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PROHIBITED INCOME: Any property acquired by illegal means, such as theft,…

- - - - Batil: A contract that is good in its essence and lawful in its essence and lawful in its external attributes.
        
        Subject Matter: The asset is completely owned by the seller; it has value and is deliverable.
        
        Purification: A properly structured contract has to be re-executed from the beginning in case all the contracting parties want to continue with the transaction in a shariah compliant manner.
        
        Defect: It is found that one of the securities which was previously classified by Securities Commission as Shariah compliant stock has been reclassified as non-shariha compliant.
        
        Purification: The IFI must immediately dispose of the non-shariah compliant stock.
      - Fasid: Contract that is invalid is one that violates the pillars.
        
        Tashih: Reviewing sale contract: buyer not have right take delivery of the asset purchased.
        
        Purification: NO
        
        No Tashih: Reviewing inter-bank deposit: clause required deficit bank to guarantee a certain percentage of return to I.Bank as principal. Contract: matured, Pay&Principal&Profit: made and received by IFI.
        
        Purification: Previous profit needs to be clawed back & returned to counterparty
    - - Owner: one who receives a non-halal gift must return to it donor.
        Charity: The asset cannot be possessed by the recipient because a prohibited action cannot be legally justify transfer ownership. That why have to channel to charity.