Regular readers of SFW know that one of the chief concerns that never seems to get addressed by the financial media or Western promoters of Shariah-Compliant Finance is the issue of money finding its way into the hands of Jihadist terrorist organizations, such as Al Qaeda, HAMAS, Lashkar-e-Taiba and others.
Shariah-Compliant financial institutions must donate 2.5% of their assets to zakat, a form of tithing in Islam. There are eight approved destinations of zakat; the seventh is “those fighting for allah,” –in effect, Jihad.
In addition to zakat, there is also the system of “purification” in Shariah-Compliant Finance. If any of the earnings of a Shariah-Compliant concern are found to have actually come from activities or sources that are “haram,” or unislamic, those earnings must be “purified” through donations to approved Islamic charities, selected by the Shariah advisors.
There is a whole minefield of problems associated with all of this.
• At least some of the Shariah scholars, such as the two most prominent, Sheikh Yusuf al-Qaradawi and Mufti Taqi Usmani, have longstanding ties to Jihadist organizations.
• As we have documented repeatedly on SFW, numerous Islamic charities have been found to fund Jihadist terrorist organizations.
• Finally, when it comes to zakat itself, there is considerable evidence from a variety of sources that zakat funds not only have gone to terrorist organizations, but have done so through governments, especially the government of the Kingdom of Saudi Arabia.
The latest source for this evidence is the IntelliBrief blog, which provides a detailed analysis of Saudi Arabia’s activity along these lines…