Business and Dealings

Selling wigs

Q: Is it allowed to sell human hair as wigs as well as plastic hair as wigs which is sold in cosmetic shops. I understand that there is some fatwa regarding it but to my understanding the Hadith states that we cannot sell it or wear it. Please clarify the matter.

Cancelling accommodation

Q: I currently live in a hostel. I talked to another hostel owner to book a room. He kept a room for me for over 4 days and he denied other people who wanted that room. Now in the morning, the current hostel warden showed me another room with fewer charges and I decided to stay in the current hostel and not to shift. Now, if I stay, did I go against my word (wada khilafi)? I am feeling extremely guilty and I am starting to worry about my beliefs because of the backing out. Can I just say sorry and give some fine?

Bank dropping off service fees if a certain amount is kept in one's account

Q: I have opened an account in a bank and it offers a free ATM card. One of the features is that if you keep Rs. 25000 in your account then whenever the amount falls below 25k, a certain amount gets deducted on each transaction u make in that month in which the total balance was below 25k. Is it permissible to use such a bank account ?

It is not a saving account but free services like ATM, bankers cheque, sms banking are provided if a certain amount i.e. Rs. 25000.

Round Tripping

Q: Many businesses today engage in something called “round tripping”. What they do is purchase goods, thereafter they mark the goods for export and claim the vat back, while the actual goods are not exported but are instead sold locally.

From my understanding, in the process, there are lies spoken (lying to suppliers by saying that the goods are going over the border), bribes are given (a payment is made to border officials and revenue officials to stamp documents and release payments from the revenue services) and corruption is taking place. Is this practice allowed in Islam and is it permissible for us to purchase from these businesses?

Who pays the transfer charges in terminating a partnership in properties?

Q: Six brothers are in partnership in a portfolio of various properties. One of the brothers would like to exit. He would exit by taking his equal share in the form of properties. This would incur capital tax gain payments to the tax authorities and transfer and stamp duty payments. From a Shar’ee point of view, who would be liable for capital tax payments and transfer and stamp duty costs? Would it be the buyer (the brother exiting) or the sellers (the remaining five brothers)?