money laundering investigation involving the Maulana Mohammad Ali Jauhar Trust, Azam Khan and others.
The latest development comes days after the Allahabad High Court granted temporary relief to Azam Khan and his son Abdullah Khan by suspending their sentences in the dual PAN card case and granting them bail on Thursday.
In the money laundering probe, the ED said it had attached university assets with an estimated current market value of around Rs 1,170 crore.
The university campus, located at Jauhar Nagar in Singhankhera village of Rampur, is owned by the Maulana Mohammad Ali Jauhar Trust, founded and controlled by Azam Khan, who also serves as its honorary Chancellor, the agency said.
The investigation stems from 26 FIRs registered at Azeem Nagar police station in Rampur, alleging that agricultural land belonging to farmers was forcibly acquired for the university.
The ED said inquiries by the district administration also revealed that nearly 34 acres of enemy property in Singhankhera village had allegedly been occupied for the university despite cancellation of the land lease. The land has since been recovered by the Custodian of Enemy Property through the district administration.
According to the agency, its investigation revealed that funds meant for public works were diverted to the university, government-funded projects were executed on the private campus, and money from contractors awarded government projects was routed back to the trust as donations.
The ED has also taken up the investigation into 28 additional FIRs registered against Azam Khan and others in Rampur. These cases include allegations that several houses were demolished in 2016 and that materials and equipment meant for public projects were diverted for use at the university campus. The allegations form part of charge sheets filed by the police.
The agency said contractors involved in government projects had admitted to supplying construction materials and funds for the university.
The ED further alleged that proceeds generated through illegal activities were used for acquiring, constructing and developing the university and its associated assets.
A valuation conducted by the District Valuation Officer estimated the total cost of the university campus, comprising 59 buildings and land acquired through 114 sale deeds, at Rs 499.09 crore. However, the trust reportedly declared only Rs 78.32 crore as capital expenditure in its income tax filings.
After examining the records, the ED concluded that only Rs 72.63 crore of the campus cost could be accounted for through legitimate sources, leaving Rs 426.46 crore as alleged proceeds of crime.
The agency also alleged that works worth Rs 6.60 crore were carried out on the university campus using MLA and MLC local area development funds, while government sanctions amounting to Rs 23.41 crore were granted for infrastructure projects on the private campus. It claimed that subsequent modifications to government orders resulted in public assets being transferred to the university.
Based on these findings, the ED attached the university’s land and buildings to the extent of the alleged proceeds of crime amounting to Rs 426.46 crore.
Searches conducted at the university and related premises on August 19, 2026, led to the seizure of electronic devices and documents, the agency said.