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Halal Meat Hypocrisy
http://epetitions.direct.gov.uk/petitions/74830
Petition against religious slaughter sadly misses the point… again
The last few years have seen a steady stream of sensational headlines seeking to ban religious slaughter, particularly halal. A recent online petition demanding the British government to prohibit the slaughter of animals without stunning has reached over 100,000 signatures.
The UK’s largest animal rights group, Animal Aid, quickly followed this up by choosing to highlight the abuse in a halal slaughterhouse leading to more dramatic headlines in the media. The campaign group, which has secretly filmed inside eleven UK abattoirs since 2009, has found ten of these breaking the law.
But wait – how many of the investigated abattoirs were for non-stunned halal meat? Only one; the other nine abuses Animal Aid recorded were at slaughterhouses for non-halal slaughter. Some of these were ‘high-welfare’ plants, such as those accredited by the Soil Association and Freedom Food. Despite this, the public is not being asked to debate the way that animals are being treated in all slaughterhouses, but, bizarrely, about how Muslims and Jews kill animals for food.
One cannot help but wonder that the hysteria about halal and kosher is more to do with rising Islamophobia and Anti-Semitism than anything to do with animal welfare.
In 2011, Animal Aid’s filming of the abuse of pigs in an abattoir in Brentwood, Essex, led to two men being jailed. The defendants claimed ‘abuse was part of the culture of the slaughterhouse’. In a distressing video, a slaughterer can be seen pushing a lit cigarette onto the foreheads and snouts of three different pigs and forcing hot ash into one of the animals’ faces as the poor animal squirms to get away. One pig was beaten 30 times in just a minute.[1]
Following this, how many mainstream newspapers ran the following headline: Ban pig slaughter in the UK? You guessed it – none.
We have been in this land of hypocrisy before, as noted in articles by Jonathan Freedland and Saeed Kamali Dehghan in the Guardian,[2] [3] and Paul Vallely in the Independent,[4] all in May 2014.
As journalist, broadcaster and author, Mehdi Hasan wrote in 2009:
“The British ‘debate’ about meat, animal cruelty and ritual slaughter has become a proxy for deeper fears.”[5]
Mehdi interviewed Joe Regenstein, professor of food science at Cornell University in the United States, who leads the university’s Kosher and Halal Food Initiative. He said,
“Many of those attacking religious slaughter have no clue as to what is happening. It is more of an Islamophobic issue, not an animal well-being issue.”
“Compared to modern, secular methods of slaughter, the traditional or Prophetic method might actually be equal or possibly superior” because the initial pain of the throat cut results “in the animal releasing large quantities of endorphins, putting it in a state of euphoria and numbness”. The cut thus serves as its own stun. The scientific evidence against halal slaughter, Regenstein said, “is extremely weak and has often been done poorly with an agenda driving a desired outcome”.
The “secular ways of slaughter”, as Regenstein points out, also have their downsides:
“If the public were to discover that animals were subject to a pre-slaughter intervention – like having their skull cracked open, [being] electrocuted, or put in a gas chamber – they might not really like that either.”
Mehdi also pointed to research led by Wilhelm Schulze of the University of Veterinary Medicine Hanover back in 1978, which showed that “the slaughter in the form of a ritual cut is, if carried out properly, painless in sheep and calves according to EEG [electroencephalography] recordings and the missing defensive actions [of the animals].” The German Federal Constitutional Court based its 2002 verdict permitting ritual slaughter on this study.
Religious slaughter is now banned in Denmark, but it is legal for humans to have sex with animals. At so-called ‘animal bordellos’ in the country, customers can pay to have sex with tied-up animals, including dogs and horses. Adverts offering the sexual ‘services’ of dogs also appear on Internet noticeboards. Strange, but sad(istic) and true.
Stunning – the myth of humane slaughter
Another red herring for the rising Islamophobia and Anti-Semitism in this country and across Europe is the debate about the stunning and non-stunning of an animal before slaughter.
The Muslim method of slaughtering animals is very similar to the Jewish Shechita technique, and involves an instant cut with an extremely sharp knife to sever four, or at least three, main arteries: the animal’s trachea (windpipe), oesophagus (gullet), and both jugular veins. This renders the animal insensible to pain and allows the blood to drain out making the meat cleaner. The knife should not be made visible to the animal nor raised during the cutting and other animals should not witness the slaughter. By contrast, the stunning of animals by electrocution, gassing or a bolt to the brain is considered completely cruel.
Many people recently signed a petition to ban non-stun meat. Yet, little did they realise that stunning of a cow, for example, involves every cow being shot with a bolt into their brain during what is believed to be humane conventional slaughter.
Animal Aid’s exposure of animal abuse in non-halal slaughterhouses was covered in an article published in The Mail on 31 August 2009. The descriptions are horrendous.
‘A cow’s head is clamped and a bolt shot in her brain to stun her. A man starts to hack off her left front hoof. Incredibly, the cow bends it then moves the other front leg away, over and over again. In another pen, a group of pigs wait to be stunned. The man uses electric tongs on a pig but instead of ensuring a shock of perhaps two or three seconds, he merely brushes the pig’s head. It staggers around, desperately trying to stand, so the man tongs another pig instead, and then another, leaving the first to recover before he goes back to it. A group of lambs are in the pen now, suckling at their mothers. A ewe is stunned as her youngster suckles; as the mother is dragged away, her throat slit in plain view, the lamb bleats, confused, and tries to suckle elsewhere. In another group, as the last one or two lambs are left, they try to escape. One scrambles into a bucket. The noise of their bleating is unbearable.’
The article quotes Jason Aldiss, Veterinary Health Association’s president saying,
“Much of what I observed is the usual slaughterhouse environment.”[6]
Shockingly, 99.6 per cent of pigs filmed at one abattoir were not stunned in accordance with guidelines. At another, out of 90 sheep killed in one session, only one per cent was killed within the 15 second guideline.
Temple Grandin, professor of animal sciences at Colorado State University and one of America’s leading experts on the humane treatment and slaughter of livestock sees no difference between stunned and non-stunned slaughter if both are conducted properly and professionally. When a religious slaughter is “done really right”, Grandin has said,
“the animal seemed to act like it didn’t even feel it – if I walked up to that animal and put my hand in its face I would have got a much bigger reaction than I observed from the cut, and that was something which really surprised me.”
Organic – high standards or not
How many members of the public, or indeed, Members of Parliament are actually aware of the greater abuse and longer-term suffering of animals before they reach the slaughterhouse? And how many have bothered to find out about the abuses that are occurring in non-religious slaughterhouses, including those labelled as organic?
A slaughterhouse considered to be one of the best – certified with the Gold Standard of the Organic industry – was filmed for 40 hours in 2010.[7] The abuse filmed included animals crammed into trucks; some chased out of vans by men wielding sticks; and pigs being kicked and beaten. Some footage shows a slaughterman who kicks, punches, knees and bashes a pig with steel-stunning tongs no fewer than 20 times. Another appears bored of stunning the animals with the electric tongs and reaches for a bolt gun instead – this is a different method of stunning the animals. He shoots a sheep in the head. The animal falls onto its side and struggles to get up – its legs frantically pawing at the air.
Between 2007 and 2010 the Meat Hygiene Service (MHS) prosecuted 33 abattoirs and slaughterers. It also ordered 166 slaughterhouses to tighten up their procedures on 455 separate occasions over the same period. This equates to three serious breaches every single week.
As Giles Fraser pointed out in an article in the Guardian,
“Most of our animals arrive at slaughterhouses traumatised after months of ill treatment. The idea that we ignore a whole life of misery and then get morally exercised by what happens in the last few moments of an animal’s life is pure moral bullshit.”[8]
Following the exposure of the catalogue of abuses to pigs, cows, lambs and many other animals in non-religious slaughterhouses, surely we should stop eating meat altogether and demand the end of slaughtering animals, not just a demand to end Halal?
Should we label stun and non-stun to help consumers choose?
The labelling of how an animal is slaughtered should not be discriminatory or selective based upon a perceived superiority of slaughter method or ignorance of the gruesome conventional processes. This will lead to further marginalisation and discrimination of two communities that are already feeling the impact of increased Islamophobia and Anti-Semitism in the UK and across Europe.
If we are to label sincerely for consumers, then why not tell them the whole truth and be completely transparent about the details of the animal’s life? For example, this animal was: crowded into filthy pens throughout its life; physically crippled by forced growing conditions; subject to a form of mechanised industrial slaughter that is nothing less than vomit-inducing.
The issue, my dear readers, is less about stunning and non-stunning, halal, kosher or non-religious. It is about having good robust standards in place with regulations of those standards. It is about providing the resources for the MHS to have enough staff that can monitor and observe the welfare of animals across all slaughterhouses. It is about introducing CCTV cameras in abattoirs as an extra assurance for animal welfare.
So, let us be sensible and, rather than joining the hysteria of ending religious slaughter, let us demand that animal slaughter, wherever and however it takes place, should be done with utmost care for the animal.
To take urgent action to protect religious slaughter in the UK and EU, sign now at:
http://epetitions.direct.gov.uk/petitions/74830
NOTES:
[1] http://www.dailymail.co.uk/news/article-2135083/Animal-cruelty-pair-jai…
[2] http://www.theguardian.com/commentisfree/2014/may/09/halal-meat-animals…
[3] http://www.independent.co.uk/voices/comment/the-halal-hysteria-is-all-a…
[4]http://www.theguardian.com/commentisfree/2014/may/09/halal-outrage-conc…
[5] http://www.newstatesman.com/politics/politics/2012/05/halal-hysteria
[6] http://www.dailymail.co.uk/debate/article-1209923/Can-Mr-Benn-really-un…
[7] http://www.dailymail.co.uk/news/article-1242503/Think-going-organic-let…
[8] http://www.theguardian.com/commentisfree/belief/2014/may/09/moral-bulls…
Article Source: http://www.islam21c.com/politics/halal-meat-hypocrisy/
Almost Quarter of psychosis cases in study found linked to Cannabis use
'Skunk-like cannabis' increases risk of psychosis, study suggests
Smoking potent cannabis was linked to 24% of new psychosis cases analysed in a study by King's College London.
The research suggests the risk of psychosis is three times higher for users of potent "skunk-like" cannabis users than non-users.
The study of 780 people was carried out by KCL's Institute of Psychiatry, Psychology and Neuroscience.
Read more at BBC News
Captain obvious strikes again.
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[Video] Dutch children apologize for terrorism
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the sealed nectar
https://www.youtube.com/watch?v=SfPhke3I8Xw Why The Sealed Nectar is so popular - Shaykh Ahmad Musa Jibril
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Kenyan grandmother at school with her great-great-grandchildren
A 90-year-old Kenyan woman who goes to class with six of her great-great-grandchildren is believed to be the oldest primary school pupil in the world.
... she confronts children who are not in school and asks them why.
"They tell me they are too old," she says, "I tell them, 'Well I am at school and so should you.'
Read more @ BBC News
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King Abdullah passes - King Salman takes the reigns
Thats what the news reports say.
The new king is a youthful 79.
(Video is when the king visited Madinah a few years ago.)
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Which order do you read the Quran
I have a new copy of the Quran, a new translation by M. A. S. Abdel Aleem, in the Oxford World Classics series.
I have also found a site that lays down the Chronological Order that the Surahs were revealed. Has it differs from the order Surahs are placed in the Quran. In order to gain a better understanding of the Quran woluld it be alright to use this order?
http://www.missionislam.com/quran/revealationorder.htm
Would welcome any comments.
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Islam and the Secular West
Islam and the Secular West
In another thread I asked the question
[Indeed it would be interesting to know what your answer would be for solving the violence between people in Syria/Iraq or indeed the violence that is happening in Nigeria. Or for that matter how the people of planet earth can get along, be they Muslim, Christian, Jew, Hindu, Buddhist or indeed of no interest in religion whatsoever, but just want to live their lives in their own way?]
I received the reply
[it will end the similar way your country dealt with Hitler
people in past got along perfect despite religion when you Christians were killing Jews we Muslims allowed them to stay in Palestine when ottoman were ruling it, in Andalusia were Jews lived happily, and in Afghanistan under Taliban Sikh were living in peace something your biased media didn’t mention the only people who failed to get along with others were Christians, under British empire you robbed Africa then Asia then America until your downfall started, you destroyed your own religion the true Christians orthodox and replaced it with your fake catholic religion:]
So I thought that I should put forward an article of my own to better explain my thoughts
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Why the West is Secular
When I was being brought up, it was common for Catholics and Protestants not to associate with each other; indeed it was common for violence to occur between Catholics and Protestants. Mixed marriage was frowned on and Catholics and Protestants lived in separate areas. The dominant religious sect used to hold marches through the other sects area. Leading to sectarian [religious] fighting, with the police etc trying to maintain some sort of peace. But all this started to change after the two major wars.
People had to live together because of a shortage of housing, people had to work together because of a shortage of jobs. The Government had to govern in a secular manner because of a shortage of money and resources. This occurred throughout Europe due to the widespread devastation caused by the war, Politics and Religion was separated and a secular government was introduced, whilst still based on Christian values everyone had to be treated equally under the law.
Europe over the centuries had been witness to too many wars caused by religion. Indeed people used to harp back to religious conflicts. For example, In Ireland people used to talk about the Siege of Londonderry [1689] and the Battle of the Boyne [1690] James the second [Catholic] and William of Orange [Protestant] Even now Londonderry is semi-unofficially known as London/Derry to appease both sides in a conflict that was called the troubles.
The opposing sides whilst using religion as a cover, were in fact using it as a cover for their own aims, which was to gain political power over each other and within Ireland. [Is this not what ISIS etc is doing?] It took people with a considerable amount of courage and risk to themselves to oppose this sectarian [so called religious] fighting. Indeed some people had to leave Ireland and come to England and start a new life for their own safety. [Does this not sound familiar]
Now I have explained the background to why the west is governed in a secular manner, hopefully it will go some way to explain why it is wary of Islam with it’s theocratic form of government.
Muslims are ruled by Islam [religion] and governed by Sharia [law] in a Muslim dominated country all must accept this as there is no separation. But in a country were the Muslims are in a minority they must abide by the secular laws of that country, as indeed do the rest of the population.
But after saying that, some Muslim countries have a mix of laws independent of Sharia and appear to interpret Sharia to suit local circumstances.
Now I come to the original question in the other thread;
[It would be interesting to know what your answers would be for solving the violence between people in Syria/Iraq or indeed the violence that is happening in Nigeria. Or for that matter how the people of planet earth can get along, be they Muslim, Christian, Jew, Hindu, Buddhist or indeed of no interest in religion whatsoever, but just want to live their lives in their own way?]
The simple answer is, I do not know, a] if we [the west] get involved to try to protect people against ISIS. Be these people Muslim or Christian. We are told that we are being Imperialists. b] If we stand-back and do nothing, then we are condemned by letting innocent people come to harm. On the other hand c] If a coalition of Muslim countries and the west are involved, these countries are called, “lackeys of Western Imperialism.
The problem of Boko Haram ("Western education is forbidden"), as still to be faced by both the West [as ex colonial powers] we have been asked to aid the Nigerian Government. The Islamic World at large must take some kind of collective action. Or statement. Will they again condemn the west for aiding Nigeria as ex-Colonial Imperialists? Or will the Islamic World band together and aid the destruction and removal of Boko Haram for being un-Islamic in their actions?
As for the latter part of the question;
[Or for that matter how the people of planet earth can get along, be they Muslim, Christian, Jew, Hindu, Buddhist or indeed of no interest in religion whatsoever, but just want to live their lives in their own way?]
The Empires of the past are long gone, the British Empire, [along with other European Empires] started to decline from 1920 onwards and declined more rapidly from 1950 when most of the countries that formed the British Empire became Independent and had self-government. It is quite enlightening how each country have managed their independence over the past 60 years or so.
The world as become much smaller, much more dependant on world trade and major world conflicts between recognised states extremely unlikely, [much too expensive, both in treasure and people] they might rattle a few sabres but on the whole they will get along. G20, BRIC and World Trade Discussions in Davos to name but a few, will see to that.
No the biggest danger to the world is a small band of extremists, be the Political, or using Religion as a front for their own ends to do serious damage to a country and for that country to retaliate, manipulating the power of public opinion.
To end, manipulation of public opinion is something that Christians are fully aware of every Easter. Jesus was welcomed into Jerusalem [Palm Sunday] by the public. After taking radical action in the temple against the cosy cartel of Priests and money changers [Politics and Money = Power] The Priests [Politicians] managed to turn the public against Jesus. The rest as they say is history.
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multi level marketing and pyramid schemes such as ACN
Shariah Issues in Multi Level Marketing
By : Ust Hj Zaharuddin Hj Abd Rahman
www.zaharuddin.net
Multi Level Marketing (MLM) is very popular in Malaysia, used not only in promoting consumer goods but also in promoting financial instruments such as Islamic unit trust funds and Takaful products. Statistics show that in year 2003 the MLM industry in Malaysia has recorded sales of more than RM 4 billion and more than 3 million people are involved in MLM transactions.
[Posted Image]
The above statistics render evidence that MLM is now a widely acceptable marketing strategy used by various companies and industries. This phenomenon has raised a lot of concerns and queries among the general public especially form the Shariah (Islamic law) point of view regarding the Islamic legality of income earned by joining these MLMs. However, rarely do we come across Shariah scholars (both locally and overseas) that analyze and evaluate MLMs in order to provide definite answers and guideline to the general publics' queries. The complex issues in MLM and perhaps the lack of interest of Shariah scholars in MLM practice might provide possible explanation for the limited number of opinions by the scholars regarding the matter.
The ‘Ustaz' and Multi Level Marketing
I was also flooded with zillion of questions regarding MLM and Shariah issues. Initially I tried to shun away from the questions because there was just too many MLM structures and this would make it difficult for anybody to provide a clear Shariah injunction regarding the matter. In addition, there are a lot of people who are currently involved in MLM and most of them, seem to be ‘fanatic' and very confident that the MLM structure and the income generated from it is Halal.
In addition, there seems to be a number of Shariah and Islamic studies graduates (the so called Ustaz and Ustazah) that promote various products using these MLM schemes. To add some spice and flavor to their promotion, these groups would claim that MLM is halal and they would quote various proofs from Al-Qur'an and Hadith that encourage Muslims to do business and improve their economic condition. As a matter of fact, the ‘evidences' quoted by them is general in meaning and does not provide specific verification of MLM and their pyramid scheme.
To be honest, there are quite a number of people influenced by the campaign of these groups of ustaz and ustazah. These people join the MLM schemes without any second thoughts whether it is halal or haram just because is has been approved by an ‘ustaz'. Therefore I would like to remind all the shariah and Islamic studies graduates to be more prudent in giving out any injunction and to carry out detailed analysis before promoting and claiming that MLM is halal. The opportunity to make sky-high profit in MLM scheme should not overshadow our opinion and the injunction we put forward. This reminder is vital as there are a lot of people who exploit the endorsement by the ‘ustaz' to advocate their MLM. Al-Laith bin Sa'ad said: "If the people with the understanding of halal and haram reviewed this problem, they would not endorse it as there is an element of gambling in it" (Narrated by Al-Bukhari, no 2346). Sayyidina Umar al-Khattab r.a reminded us:
لا يبع في سوقنا إلا من قد تفقه في الدين
"Do not trade in the markets unless you have full understanding about religion and trading." (Narrated by Tirmidzi, no 487, p 129; Albani: Hasan)
I believe it is best to share a general guide of Shariah issues in MLM so it could serve as a reference to help the general public make proper decision before they drown deeper into the quicksand of MLM. However, one has to bear in mind that this general guide is not meant to condemn any specific MLM brand or structure that exist either in Malaysia or overseas. This guide only provides an overview and highlights of several Shariah issues regarding MLM.
Definition of MLM
Generally Multi Level Marketing (also known as network marketing) refers to an alternative approach of conducting business that involves selling of goods and services through a network of distributors. It involves multiple levels of distributors known as upline and downline. The growth of MLM network could involve vertical (up-down) expansion, horizontal (right-left) expansion or a combination of both. (See All About MLM by Benny Santoso, p 28)
MLM practices : Between Haram and Syubhah
MLM that employ these schemes in their operation is clearly prohibited (haram) or Syubhah in Shariah:
1) Inflated Selling Prices: Some goods and services sold through MLM network are traded at higher prices compared to its market prices just to ensure the MLM companies enjoy a higher rate of return and are able to pay commission to their distributors. This practice is not recommended in Islam and according to some jurists this kind of contract is null and void. This practice is known as ‘Gabhnun Fahisyh'. However, there are differences of opinion regarding this practice. Some scholars say it's permissible (harus); some say it's undesirable (makruh) while others say it's prohibited (haram). (Durar al-Hukkam Fi Syarh Majallah al-Ahkam, clause no 356, p 369). Nevertheless, Prophet Muhammad SAW has indicated that selling goods at inflated price to those who do not have adequate knowledge regarding the pricing of goods is a form of oppression. (Al-Qawaid, Ibn Rusyd, p 601)
2) Sales target as a pre-requisite for commission payment: Usually, in addition to the membership fee, MLM companies would set a minimum sales target for the upline if they would like to enjoy any commission from the sales of their downline. If they fail to achieve this target, their membership maybe terminated or they would not be entitled to receive any commission although their downline has transacted a large amount of sales. Every MLMs that has this kind of pre-requisite would face some Shariah issues because this pre-requisite is a form of oppression. A policy that states "You must maintain a monthly personal sale, say RM500 in order for you to enjoy the commission from your downline's sale" involves a conditional sale where the condition is set to the disadvantage of the member. This policy implies a form of coercion.
Generally, commission that is earned through sales of goods and services (like brokerage fee) is permissible (harus) in Islam; this is the opinion of prominent Muslim scholars like Muhammad Ibn Sirin, ‘Ato' Bin Abi Rabah, Ibrahim an-Nakha'ie and many more (Sohih Al-Bukhari ; Al-Musannaf, 5/242 ; Mawahibul Jalil, 4/452 ). However, the commission in MLM and pyramid schemes may convert to haram status if:
* Sales commission of the network is tied to his/her personal sale. This condition raises several Shariah constraints because it involves oppression, invalid conditions and gambling like activities. A conditional contract like this results in unclear task of the agent or broker. If he is only the broker or agent, why should he be compelled to maintain certain level of sales? This is an implied coercion stated subtly in the agency contract. Therefore the nature of the agency contract is ambiguous (syubhah) and thus contaminates the commission received.
* Commission originates from an unknown downline because the network is too big. As a result, the upline seem to enjoy commission without the need to put any effort. This could be classified as compound brokerage (broker on broker on broker). In my discussion with Syeikh Prof. Dr Abd Sattar Abu Ghuddah (Main Shariah Expert in Islamic Finance at the International Fiqh Academy - Kesatuan Fiqh Sedunia, AAOIFI, Dow Jones Islamic Index and many more association), he pointed out that compound brokerage falls under the category of eating up another's property unjustly and has an element of gambling in it. The main factor that contributes to this is the fact that compound brokerage automatically implies that a portion from the sales of the downline will be channeled to the upline.
3) No tangible product for sale: Some MLM schemes only require the members to register and find more downline without the need to sell any product. With each new member introduced, the upline enjoy a portion of the registration fee of the downline. The more new members, one could attract, the more bonus he or she would enjoy. This is a form of Riba Nasiah and Riba Al-Fadl because it involves trading of money for more money in the future.
The same rule applies for MLM that does not have a product of good quality but only introduces a product for the sake of fulfilling the sales requirement. For example a product that only involves a web section in the Internet at inflated subscription price that is of no benefit to the members. In some cases the member does not even own a computer to utilize the web section. In reality the member is not interested to buy the product in the first place. He or she just wants to join the marketing network and earn bonuses from it. The Standing Committee of the Saudi Arabia Fatwa Council has classified buying bogus products as a mean to join network marketing in order to earn bonuses as haram. (Fatwa Council Al-Lajnah Ad-Daimah Arab Saudi no 15/192-193.)
4) Manipulation by MLM company: Some MLM companies manipulate their product, coerce the member to use their product or sell haram products. All these activities are cleary prohibited (haram).
5) Two in one contract: There are also elements of 2 in 1 contracts that is known as "shafqatayn fi shafqah" or bay'atayn fi bay'ah: This type of contract is forbidden by the Prophet SAW:
نهى رسول الله صلى الله عليه وسلم عن صفقتين في صفقة واحدة
"The prophet SAW prohibited two sales in one (contract)." [Narrated by Ahmad, Al-Bazzar ; Al-Haithami : The chain of narration from Ahmad is trustworthy (thiqah); 4/84 ]
Two in one contract occurs in MLM due to several factors as below:-
Firstly, the purpose of the initial membership fee is not clear - is it for the purpose of becoming the member of the network or is it for the purpose of buying the product.
Secondly, after becoming the member of a network he or she is automatically appointed as an agent of the company to recruit more members.
Combining these two factors, the contract would fall in the category of two in one contract. The first contract involves an exchange contract (‘Uqud Mu'awadat) where the fee is exchanged with membership right or product acquisition. However at the same time, another contract is executed - an agency with fee (Wakalah Bil Ujr) contract - where the member is appointed as an agent for the MLM to sell its product and recruit new members for a return of commission. Two contracts - exchange and agency - are executed within one contract.
The International Fiqh Academy (Majma' Fiqh Islami) has issued a legal verdict declaring that PT Biznas (a MLM scheme) is haram. The verdict also ruled that the commission paid is not like a brokerage fee because it involves activities similar to gambling. (Refer to verdict no 3/24, 17 July 2003). In addition, Syeikh Salim Al-Hilali also released a verdict prohibiting MLM. He said: "Many question has been put forward regarding the popular business (MLM). Generally, it follows the pyramid scheme in its marketing strategy where each member has to find a new member and so on and so forth. Each member pays a fee to the company with the objective to attain bonus. The more members one could attract, the more bonus they would enjoy. Majority of those who join these companies are motivated by the lucrative bonus offered and hope to get rich fast. They are not concerned about the product at all."This type of business is pure gambling because:
Ø In reality, the members of MLMs are not concerned about the product. They join the marketing network only to attain instant profit via the membership fee of new members.
Ø The actual price of the product is less than 30% of the price paid to the MLM company.
Ø The purpose of the business is to develop continuous network of people. With this network, large number of people at the bottom of the pyramid (downline) pays money to a few people at the top (upline). In this scheme, no new wealth is created, the only wealth gained by any participant is wealth lost by other participants. Each new member pays for the chance to profit from payment of others who might join later."
It is very rare to find MLMs that does not incorporate the prohibited activities I have mentioned above. Therefore, I remind all the Islamic unit trust and Takaful agents to be cautious and not to fall into the realm of MLM. If you still feel that MLM is halal after reading through all the prohibited activities I have highlighted above, then one should ensure the minimum level of Shariah compliance of the following:
1. Real sale of goods: The products should have tangible benefit to the members or users like health supplements of good quality and other goods. Therefore, goods which have no tangible benefit, of low quality that do not meet the requirements for a real sale of goods, naturally being used to hide the pyramid scheme in MLMs and serve as legal tricks to avoid Shariah prohibition. Therefore, the strength of a MLM should be based on the product quality and not based on the ability to make large profit out of new members fee.
2. The product is not gold or silver or currencies: Gold, silver and currencies are ribawi items and should observe strict Shariah rules that only permit spot transactions. Gold, silver and currencies could not be sold on deferred basis because it will be tantamount to Riba Nasiah.
3. Commission paid to each member is transparent: There should not be any commission paid without effort. Therefore an upline is only entitled to the commission of the downline whom he or she has helped.
4. Commission is not based on number of new recruits: Commission should be based on the amount of sales that one has managed to achieve. This is important to ensure that the MLM focuses on real business and is not a mere money game.
5. No sales target as a pre-requisite for commission payment: There should not be any form of implied coercion by setting this kind of condition.
6. Every upline should put effort to help their downline: Upline should assist their downline by arranging for meetings, giving motivation and explaining sales techniques to their downline. This is important to ensure the upline is legally (from shariah perspective) entitled to the commission received. If not, the commission received may be categorized as ambiguous (syubhah) income. If the network is too big and the upline does not even know the downline what else to offer assistance, then why should the upline still attain benefit at the expense of the new member? This would result in compound brokerage mentioned above.
7. Does not utilize pyramid scheme i.e First In Rich Forever (FIRF) scheme: The marketing plan should ensure that everybody has an opportunity to get commission based on their performance and not according to First in Rich Forever scheme. In FIRF schemes, those who join a MLM company at its infant/early stage will always gain more as more members join although the new member is able to sell/perform better than those who join earlier. If it is a genuine business, a downline who performs better than an upline should be able to make more profit than the upline.
8. Disclosure of the commission system should be transparent and understandable: This is to ensure that there will be no fraud and the members could observe the commission payment easily.
9. Structuring of marketing plan based on partnership (musharakah) contract: The best way to set up a marketing plan is based on musharakah where profit and losses in the business is shared according to according to the capital ratio. The parties should agree upon the profit sharing ratio before entering into the contract.
Last but not least, I am aware that rulings regarding MLM are not yet concluded and are still open for discussions. Even Syeikh Dr Abd Sattar Abu Ghuddah, during our discussion, pointed out that the MLM issue is still new to him. It is difficult to find writings of Middle Eastern scholars regarding MLM because MLM has yet to enter the Arab countries massively. Therefore, it is the responsibility of the South East Asian scholars to elaborate on this topic to provide the general public with guidelines about Shariah issues in MLM. This short writing is only a preliminary opinion intended to remind all of us about the ambiguity or doubtness that is embedded in MLM schemes. Readers should not be annoyed and irritated by the article. It is only a reminder for those who are concerned about the legality of their income and a forewarning for those who ponder upon the infinite life after death. Wallahu ‘alam.
Kuala Lumpur, Malaysia (14 Zulhijjah 1427 H = 4 Januari 2007)
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