Islamists flee Sweden over illicit business dealings: Investigative report reveals

CAIRO- 22 November 2025: Over a billion kronor in public funds has been funneled into schools and preschools connected to an Islamist network bound by family ties, illicit business dealings, and welfare fraud, according to an investigative report by Swedish newspaper Expressen. The report reveals that central figures in the network are leaving the country one by one, often with tens of millions in unpaid taxes.

Police raided an apartment in Gävle last November in search of Rabie Karam, a leading figure in a nationwide network of independent schools linked to violent extremism and radical Islamist recruitment. Authorities have since shut down several schools, either following directives from the Swedish Security Police or as part of investigations into financial crimes.

A senior prosecutor in Gothenburg described the welfare fraud as a “double loss”: taxpayers lose the services they paid for, while perpetrators enrich themselves and flee. While earlier media reports treated each school closure as an isolated case, Expressen’s investigation shows that the closures are connected to one - or actually two cooperating- networks that, under religious pretenses, engaged in multi-million-kronor welfare fraud.

Among the schools involved are Vetenskapsskolan in Gothenburg, where an ISIS returnee was employed and the owner transferred millions to Malta before disappearing; Nya Kastets school in Gävle, closed after security warnings about violent Islamist ties and later financial crime convictions; and the Bilaal preschool group in northern Sweden, where millions went missing and a former treasurer was convicted of serious accounting offenses.

Across these cases, taxpayer funds meant for children’s education were diverted through front companies to support Islamist organizations, political groups, and private spending. Members of the network also attempted to profit from publicly funded services such as personal assistance companies and housing for unaccompanied refugee children, a sector especially vulnerable to organized welfare crime.

Flight and Financial Mismanagement

Rabie Karam, co-founder of Vetenskapsskolan and Nya Kastets school, is wanted for failing to serve a prison sentence for financial crimes. He denies the existence of the network and the convictions, claiming authorities should focus on “real criminals.” Police confirmed that Karam left Sweden for Egypt, which he verified in messages, joining several other members of the network who have recently fled the country, many with large tax debts. Karam alone owes over five million kronor.

Gothenburg Imam Abdel Nasser El Nadi transferred 4.2 million kronor of school funds to an investment account in Malta, which he controlled with a Saudi woman, claiming the money was intended for a hotel in Saudi Arabia. Gävle-based Imam Abo Raad, an Iraqi citizen, has also left the country; his current whereabouts remain unclear. In 2022, Expressentracked El Nadi to Egypt, following his departure from Sweden with five million kronor in tax debts.

Another key figure, described as the mastermind behind several schemes, has also fled. Swedish Security Police consider him highly influential in the violent Islamist environment.

The Role of Mohammad al-Kotrani

Mohammad al-Kotrani, son-in-law of Abo Raad, links multiple preschools, schools, and welfare-related companies, many of which have faced bankruptcy or financial crime investigations. Authorities and researchers describe him as an “enabler,” managing financial and operational aspects rather than being ideologically motivated. Early on, large sums of money quickly circulated through the network.

Al-Kotrani, employed as an accountant and adviser at both Lär och Lek AB and Vetenskapsskolan, was convicted of economic fraud in 2024 alongside Rabie Karam for manipulating school finances. Despite a three-year business ban, he continued operating multiple companies in Gothenburg, sometimes collaborating with other network members, including a former ISIS returnee.

He is currently under preliminary investigation for allegedly using a forged identity to sit on company boards despite the ban. Al-Kotrani owes 2.1 million kronor in taxes and may be in Egypt or Turkey.

Other Convictions

Eva Freih and her husband Wasim El-Jomaa ran the preschool Lär och Lek AB and were convicted of accounting crimes after diverting public funds to the extremist-linked organization Sveriges förenade muslimer. Wasim was sentenced to prison and banned from business activities.

Expressen attempted to reach several key figures in the network—including al-Kotrani, El Nadi, Abu Raad, Eva Freih, Wasim El-Jomaa, and others—but received no responses.