ED Raids FIITJEE Centres In Delhi-NCR Over Alleged Money Laundering, Investigation Linked To Sudden Closure Of Institutes

New Delhi: On Thursday, the Enforcement Directorate (ED) launched raids at multiple locations across Delhi, Noida, and Gurugram in connection with a money laundering probe involving the well-known coaching institute FIITJEE. These locations reportedly include premises belonging to the promoters of the coaching chain. The ED's actions are part of an ongoing investigation under the Prevention of Money Laundering Act (PMLA).

The raids come after complaints from parents who had filed FIRs with local police, alleging that FIITJEE had suddenly closed its centres in January without providing any prior notice or a refund. Many of these parents had paid large sums in fees but were left without any services or recourse for reimbursement.

What Is the FIITJEE Controversy?

FIITJEE, which provides coaching for engineering aspirants preparing for competitive exams like JEE, has a vast network with 73 centres across the country. The controversy began when several FIITJEE centres, including those in Ghaziabad, Sector 62 in Noida, and Greater Noida, were closed abruptly in January, just ahead of crucial examination periods.

This move left many students stranded and created a public outcry, as many had already paid fees ranging from thousands to lakhs of rupees for the courses. In response, multiple complaints were lodged, and the Economic Offences Wing (EOW) of the Delhi Police took action in February, issuing notices to account holders and owners of the centres, but failed to get a response.

Reports suggest that as many as 300 accounts linked to the fraudulent activities of FIITJEE centres were identified, leading to the freezing of these accounts and the seizure of around ₹60 lakh by the police.

Legal Actions Against FIITJEE

In March, a formal case was filed against FIITJEE by the Delhi Police's Economic Offences Wing for the alleged fraud. The case includes serious charges under the Indian Penal Code (IPC), including criminal breach of trust (Section 406), cheating (Section 420), criminal conspiracy (Section 120-B), and common intention (Section 34). This legal action followed an overwhelming number of complaints, with 192 cases against FIITJEE's east Delhi Laxmi Nagar Centre alone.

FIITJEE, in a public statement, defended itself, claiming that the closure of the centres was not a decision made by the institute itself. Instead, the company attributed the sudden shutdown to the desertion of the centres by managing partners and their entire teams.

Investigation Progress

The ongoing investigation into the financial dealings of FIITJEE and the sudden closure of its centres continues to unfold. With the involvement of the ED and police authorities, the case highlights concerns over student welfare and financial transparency in the education sector.