As regular readers of SFW already know, one of the major problems surrounding Shariah-Compliant Finance concerns the payment of zakat and purification funds to Muslim charities selected by Shariah “scholars”–men like the creepy Yusuf al-Qaradawi and Mohammed Taqi Usmani.
One reason why this opaque system is worrisome is the fact that some of the largest Islamic charities in the United States have been shut down for ties to terrorism financing. This includes the Holy Land Foundation, which was the largest Muslim charity in America at the time it was shut down.
In fact, no fewer than 27 Muslim charities worldwide have been identified by the US Treasury Department as terrorist entities.
If you recall, SFW recently detailed the role that Muslim charities played in funding the terrorist group that pulled off the Mumbai attacks:
Now word is beginning to filter out over in England that two other charities have had their bank accounts shut down by Lloyd’s and Barclays: Interpal and Ummah Welfare Trust (UWT).
Interpal describes itself as “helping Palestinians in need.” Note that on their website as of 6 February, Interpal reports that Lloyds TSB had ordered its Islamic Bank of Britain (IBB) to cease all dealings with Interpal, but IBB continued to operate Interpal’s account in defiance of the order.
This should certainly raise a red flag with regard to Shariah-Compliant Finance. This bears watching.
Ummah Welfare Trust is in a similar situation:
Given how Fleet Street has wholeheartedly embraced Shariah-Compliant Finance, it is highly doubtful that Lloyd’s and Barclays took this action just on a whim. It will be very interesting to see what prompted this action and what further action may come.