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2 A person can earn money by two means; one is
agriculture and the other is business. If business is not done
according to the ethics then there will always be inflation and
shortage of goods. As it can be seen in the case of many
commodities like wheat, sugar etc. It is due to the stocking in,
speculation and the selfishness of some businessmen. The
government has also become a trader itself, while the shariah
has stopped the Islamic government from trading.
2As it can be seen that business is an important part of life, the
Prophet Muhammad (P.B.U.H) said, "People get 9/10 of their
daily bread by trade." Islam explains the concept of righteous
trade by telling business ethics.
2 Allah says in the Quran, "they say that buying is
also like interest but Allah has declared buying as
permissible and interest as forbidden." And
"When you buy or sell then make someone a
witness of it."
2 The Holy Prophet Muhammad (P.B.U.H)
encouraged the trust worthy traders by these
words, "A trustworthy and truthful merchant
shall be with the prophets and the truthful and
the martyrs and the righteous µ.
x 

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2 Prophet Muhammad was chosen by God to be His last
prophet and messenger at the age of 40. Before that he
was very much involved in business. He and his wife
Khadija were both merchants. It is reported that he
traveled to Syria, Yemen, Bahrain, and many other
places in Arabia for trade. Some historians have also
suggested that he probably traveled to Iraq and
Ethiopia. From his early age, he was involved in
commerce. He had a good reputation as a hardworking,
honest, truthful, and very successful businessman.
·    
2 The Holy Qur'an and Prophet Mohammad (PBUH) have
made it clear that a Muslim must be honest and upright in
his business and monetary dealing. Also the true Muslim
should keep his word and fulfill his promises, shun fraud
and avoid deceit and perfidy, encroach not upon the rights
of others, nor take part in wrongful litigation.
2 The Qur'an is rich with verses that confirm all this. Allah
says in the Quran, "Eat not up each other's property by
unfair and dishonest means.³
2 Allah urges Muslims to be very particular about their trusts
and about other people's rights. "Allah does command you
to render back your trust, to those to whom they are due."
       
1. No fraud or deceit
2. Sellers must avoid making too many oaths when selling
merchandise.
3. Mutual consent is necessary
4. Be strict in regard to weights and measures
5. The Prophet (P.B.U.H) forbade monopolies
6. Hoarding merchandise in order to increase the prices is
forbidden.
7. Transaction of forbidden (Haram
(Haram)) items, such as
intoxicants, is forbidden
Fraud and dishonesty in business

2 Prophet Muhammad (P.B.U.H) has stressed the


importance of honesty in most of his sermons, saying,
"Remember, there is no faith in him who is not
trustworthy; there is no place for him in religion who cares
not for his pledged word or promise.
2 He (PBUH) also said, "The signs of a hypocrite are three,
when he speaks, he is false, when he promises, he fails;
and when he is trusted, he plays false.³
2 who cheat in business Prophet Mohammad (PBUH)
has said, "He who cheats is not of us. Deceitfulness
and fraud are things that lead one to Hell."
2 Prophet Muhammad (P.B.U.H) said, "The seller must
explain to the buyer the defects, if any, in the quality of the
article offered for sale. Should this not be done, the seller
will permanently be caught in the Wrath of Allah.³
2 In short, all manner of deceit and dishonesty in business is
prohibited in Islam. The Holy Prophet has expressed his
strong dislike for those who do so.
2 Once Prophet Muhammad (P.B.U.H) came upon a heap of
corn in the market of Madinah and thrust his hand onto it.
His fingers felt damp. On being asked, the trader replied
that rain had fallen upon it. The Prophet (P.B.U.H)
observed, "Why did you not then keep (the wet portion of)
it above the dry corn, so that men may see it? He, who
deceives, is not one of us."
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2 Bribery and usury, although might be practiced by mutual


consent and agreement, are totally prohibited and forbidden.
2 Prophet Muhammad (P.B.U.H) said, "The curse of Allah
rests on him who offers loan on usurious terms, and on him
who receives, and on those who are witnesses to the
transaction, and on the writer who writes the deed thereof."
2 "Remember, he who will obtain the property of another by
swearing a false oath will appear as a leper before Allah (on
the Day of Judgment).³
2 "Whoever laid a claim on a thing that was not his is not
of us.´
r  
2 The traders often take recourse to swearing to emphasize
that their items are of good quality. They claim qualities in
the merchandise, which don¶t exist. They try to persuade the
buyers to purchase their commodity by invoking Allah¶s
name. Swearing in business for such purposes is forbidden
in Islam, be it false or true.
2 The Prophet (P.B.U.H) is reported to have said: Swearing
[by the seller] may persuade the customer to purchase the
goods but the deal will be deprived of Allah¶s blessing.
(| ,
, No: 1945)
  

2 Another form of deceit is to manipulate weights and


measures. It refers to the act of taking full measures from
others and giving them short measures in your turn.
2 The community of the Prophet r  (sws sws)) was known
for practising it with impunity. Consequently, they were
destroyed for their persistence in deceit and disbelief in
Allah and His Messenger. Allah the Almighty has
repeatedly commanded exactitude in weights and measures.
 M   And give full measure when
you measure, and weigh with a just balance. That is
good and better in the end. (17:35)
 r 
2 Almighty Allah has declared thievery unlawful and warned
of severe punishment such as cutting the hand of the thief
from the wrist joint if the necessary legal conditions for the
award of punishment are met. Even if the thief escapes
worldly punishment and gets away with stolen goods, it is
not permissible for a Muslim to knowingly purchase or sell
these items. The stolen items are neither to be bought nor
sold by those who know the reality. The Prophet (sws
(sws))
made the person knowingly buying a stolen commodity a
partner to the crime. He said:
The one who knowingly purchases a stolen good, is a partner
to the act of sin and the shame. (Kanz
(Kanz Al-
Al-µAmmal
Ammal,, No:
9258))
9258
†
In modern times business ethics has become a major topic of
discussion among business communities and other related
organizations. Each and every society has evolved ethical and moral
codes of conduct for business transactions. However, the Western
secular ethical values are by and large supposed to be utilitarian,
relative, situational and devoid of any spiritual sanctioning power.
The Islamic ethical codes, on the contrary, are humane rather than
utilitarian or relative. They are good for all times and absolute.
Ethical and moral codes in Islam are part of the overall Islamic faith
and observing them will not only lead to a happy state of affairs in
this world but also holds the promise of manifold returns in the
Hereafter. Islamic ethical and moral codes thus create a sense of
responsibility and accountability in the minds of the believers, be
they buyers or sellers.
J 

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