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Resolutions of Iftaa' Board


Resolutions of Iftaa' Board

Date Added : 02-11-2015

 

Resolution No.(53): "Ruling on Awards Offered by the Islamic Bank in Accordance with a Particular Mechanism“

Date: 8/8/1422 AH corresponding to 24/10/2001 AD

 

The Board recieved the following question:

What is the ruling when the Islamic Bank offers incentive awards to clients, who have investment accounts, in accordance with a particular mechanism (volume of the account, duration, added sums, and stability of the account)? How can we define the relation between the above clients and the Islamic Bank in light of these awards: a contract or an independent initiative on the part of the bank? If it is a contract, is it binding or not?

Answer: All success is due to Allah.

The Board of Iftaa` is of the view that it is permissible for the executive board of the Islamic Bank to distribute cash or in-kind incentive awards on these clients, and to cover their expenses in Hajj (pilgrimage) or Umrah (minor pilgrimage) or the like, if it is entitled to do so, provided that these awards are covered from the bank`s own earnings.

Moreover, it is impermissible for the bank to cover these awards from the total of the investment profits because this entails giving a portion from the share of the owners of these accounts as a sort of contribution, and this is forbidden in Sharia because the Mudarib (bank) isn`t allowed to give from the money of the Mudarabah (co-partnership), except with the permission of the owners (clients who have investment accounts). If they allow that, then it is permissible for the bank to cover these awards from its overall profit. In this case, offering these awards is considered a donation/grant on the part of the bank, and becomes a binding promise if it had made an announcement about that earlier. In addition, it can`t be considered a condition in the Mudarabah contract between the bank and the owners of the investment accounts because some of them may receive awards; whereas, others may not.

In this case, the board of directors enjoys the authority to lay down the legal terms and regulations pertaining to giving these awards (volume of the account, duration, added sums, and withdrawals), and to determine the type of the investment account (savings, deferred etc.) eligible for that, whether to all clients or to some of them.

Moreover, it isn`t permissible for the bank to distribute these awards on the owners of credit accounts (current accounts) for there is a suspicion of Riba (usury) similar to the ruling on loans because every loan that leads to a benefit is unlawful.

Based on the aforementioned, it is obvious that the relation between the Islamic Bank and the investors in light of these awards isn`t contractual, rather, it is an individual initiative undertaken by the free will of the Bank`s Administration. And Allah Knows Best.

Iftaa` Board
Chairman of the Iftaa` Board, Chief Justice, Izz Al-Deen Al-Tamimi
            Dr. Mohammad Abu Yahia
           Dr. Abdulsalam Al-Abbadi
    Dr. Yousef Gheezaan
Dr. Wasif Al-Bakhri
   Sheikh Saeid Hijjawi
        Sheikh Na`eim Mojahid

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Summarized Fatawaa

What is the ruling on smoking?

All Perfect Praise is due to Allah, The Lord of The Worlds

Smoking is forbidden (Haram) since it is harmful to one`s health as confirmed by trustful physicians, and Islam has forbidden taking anything that causes harm. The Prophet (PBUH) said: "There should be neither harm nor reciprocated harm." [Ibn Majah and Ahmad]. And Allah Knows Best.

How are gaps filled during congregational prayer?

A praying person is allowed to take two steps in order to fill the gap in the row ahead. If the distance was long and requires much movement, then it is impermissible for one to move to fill it because much consecutive movement (three movements) during prayer invalidates it.

Is it Permissible to lighten the eyebrows (I.e. Dye them blond)?

All perfect praise be to Allah, the Lord of the worlds. I testify that there is none worthy of worship except Allah and that Muhammad, sallallahu ‘alayhi wa sallam, is His slave and Messenger.
Lightening the eyebrows is applying dye to them, and it is permissible to dye hair with other than black. The proof of this is the Hadith related by Muslim on the authority of Jabir told that when Abu Quhafa (Abu Bakr’s father) was brought on the day of the Conquest of Mecca with his head and beard white like hyssop, the Prophet (PBUH) said: "Change this with something, but avoid black."
However, it isn`t permissible for a Muslim woman to show her ornament (Zeenah) in the presence of non-Mahram men (Men permissible for a woman to marry). And Allah The Almighty Knows Best. 

Does the deceased hear the supplications or recitations of those visiting his/her grave? And does making constant supplications for the deceased who didn`t adhere to performing the prescribed prayers ameliorate his/her affliction?

Praise be to Allah the Lord of the Worlds.

In principle, the dead hear the living since it has been rigorously authenticated that the Prophet (PBUH) ordered the bodies of the idolaters slain in the Battle of Badr to be buried. He then approached them and called them one by one and said: "Have you found what your Lord promised to be true for we have found what our Lord promised us to be true." Umar asked him: "O messenger of God! Why do you speak to lifeless bodies?" The Prophet (PBUH) replied: "By the One Who has sent me with the truth! You do not hear my words better than they do except that they cannot respond." [Agreed upon].

However, not all the deceased are in the same situation because Allah The Almighty Knows: "Before them is a Partition till the Day they are raised up." [Al-Mu`minun/100]. Moreover, supplication reaches the deceased. And Allah Knows Best..

 

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