A former student at Mohammed Emwazi's London university has told Sky News it allowed a toxic environment of radical Islam, where holy war was glorified behind closed doors.
The University of Westminster has insisted it condemns the promotion of radicalisation and is trying to stop it, after Emwazi was unmasked as the Islamic State militant "Jihadi John".
The unnamed ex-student said groups active at the university "created a hostile environment towards non-Muslims, were anti-Israeli and homophobic remarks were rampant at the campus".
He added: "If this toxic environment endured after I left I am not surprised a 'normal' young Muslim struggling to find identity became radicalised."
The former student added the university was "excellent" but "their tolerance was abused by people who played a double game".
The University said in a statement: "We condemn the promotion of radicalisation, terrorism and violence or threats against any member of our community.
"We have strict policies to promote tolerance among our 20,000 student community, who come to study from over 150 nations.
"Any student found to be engaging in radicalised activity or intimidating others would be subject to disciplinary procedures."
Emwazi, 26, studied at the university between 2006 and 2009, earning a computer programming degree.
Earlier, an ex-school pupil of Emwazi said he seemed peculiar and violent as a youngster.
The man, who does not want to be named, also told Sky News that Emwazi "got into some fights" and smoked, but there was nothing in his secondary school that could have left him radicalised.
However, he said there was potential for him to be groomed because he kept himself to himself and did not make eye contact.
There has been widespread shock at Quintin Kynaston Academy following Emwazi's apparent involvement in a series of IS videos which show the gruesome beheadings of Western hostages.
The school said in a statement it was "shocked and sickened" that one of their alumni had become involved in terrorism.
MI5 has reportedly questioned Emwazi's former teachers following on from his identification.
The former pupil said there was nothing to suggest Emwazi was religious during his teenage years.
"There was something peculiar about him in that he was violent but he wasn't someone who was loud, who talked in a provocative way," the ex-schoolmate said.
He believes the IS militant's education beyond secondary school may be responsible for his transformation into a cold-blooded killer.
In the same year Emwazi graduated, he was reportedly questioned by an MI5 officer in Amsterdam and was accused of attempting to travel to Somalia to join a terror group.
A former reviewer of UK terrorism legislation has suggested Emwazi might have been prevented from joining IS had restrictions on suspects not been relaxed.
Lib Dem peer Lord Carlile told Sky News: "Had control orders been in place, in my review there is a realistic prospect that Mohammed Emwazi and at least two of his associates would have been the subject of control orders with a compulsory relocation."
Former shadow home secretary David Davis said the revelation that Emwazi had been on the authorities' radar showed the approach of MI5 was "ineffective".
But current Home Secretary Theresa May rallied to the defence of the security and intelligence services, calling them "true heroes".
The Home Office said: "Control orders were not working and were being struck down by the courts.
"TPIMs (Terrorism Prevention and Investigation Measures) have been endorsed by the courts, counter-terrorism reviewers, the police, and the Security Service."