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1. Ayaat Quran Kareem (2)

2. Ahadees (10)
3. Correction of Intention
4. Commitment
5. Purpose
6. Objectives of Sharia
7. Scope of Islamic Sharia
8. Definition of Sharia
9. Sources of Islamic Sharia
10. Uniqueness of Islamic Culture
11. Five pillars of Islam
12. Islamic Fiqh
13. Islamic Ethics
14. Islamic Economic System
15. Islamic Finance
16. Seerat Mustafa SAW Mufti M. Muneeb Siddiqui
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siddiquimunib@gmail.com

Verily in the messenger of Allah ye have a good 

example for him who looked unto Allah and the
Last Day, and remembered Allah much

There is no compulsion in religion. The right direction is 

henceforth distinct from error. And he who rejected false
deities and believeth in Allah hath grasped a firm handhold
which will never break. Allah is Hearer, Knower 2

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Mufti M. Muneeb Siddiqui

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 Umar ibn Al-Khattab reported: The Messenger of Allah, peace

and blessings be upon him, said:

 Verily, deeds are only with intentions. Verily, every person will
have only what they intended. Whoever emigrated to Allah and
His Messenger, then his emigration is for Allah and His
Messenger. Whoever emigrated to get something in the world
or to marry a woman, then his emigration is for whatever he
emigrated for.
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 A commitment can only be felt when it oversteps

convenience.
 If you just go on your convenience, your commitment falls
apart causing more inconvenience!
 What is convenient does not bring comfort, but gives an
illusion of comfort.

Worship: “to fall down before” or “bow down before”

• Intention
• Action
• Limit

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Protection Protection
of lineage of Deen

Protection
Protection
of
of life
Property

Protection
of mind

AQIDAH

FIQH AKHLAQ
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Concerns all form of faith and belief by

AQIDAH Muslim in Allah the Almighty GOD and
His will.

Concerns behavior, attitude and work

AKHLAQ ethics with which a Muslim performs
his practical action

FIQH An arabic term meaning “deep

understanding” or “fill comprehension”
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Legal Framework of Islamic law adhered to by

Muslims according to Islamic jurisprudence.

The whole teaching of Islam itself consisting of laws

and way of life prescribed by ALLAH.

Is the code of conduct or religious law of Islam.

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Then we put you on the Shariah (straight path) in

your affairs, so follow it and do not follow the desires
of those who have no knowledge.

Shariah literally a “way” or “path” as stated in Quran

verse.

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 Qur'an
 Sunnah / Hadith
 Ijma
 Qyas

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1. Belief in Allah
2. Justice and Balance
3. Brotherhood
4. Consultation
5. No Compulsion in Religion
6. Commending Good
7. Forbidding Evil
8. Not Disputing
9. Limitations
10. Gender Equality

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Mufti M. Muneeb Siddiqui

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siddiquimunib@gmail.com

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Islam has five basic duties which Muslims must perform, which
are called the Five Pillars of Islam.

Shahadah: declaration of faith

Salah: five daily prayers
Zakah: giving charity
Sawm: fasting during the month of Ramadan
Hajj: pilgrimage to Makkah

Every Muslim tries to carry out these five things, by carrying out
these duties it helps the Muslims put their faith into action.

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This Pillar is believing and saying the words:

“There is no GOD but ALLAH, Muhammad is the messenger of

Allah.”

Shahadah is the first duty of a Muslim. A person becomes a

Muslim by reciting and believing in Shahadah.

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 Salah is the five daily prayers which need to be offered at set

times during the day.

 Before offering Salah Muslims need to prepare themselves by

making sure they are clean.

 They do this by carrying out Wudu (ablution), which is washing

themselves.

 All Muslims stand upright on their prayer mats facing Ka’bah in

Saudi Arabia.

 Muslims pray to remember Allah and to be close to Allah.

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 Zakah is an act of worship - Ibadah.

 Zakah is giving money to the poor.

 Zakah is paid once a year by those Muslims who have more

money than they need to spend.

 Zakah is paid to help the poor, the needy and people in trouble
or difficulty. Giving Zakah creates love between rich and poor.

 Paying Zakah encourages Muslims to be honest of their

earnings and keeps them clear of selfishness.

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 Sawm means fasting during the month of Ramadan every year.

 Ramadan is the ninth month of the Islamic calendar.

 Fasting is not eating and drinking during the day while the sun
shines.

 Muslims fast to gain Allah’s favour and to keep themselves away

from greed and selfishness.

 At the end of Ramadan Muslims all around the world celebrate the
festival of Eid-ul-Fitr, a day of joy and thanksgiving to Allah.

 On this day Muslims offer special prayers and thank Allah for His
blessings and mercy.
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 Hajj is a visit to the Ka’bah, the house of Allah in Makkah by

those Muslims who can afford the trip and are physically fit.

 Hajj is performed during the twelfth month of the Islamic

calendar.

 The Muslim community from all over the world go there every
year. A Muslim tries to make the pilgrimage at least once in
their life time.

 During Hajj Muslims celebrate the festival Eid-ul-Adha.

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1. The work has to be allowed in Islam.

2. The work has to be accompanied by a good intention.

3. The work has to be performed with excellence.

4. The work has to be within the limits of Allah. So, there must
be no room for injustice, disobedience of Allah or mistrust.

5. The work must not keep someone away from his deen
obligations like prayer, Fasting,
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Mufti M. Muneeb Siddiqui

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siddiquimunib@gmail.com

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 Islam is a religion that teaches its followers have high moral

standards means that ultimately brings happiness in this world
and the hereafter. to provide guidance for all human action or
practice is in accordance with the will of ALLAH.

 The word “Fiqh” is an Arabic term meaning “deep

understanding” or “ full comprehension”. Fiqh or Islamic
jurisprudence is the source of a range of laws in different
topics that govern the lives of the Muslims in all aspects of
everyday life

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Fiqh – Islamic Jurisprudence

 Qadi – state appointed judge
 Mufti – ‘private’ Islamic Scholar
Dispensing legal opinions – Ifta
 Mufti, Mustafti
 Fatwa
An answer to a real or hypothetical inquiry which reflects a legal conviction
of an individual scholar, based mainly on older rulings and/or his own
interpretation of the religious texts. As such it is not legally binding, but the
individual petitioner is advised to follow it. The persuasive power of the
respective fatwa is thus based mainly on the authority of the scholar (mufti)
who issued it.

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Islamic Law is to a great extent private-made normative system. Faqih, fuqaha

(pl.)

 Shia/Jafaria (Iran, Iraq, East Africa)

 Hanafi (Turkey, the Balkans, Central Asia, Indian subcontinent, Egypt, China)

 Maliki (North Africa, West Africa and several of the Arab Gulf states)

 Shafi'i (Indonesia and Malaysia)

 Hanbali (Arabia)

80-148 , 80-150 , 93-179 , 150-204 , 164-241 ,

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The six books of hadith compiled by great imams are usually consulted to
formulate laws in Islam. They are:

1. Sahih bukhari compiled by, imam muhammad ibn ismailismail-al-bukhari

(194—256)

2. Sahih muslim compiled by, imam muslim ibn hajjaj (202— 261)

3. Al jami compiled by , al-tirmizi (210—279)

4. Kitab al sunnan compiled by, al-nasai (215—303)

5. Al sunan compiled by, abu dawud (205—275)

6. Kitab al sunnan compiled by, ibn majah (209 - 273)

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Legal classification of Human Behavior

 fard, wajib – duties
 sunna, mustahabb, mandub – recommended
 mubah – indifferent
 makruh – disliked, offensive
 haram – forbidden

Classification of Legal Acts

 sahih, nafidh - valid
 makruh – formally valid but ‘unfair’ or wrong
 fasid – formally void, could be corrected
 batil – null and void
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Category Arabic Do it Not do it

Obligatory Fard
Wajeb Reward Punishment
(Prescribed)
Recommended Mustahab
Mandub Reward No Punishment
(Desirable)
Permitted Mubah
Halal No Reward No Punishment
(Allowed)
Discouraged Makruh
No Punishment Reward
(Disliked)
Forbidden Haraam
Punishment No Reward
(Prohibited)
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Mufti M. Muneeb Siddiqui

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siddiquimunib@gmail.com

 “Ethics may be defined as the set of moral principles that

distinguish what is right from what is wrong.”

 The honesty and manner of dealing among people .

 Respect the rights of others, and perform your own duties.
 Behavior is guided by the knowledge which a person
possesses.
 Focus on ethics is an essential element in organization
development.

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 Essentially includes:  Essentially excludes:

 Integrity  Evil intentions

 Honesty  Lies
 Fairplay  Injustice
 Respect  Violation
 Giving full measure  Objectionable practices
 Deliver ‘amanat’  Bribery
 Commitment(eefa-e-ahed)  deception

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Mufti M. Muneeb Siddiqui

34
siddiquimunib@gmail.com

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 Islamic Economics is a social science which studies the

economic problems of people imbued with the values of Islam.
 It is the study of social science which enables people to
perform their obligation to Allah and to their society
 It studies man not only as an isolated individual but of a social
individual having;
1. faith,
2. ethics (believing in the six articles, his deeds is accountable
to Allah as it is guided by Shari’ah.
3. he is also required to propagate good doing and prohibit bad
doing al-Amr bil Maruf wa al-Nahy anil Munkar in the society
(watch his business ethics)

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 Scarcity of Resources
 Unlimited Wants &
 Choice
 Allah (swt) Has created resources in abundant.
 However recourses in the eyes of mans is scarce/limited due
why?
 due to lack of means to reach this resources (which is the
results of man’s choice such as lack of knowledge, skills, etc.)
 Islam recognizes that human desires are unlimited. This is
explained in the Quran and in the Hadith.
ُ‫سبُ أ َ َّن َمالَهُ أَ ْخلَ َده‬
َ ْ‫يَح‬
Thinking that his wealth would make him last for ever!(104:3)
 Choice in Islam should be ranking according to need fulfillment
and not to greediness
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Yes/No

When a man dies he will be asked on four:

1- His youth how he spend it?
2- His age how he spend it?
3. His wealth how he acquires it? &
4. How he spends it?

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 When we speak of Islamic Finance or Islamic economic

principles, it is generally assumed that these principles are
emphasized by Muslim scholars only to satisfy the religious
requirement of Muslims, or that they are meant only for
Muslims to the exclusion of all others.
 This is an incorrect assumption!!!
 Although Islam is basically represented by a set of beliefs, the
benefits of its social, political and economic principles are not
restricted to Muslims; they are meant for the common good of
humanity at large.

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ECONOMIC
ACTIVITIES

CHARITABLE
COMMERCIAL
(NON PROFIT)

-TRADE - LOAN (QARD)

- BANKING - ZAKAT
-FINANCE -WAQAF
- INVESTMENT - SADAQAH

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 Demarcation between devotional acts (ibadat) and

commercial matters (mua’malat)
 Initial Legal Ruling in Commercial Contract is permissibility
 Open a very wide door for innovations
 Every contract is considered lawful and acceptable if no
principles of Shari’ah has been contravened

Islamic commercial contracts are free from:

 Riba’ (interest/usury)
 Gharar (excessive ambiguities);
 Maysir (gambling);
 Transactions involving prohibited assets/commodities
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 Literally : ambiguity/uncertainty
 It refers to the sale of probable item whose existence or
characteristics are not certain.
 The examples of Gharar as follows:
 Selling goods that the seller is unable to deliver
 Selling goods without proper description, such as shop
owner selling clothes with unspecified sizes
 Selling goods without specifying the price
 Selling goods on the basis of false description
 Selling goods without allowing the buyer properly examine
the goods
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 A fee paid for the use of another party's money

 Any benefit without due Consideration

 Increment charged on loans

 loan given for a stipulated period against increase on the

principal payable by the Loanee

 Every loan that derives a benefit (to the creditor)

 Every additional amount on loan/Qarz and Dayn which

emerges as an contractual obligation

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Legal Alternative to
Moral Riba and
Prohibition Riba
Denunciation Jews
Aale-Imran Al-Baqarah
Al-Rum 39 Al-Nisa 161
130 275

increases not Prepared a Take not Trade is like

with GOD; but grievous doubled and interest; while
that which you punishment redoubled GOD has
give in charity interest permitted trade

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Riba Al Hadith Riba Al Quran

Riba al buyoo Riba al Qard / Riba al duyoon
Riba al Jahiliyah
Riba al khafi Riba al Jalee
Trade Riba Debt Riba

Riba al Fadl Riba al

Nasiyah

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 Any activities which involve betting whereby the winner will

take the bets and the loser will loss his bet.
 The examples of gambling activities are play card (daun terup),
mahjong, lottery, lotto, etc.
 In the case where the participants may try their luck but not
losing anything if not selected as winners, it is allowable. For
instance, Petronas Super Car Craze Contest, where the winners
get the car and others still enjoy their car fuel.

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 Apart from Riba, Gharar and Maysir, Islam prohibits us from

producing, financing, selling, purchasing and dealt with the following
goods and business activities:
 Entertainment (Disco/ night club/ casino/ Prostitution service, etc);
 Pornography such as video tape, magazine, book;
 Weapons (for destructive purposes);
 Alcohol;
 Drug;
 Pork-related production and non-halal foods;
 Tobacco;
 Stock broking or share trading in Shariah non-compliant securities;
 Conventional financial services (banking, insurance, etc); and
 Other activities deemed non permissible according to Shariah
principles
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 Form wise: • Subject matter wise:

 Instant • Salam
 Future • Istisna
 Contingent
 option

• Price wise:
• Musawamah
• Murabaha
• Tawliya
• Wadhia
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Contract

Contractors Wording of
Subject mater
Contract

•Non-restricted
•Sane
•Specified •Present
•matre •unconditional
•quantified
•Non-contingent

consideration

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Contract

Contractors Wording of
Subject mater
Contract

•Non-restricted
•Specified •Sane •Present
•matre •unconditional
•quantified
•Non-contingent

consideration

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There are few common Shariah contracts applied to various

Islamic capital market instruments which are as follows:
1. Mudarabah (profit sharing);
2. Musharakah (profit-loss sharing) + Musharakah
Mutanaqisah (diminishing partnership);
3. Murabahah (cost-plus/markup);
4. Ijarah (Leasing);
5. Salam
6. Istisna’ (Construction contract)
7. Tawarruq/ Commodity Murabahah (Monetization);

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TYPES OF
CONTRACTS

SALE-BASED PARTNERSHIP-BASED LEASE-BASED

 Murabahah (cost-plus)*  Ijarah (leasing) *

 Mudarabah (profit sharing)*
 Istisna (construction)*  Ijarah Thumma Bay
 Musharakah (profit, loss (leasing followed by
 Salam (deferred delivery) sharing)* sale/HP) *
 Tawarruq (Monetization)*
 Urbun (earnest money)
 Inah (purchase and sale
back)*
 Sarf (currency exchange) * OTHERS

 Qard (interest free loan)

FEE-BASED
 Kafalah (guarantee)
 Hibah (gift)
 Wadiah (safekeeping)
 Ibra ‘(rebate)
 Wakalah (agency)*
 Muqasah (set-off)
 Rahnu (pawn broking)
* Widely applied contracts in commercial transactions 51

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‫‪Book Pg. 160-194‬‬

‫‪ .1‬اطمہعلریستیکاتیمہورضورت‬
‫‪ .2‬رجہتدمہنیےکارثاتواتنجئ‬
‫‪ .3‬اثیمقدمہنی‬
‫‪ .4‬ومااخت‬
‫‪ .5‬حلصدحہیبی‬
‫‪ .6‬ہبطخۃجحاولداع‬
‫‪ .7‬زتہیکسفن‬
‫‪ .8‬رشعہرشبمہ‬
‫‪ .9‬ازواجایبنلﷺ‬
‫‪ .10‬اوالدایبنلﷺ‬
‫‪ .11‬اامتجتیعولیکشتاعمرشتاور اوسہ ہنسح‬

‫‪Mufti M. Muneeb Siddiqui‬‬

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‫‪siddiquimunib@gmail.com‬‬

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