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Islamic Ruling on Using Public Funds for Personal Purposes
Author : Dr Noah Ali Salman
Date Added : 23-01-2024

Islamic Ruling on Using Public Funds for Personal Purposes

 

Public funds are owned by all citizens and are spent on their interests as determined by the governing authority. In Islamic jurisprudence, public funds are often referred to as "Bait al-Mal al-Muslimin" (the treasury of the Muslims), and they have specific revenues and designated areas of expenditure. Taking from public funds without a rightful claim is one of the gravest prohibitions, as it constitutes a form of misappropriation. Allah the Almighty has emphasized this in the Quran, stating {What means}: "No prophet could (ever) be false to his trust. If any person is so false, He shall, on the Day of Judgment, restore what he misappropriated; then shall every soul receive its due,- whatever it earned,- and none shall be dealt with unjustly. "(Al-Imran, 161). The Prophet Mohammad (peace be upon him) also made it clear by saying, "By God, any one of you will not take anything from (the public funds) without any justification, but will meet his Lord carrying it on himself on the Day of Judgment.  "(Transmitted by Bukhari & Muslim).

 

This is evident in those who take in kind from the state wealth, and it also includes those who use state tools and properties for personal purposes, such as someone who uses official vehicles in ways not authorized by the governing authority. However, expenditure from public funds must be in accordance with the permissions granted by the governing authority.

 

 The Messenger of Allah (PBUH) said: "Some men acquire Allah’s Property (such as the funds of the Muslim state treasury, Zakah etc.) and they will go to Hell on the Day of Resurrection."

 

If we pay attention to the fact that the state treasury is composed of the total fees collected from the citizens for expenditure on public welfare, and what some countries allocate to the state treasury, meaning to the entire citizenry, we realize that whoever takes from public funds is taking from the wealth of all citizens. This is worse than someone who takes from the funds of a specific individual because if one wants to repent, they can seek forgiveness from that individual or return what they took. However, when taking from public funds, how can one seek forgiveness from all citizens?!

 

For this reason, it is necessary to avoid any potential harm and be cautious of any suspicion in such matter.

 

It doesn`t befit a Muslim to use the excuse that this evil act is being committed by others. This because hospitals have thousands of patients but no one wishes to be ill. In fact, the integrity of one's faith is more important than the well-being of the body, and the allure of ill-gotten wealth can only be deterred by the remembrance of standing before Allah on the Day of Resurrection. Therefore, Allah has forbidden usury and warned against it. He concludes the verses on usury by saying, " And fear the Day when ye shall be brought back to God. Then shall every soul be paid what it earned, and none shall be dealt with unjustly. " (Al-Baqarah, 281).

 

It is also prohibited to manipulate and tamper with scales and measures. Then, Allah emphasizes the significance of standing before Him, stating, "Do they not think that they will be called to account?- On a Mighty Day, A Day when (all) mankind will stand before the Lord of the Worlds? " (Al-Mutaffifin, 4-6).

 

It has been truthfully said: "Today is a day of action without accountability, and tomorrow is a day of accountability without action." How often have we seen in this world those who persist in engaging in what is forbidden, only to face negative consequences in this life, let alone the punishment of Allah in the Hereafter.

 

 

 

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Summarized Fatawaa

Is it permissible for one to give the Zakah (obligatory charity) to his indebted brother?

It is permissible for one to give the Zakah to his brother if he was indebted, or poor.

A man wishes to offer more than one uḍḥiyah (sacrificial offering), and intends by these sacrifices "on behalf of everyone whom Allah and His Messenger love." Is this intention valid?

All praise is due to Allah, and peace and blessings be upon our master, the Messenger of Allah ﷺ.
The uḍḥiyah (sacrificial offering) is not valid with this intention, because if the sacrificial animal is from sheep or goats, it suffices for one person only; and if it is from cattle or camels, it suffices for seven persons.
However, one may sacrifice it on his own behalf, and then gift the equivalent of its reward to whomever he wishes.
Imam ar-Ramlī (raḥimahullāh) says: "Ash-Shāfi‘ī (raḍiyallāhu ‘anh) said: It is within the vastness of Allah's bounty, the Exalted, that He rewards the one giving charity as well. From this, the scholars of the madhhab said: it is recommended for a person to intend the charity on behalf of his parents, for example — for Allah, the Exalted, will reward them, without this diminishing his own reward in any way." He then relates, as the relied-upon position, the permissibility of saying: "O Allah, convey the reward of what I have recited specifically to so-and-so, and to the Muslims generally." Az-Zarkashī said: "For reward varies in degree — its highest form is what one designates specifically, and its lowest form is what one dedicates generally [alongside others]." [End of quote from Nihāyat al-Muḥtāj]. And Allah, the Exalted, 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.

A woman became pure [from menstruation] before Fajr, but did not perform ghusl until after sunrise — what is the ruling on her fast?

All praise is due to Allah, and peace and blessings be upon our master, the Messenger of Allah ﷺ.
Her fast is valid, since ghusl (ritual bathing) is not a condition for the validity of the fast, but rather for the validity of the prayer. However, she is sinful for delaying the Fajr prayer beyond its designated time without a valid excuse.
It is known that the time for Fajr prayer ends at sunrise. Nevertheless, she must still perform ghusl, and make up the Fajr prayer. And Allah, the Exalted, knows best.

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