1. Is short sales of stocks is Halaal. 2. Is it permissible to goto a person's house and eat when one knows that the income is partially haram. 3. Is it allowed to do iftaar in the masjid.

Question

1. Is it allowed to buy the shares when the values are low and then sell them in 2-3 weeks when they go up by 10-15% in order to make money? 2. I know a lot of people having businesses where they sell one or two items which are haram eg. selling alcohol/lottery in gas stations. Is it allowed to go to their homes and partake food when they invite us. 3. A lot of people bring things to masajids here for iftaar. We know that some of them have businesses which are haram. Is it allowed to go and eat in the masjid. The management of the masjid is not controlling it as everyone claims their income is halal with fatwa's from some one.

Mufti Ebrahim Desai · Accepted Answer

1. It is permissible to purchase shares in a stock market when the value is low and sell them with a profit. Kindly refer below.
2. In principle, if a persons major source of income is Halaal, it is permissible to accept his/her invitation. However, the host should be advised with Hikmah (wisdom) to refrain from any Haraam source of income. 3. There are two aspects to your query; a) Making Iftaar in the Musjid, b) Foods provided by people having Haraam source of income.
It is permissible for a Mu'takif to make Iftaar in the Musjid proper. That is not so for a person not making I'tikaaf. An area out of the Musjid proper, commonly known as the 'Sahn' area may be utilised to make Iftaar for people not making Iftaar. As regards eating food provided by people, Shari' ah has emphasised on eating only Halaal and strictly prohibits Haraam. In a doubtful situation, the food will be regarded as Haraam. (Hidaaya vol.4). The terminologies, Halaal and Haraam, are general. It refers to the source of consumption as well as the means of income.
In view of the above, ideally a person should make Iftaar with his own foods. If the management decide to feed people and arrange Iftaar through contributions, they may do so but ensure that the contributor's major source of income if not Haraam as it is not permissible to partake of the meals from such an income. The management should put a mechanism in place to achieve that. If they are unable to do that, they should not make an arrangement to feed fasting people during Iftaar.

and Allah Ta'ala Knows Best

Mufti Ebrahim Desai
FATWA DEPT.

A Muslim can acquire the shares of a joint stock company with the following conditions:
1. The main business of the company must be Halaal (permissible) according to Shariáh. So, a Muslim cannot invest in a company whose main business is Haraam, like the traditional banks, insurance companies, companies dealing in wines, etc.
2. If the main business is Halaal, but it is involved in borrowing money on Interest or placing its funds in an Interest bearing account a Muslim share-holder should raise his voice against this practice in the annual general meeting of the company.
3. When a Muslim share-holder receives a dividend he must ascertain that proportion of the profit of the company which has accrued on its interest-bearing accounts. Then a similar proportion from his own dividend must be given by him to a person or persons entitled to receive Zakaat. 4. If all the assets of a company are in a liquid form and the company has not yet acquired any fixed assets or any stock for trade, then the sale and purchase of shares must be on their par value only.
If anyone of these conditions is contravened, the investment in a company is not permissible in the Shari'ah.

NB. The above ruling has been issued by Justice Mufti Muhammad Taqi Usmani of the Shariat Appellate Bench - Supreme Court of Pakistan. He is also the Deputy Chairman of the Islamic Fiqh Academy - Jeddah.

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