عربي
Home


Resolutions of Iftaa' Board


Resolutions of Iftaa' Board

Resolution No.(34): “Ruling on the Investments of the Social Security Fund for Education through Depositing Funds in Usurious Banks or Purchasing Stocks“

Date Added : 28-10-2015

 
Resolution No.(34): "Ruling on the Investments of the Social Security Fund for Education through Depositing Funds in Usurious Banks or Purchasing Stocks"

Date: 28/11/1413 AH corresponding to 20/5/1993 AD.

The Board has received the following question:

What is the ruling of Sharia on the investments of the Social Security Fund for education, where funds are deposited in the Housing Bank against an interest, stocks are purchased from Jordan-Gulf Bank and General Arabia Insurance Company, development bonds are purchased from Jordan`s Central Bank, debenture bonds of Water Authority are purchased from Jordan`s Central Bank, and stocks are purchased in the Arab International Hotels Company?

Answer: All success is due to Allah.

The Board is of the view that purchasing stocks in a usurious institution is forbidden because it involves employing the invested money in forbidden activities, and this applies to purchasing funds in Jordan-Gulf Bank, development bonds issued by the Central Bank, and debenture bonds of the Water Authority from the Central Bank.

As regards depositing funds in a usurious bank against an interest, such an activity is forbidden as well, and this applies to depositing funds in the Housing Bank against an interest.

However, the permissibility of purchasing shares in companies in general depends on the nature of the activity of such companies, so if the activity is lawful, then purchasing the shares is lawful; if not ,then it isn`t. And Allah Knows Best.

 

Chairman of the Iftaa` Board, Chief Justice Dr.Nooh Al-Qodaat

Acting Mufti General, Sheikh Saeid Hijjawi

Mufti General of Jordanian Armed Forces: Mhamood Shwayat

             Dr. Abdassalam Al-Abbadi

Dr. Ahmad Hilayel

   Dr. Yousef Ghizaan

           Dr. Mahmood Al-Sartawi

             Dr. AbdulAziz Al-Khaiyaat

            Dr. Ibrahim Khash-shaan

       Sheikh Ratib Az-zahir

Decision Number [ Previous | Next ]


Summarized Fatawaa

What is the ruling on Zakat al-Fitr?

Zakat al-Fitr is obligatory upon every Muslim for themselves and for those they are financially responsible for, provided they possess wealth that is surplus to their and their family's needs on the night and day of Eid.
Ibn Umar reported: "The Messenger of Allah ﷺ made Zakat al-Fitr obligatory—one sa‘ (measure) of dates or one sa‘ of barley—upon every Muslim, whether slave or free, male or female, young or old." [Narrated by Al-Bukhari]
Its estimated amount is approximately 2,500 grams of wheat or rice, and the General Iftaa` Department issues an annual ruling specifying its monetary value.

What is the ruling of Islamic Law on performing prayer on the upper floors of al-Masjid al-Ḥarām?

All praise is due to Allah, and peace and blessings be upon our master, the Messenger of Allah ﷺ.
Facing the actual structure of the Ka‘bah (‘ayn al-Ka‘bah) is one of the conditions for the validity of the prayer. The scholars have clarified what is meant by "the actual structure of the Ka‘bah."
Imam ash-Sharwānī (raḥimahullāh) said: "What is meant by its ‘ayn (actual structure) is its physical body, or the airspace directly aligned with it — if the person praying is not inside it. But if he is inside it, then the airspace alone does not suffice; rather, the actual physical structure must be faced, such that even if he faces a projecting part of it measuring roughly two-thirds of a dhirā‘ (cubit) or more, this would be sufficient." [Ḥāshiyat ash-Sharwānī ‘alā Tuḥfat al-Muḥtāj, Vol.1/P.484]
Sheikh al-Qulyūbī (raḥimahullāh) said: "Unlike one who prays outside it — i.e., outside the Ka‘bah — for him the airspace (directly above it) suffices, even if he is higher than it, or even if he is at the location where it (hypothetically) has been demolished." [Ḥāshiyat al-Qulyūbī ‘alā Sharḥ al-Minhāj,  Vol.1/P.154]
Accordingly, the prayer is valid on the upper floors of al-Masjid al-Ḥarām, even though these floors are higher than the roof of the Ka‘bah itself. And Allah, the Exalted, knows best.

What are the conditions that must be met for the 'aqīqah to be valid?

All praise is due to Allah, and may peace and blessings be upon our Master, the Messenger of Allah.
The 'aqīqah is like the recommended uḍḥiyyah in terms of the type of animal, its age, and its required characteristics — since it is a recommended slaughter and therefore resembles the uḍḥiyyah in its rulings.
It is agreed upon without any difference of opinion that the 'aqīqah is not valid with any animal other than livestock (al-na'am — camels, cattle, and sheep). Likewise, an animal with a disqualifying defect — such as obvious illness, lameness, or blindness in one eye — does not suffice, as has previously been explained in the rulings of the uḍḥiyyah. And Allah Almighty knows best.

What is the ruling of Islamic Law on obtaining financing from Islamic banks by bringing invoices in prior arrangement with the seller, then taking the cash after the financing is approved — with the purpose of settling debts and buying a car?

All praise is due to Allah, and peace and blessings be upon our master, the Messenger of Allah ﷺ.
It appears from the transaction described that its underlying purpose is to obtain cash through resorting to a legal artifice (ḥīlah/tawarruq-style trick), and it is not permissible to engage in such trickery or to coordinate with the various parties merely to obtain liquidity. This is because such artifices bring the sale closer in reality to a ribā-based (usurious) transaction, even if it outwardly appears otherwise.
The Prophet ﷺ said: "Do not commit what the Jews committed, thereby making lawful what Allah has made unlawful through the flimsiest of tricks." This was related by Ibn Baṭṭah in his book Ibṭāl al-Ḥiyal (p. 47), and many scholars have graded it as ḥasan (sound/acceptable).
We have already explained the impermissibility of engaging in such deceptive dealings with Islamic banks in Fatwa No. 516, so please refer to it. And Allah, the Exalted, knows best.

See More