Allahabad: Following the dismissal of a petition by the Allahabad High Court seeking to halt the Anti-Terrorism Squad (ATS) investigation into alleged foreign funding and unexplained income of madrasas, the probe is expected to gather pace.
BIG BREAKING: Allahabad High Court gives a major green signal to ATS-SIT probe into alleged foreign funding in 4,000+ UP madrasas!
Investigators can now examine bank accounts, documents and financial records as the crackdown on irregularities intensifiespic.twitter.com/KgnL476NdG
— Megh Updates 🚨™ (@MeghUpdates) July 3, 2026
The investigation stems from complaints received by the state government regarding nearly 4,000 recognised and unrecognised madrasas allegedly receiving funds from unidentified and foreign sources. In response, the government constituted a Special Investigation Team (SIT) to examine the matter.
During a meeting chaired by the Inspector General of the ATS on December 17, 2025, officials decided to investigate three key aspects related to the funding of madrasas. Subsequently, on January 9, 2026, Ankit Kumar Agarwal, then Director of the Minority Welfare Department, issued instructions to District Minority Officers (DMOs), informing them that the ATS was conducting an investigation and directing them to verify transactions in the bank accounts of madrasa management committees.
The directive noted that several madrasas were functioning from large buildings despite having no clearly identifiable or stable sources of income. It stated that madrasa operators had not disclosed how the buildings were constructed or the origin of the funds used, making a detailed investigation necessary.
DMOs were also instructed to collect information on possible foreign funding with the assistance of local intelligence units and other relevant agencies and submit detailed reports.
As the probe progressed, ATS units sought information from District Minority Officers, including the number of madrasas in each district, details of students, their mobile numbers, and their permanent addresses.
Challenging the investigation, the Madrasa Management Committee and the Madrasa Teachers Association filed a petition before the Allahabad High Court on February 11, 2026, seeking a stay on the ATS probe and naming ATS officials as respondents.
During the proceedings, the High Court declined to grant an interim stay but issued notices to the state government and the ATS, resulting in a temporary slowdown in the investigation.
On July 1, 2026, a division bench comprising Justice Vivek Saran and Justice Neeraj Tiwari dismissed the petition, clearing the way for the investigation to continue.
In its order, the bench observed that, based on the facts presented, the ATS inquiry could not be regarded as coercive action against the petitioners. Following the ruling, ATS officials said the investigation had never been halted and is now likely to be expedited.
