E-Paper
ED uncovers ₹20-crore asset trail in PMLA probe against cleric
The action follows three FIRs registered against Maulana Shamsul Huda Khan, his wife, son and daughter-in-law on charges of cheating, forgery, criminal conspiracy and alleged misuse of documents to obtain government benefits.
The Enforcement Directorate (ED) has uncovered an alleged ₹20-crore asset trail while probing Maulana Shamsul Huda Khan under the Prevention of Money Laundering Act (PMLA), following search operations at four premises in Sant Kabir Nagar district and linked locations in Azamgarh on Wednesday, officials said.
The action follows three FIRs registered against Khan, his wife, son and daughter-in-law on charges of cheating, forgery, criminal conspiracy and alleged misuse of documents to obtain government benefits.
Investigators said Khan was appointed as a primary school teacher in a madrasa in 1984. Documents recovered during the searches indicate that he acquired United Kingdom citizenship in 2013. Despite becoming a foreign citizen, he allegedly continued to draw government salary until 2017. Even after retirement, he is said to have received pensionary benefits until 2023. Officials are examining whether the continued receipt of salary and pension after acquiring foreign citizenship amounts to violations under financial and criminal laws, forming part of the money laundering investigation.
The probe revealed that more than ₹5.5 crore was credited between 2007 and 2025 into four bank accounts linked to Khan, his wife, son, daughter-in-law and NGOs associated with the family, including the Raza Foundation. The accounts were maintained in six different banks.
Investigators suspect that funds were routed through personal and NGO accounts in the name of donations and assistance, and are examining whether the money was later diverted for personal use and acquisition of immovable assets.
During the searches, the ED seized documents related to 17 immovable properties allegedly acquired in the past five to seven years. While the declared purchase value is said to be around ₹3 crore, preliminary estimates place the current market value at over ₹20 crore.
Officials believe these assets may represent “proceeds of crime”, though the final determination will follow a detailed forensic audit of bank transactions, property documents and funding sources.
The investigation also covers two NGOs associated with Shamsul Huda Khan. Agencies are probing whether funds collected in the name of religious and social activities, including madrasa-related work, were diverted towards private asset creation or transferred to family members’ accounts.
The ED is currently analysing seized material to establish the full money trail and quantify the total proceeds of crime. Upon completion of the investigation, the agency is expected to initiate attachment proceedings against identified assets under PMLA provisions. Officials described the case as significant due to the alleged concealment of foreign citizenship while availing government financial benefits and the suspected use of NGO structures to channel substantial funds.
