The Enforcement Directorate (ED) has taken significant action in a money laundering investigation involving Samajwadi Party leader Azam Khan, provisionally attaching assets belonging to Mohammad Ali Jauhar University in Rampur, Uttar Pradesh. The attached properties, comprising land and buildings, are estimated to have a market value of ₹1,170 crore.
The university campus, situated in Jauhar Nagar, Rampur, is owned by the Maulana Mohammad Ali Jauhar Trust, which is under the control of Azam Khan. Khan also holds the honorary Chancellor position at the institution.
ED's Provisional Attachment Under PMLA
The Lucknow Zonal Office of the ED issued a statement confirming the attachment of these properties, valued at ₹426.46 crore, under the Prevention of Money Laundering Act (PMLA). The investigation was initiated following 26 First Information Reports (FIRs) registered at Azeem Nagar police station in Rampur.
Allegations of Land Grabbing and Fund Diversion
The FIRs primarily allege that agricultural land belonging to farmers was forcibly acquired for the university's establishment. Furthermore, the ED's probe uncovered claims of illegal occupation of approximately 34 acres of 'enemy property' located in Singhankhera village.
The agency also stated that public works funds were allegedly diverted to the university. It was found that government projects were executed on the private university campus, and funds from contractors, who had been awarded government contracts, were routed back to the trust as 'donations'.
Misuse of Government Funds for Private Campus
Contractors reportedly diverted both funds and construction materials from government projects to the university. One company's managing director, whose firm secured PWD contracts worth around ₹186 crore, admitted that 30-40% of the contract value was used to purchase construction material for the university, according to the ED.
Additionally, the ED alleged that works totaling ₹6.60 crore were carried out on the university's private campus using MLA/MLC local area development funds. Government sanctions amounting to ₹23.41 crore were also reportedly granted for constructing facilities like a pandal, an OBC boys' hostel, and a hospital block on the private campus. The agency claims that a government-funded asset was subsequently transferred into the university's ownership after original conditions were altered.
Discrepancies in University's Finances
The ED assessed the university campus value at ₹499.09 crore. However, the Maulana Mohammad Ali Jauhar Trust's Income Tax returns showed a capital expenditure of only ₹78.32 crore. Of this amount, donations worth ₹12.29 crore were deemed non-genuine, leaving only ₹66.03 crore as legitimate expenditure by the Trust for land acquisition and building construction.
The agency concluded that only ₹72.63 crore of the campus cost could be explained through legitimate sources. The remaining ₹426.46 crore is considered proceeds of crime, generated through illegitimate means. Following these findings, the Income Tax Department has also revoked the Trust's registration under the Income Tax Act, 1961.
Broader Investigations Against Azam Khan
Separately, the ED has taken up 28 additional FIRs filed by the Rampur Police against Azam Khan and others. Many of these cases involve allegations of house demolitions, eviction of residents, and misappropriation of property. The agency had previously conducted searches at the university and related premises on August 19, seizing electronic devices and various records as part of its ongoing investigation.