Mezan Bank raises objection on earning profit on Hajis' money

Asks Religious Affairs Ministry to seek guidance on the issue from CII

By: News Desk      Published: 06:02 PM, 31 Jan, 2020
pilgrims standing in Que

The Meezan Bank has raised a serious objection on the use of fine money collected from pilgrims on account of late payment for earning interest.

The bank even termed parking of such funds as fixed deposit for earning interest against the dictates of Shariah.

In a letter addressed to the Ministry of Religious Affairs, the bank suggested that the money so collected should be spent on the welfare of pilgrims instead.

It emphasized that judicious use of amounts received from pilgrims is a sacred responsibility, which must be fulfilled in a transparent manner.

The bank further suggested that the ministry should constitute a Sharia Advisory Board or seek opinion from the Council of Islamic Ideology (CII) to bring all such transactions strictly in line with the Islamic teachings.

According to sources, the Religious Affairs ministry had accrued Rs210 million interest on the fine money collected from pilgrims during 2018 haj season.

The practice of the ministry of earning interest on the funds collected from pilgrims has been coming under criticism for long, but this is probably the first time a bank has raised a formal objection.

This story is based on the report filed by Gohar Mehsood