AskImamDarul Iftaa Mahmudiyyah (AskImam)
If a company has gone into liquidation but the shareholders promise to repay all creditors over time, will the shareholders still have to repay the interest they owe to banks?
Question
The question text was not published separately; the title stands in for it.
If a company has gone into liquidation but the shareholders promise to repay all creditors over time, will the shareholders still have to repay the interest they owe to banks?
Answer
In principle, it is not permissible to pay or earn interest.
If the interest owed is defaced due to liquidation, it simply facilitates to comply with the Islamic provision of not paying interest.
And Allah Taãla Knows Best.
Was salaam
Mufti Ebrahim Desai
FATWA DEPT.
- Answered by
- Mufti Ebrahim Desai
Fatawa SA is an independent, read-only index of fatawa already published by Darul Iftaa Mahmudiyyah (AskImam). It is not a fatwa service. For your own situation, ask the issuing Darul Ifta directly.