Archive for the ‘Gambling’ Category

The Grace of gradual revelation

Tuesday, March 3rd, 2015

The style of the revelation of the Quran was gradual, over a period of 23 years. A command would initially be revealed in much general terms. This was done to ease Muslims into the new Divine regulations. When the initial command is absorbed by Muslims, God followed it with more details about it, such as how to implement it properly. Many scholars thought that subsequent commands were abrogation of the initial command! But that is incorrect, since abrogation means cancellation, and the initial command always remained in force.

A good example of that is the prohibition of drinking alcoholic beverages. The first command God sent down on this issue was,
“And from the fruits of the palm trees and grapevines you take for yourselves intoxicant and good provision. Verily, in that is a sign for a folk who reason.” (16:67)
Here is a very subtle indication that intoxicants are not a good thing. God leaves the word without an adjective to describe it, but He follows the word “provision” with the adjective “good.” Those who got the hint, Umar ibn Al-Khattaab (RA) was one, understood that God is not pleased with alcoholic beverages.

A subsequent command was then revealed,
“They ask you about intoxicants and easy gain (gambling). Say: In them is major sin and benefits for people. But their sin is bigger than their benefit.” (2:219)
So, those who did not notice before are now left with no doubt that alcohol is bad. Notice that this verse does not abrogate 16:67, because not describing something as being good is tantamount to describing it as more bad than good!

Then, a third command was revealed,
“O you who have believed, do not approach prayer while you are intoxicated until you know what you are saying, ” (4:43)

Now the matter is getting serious; intoxication prevents a Muslim from even approaching a prayer! Still, many people thought that it was OK to drink outside prayer times! They still didn’t get the hint. You see why God is walking them those baby steps? It is very hard for a society used to drinking alcohol to quit that habit. They need training. That is what God was doing, out of His Grace, by the gradual revelation of these commands. Notice also that this verse does not abrogate either of the aforementioned verses, because not praying while drunk does not mean drinking is allowed.

Finally, the prohibition was revealed in no uncertain terms,
“O you who have believed! Verily, intoxicants, easy gain (gambling), [sacrificing on] stone alters [to other than God], and divining arrows are but defilement from the work of Satan, so avoid it that perhaps you may prosper.

Verily, Satan only wants to drop between you enmity and acrimony through intoxicants and easy gain (gambling) and to shun you from the remembrance of God and from prayer. So, are you ceasing?” (5:90-91)

It is of particular interest to notice that Chapter 5 was one of the very last chapters of the Quran to be revealed. That means that the prohibition of alcohol took the entire period of revelation between Chapter 16 and Chapter 5, almost a decade!

That is just one example of why the Quran may not start off a command with the clear statement outright.

The perils of the wrong mindset

Monday, July 8th, 2013


I understand that riba (usury) is wrong. I understand that riba is like gambling. I understand that there are many views on insurance.

But, I need to have a fundamental understanding of why speculation is wrong. I know we have to work for our money.

I need to have the sin explained to me. Trust me I have done my share of reading on the matter. Yet, I do not have the basic definition of the sin of riba and gambling and it seems that they share the same root.

Indeed they do, and the Quran calls it Al-Maysir. The word means tools for easy gain.

It is not the ease that is wrong though. It is the belief in it. The central point, IMHO, is what you alluded to when you said that we have to work for our money. The biggest problem with all games of chance, and speculation is one of them, is that they set the wrong mindset. They entice people to believe that there is a shortcut out there. That is contrary to the laws of God which state that means, not gimmicks, lead to results. Gimmicks may work sometimes, or else no one would have ever tried them. But they are short lived and cause more harm than good.

Even Wall Street knows that, or at least they used to. When you open a trading account, you have to sign forms that can fill a book. Forms to explain to you the risks involved, some may even exceed the value of the entire portfolio! When you open an investment account, on the other hand, there are far fewer forms to sign. That is because, even though investments too carry risk, they are natural risks, whereas speculative risks are random. The difference between the two is that investments involve an asset: property, product or service, while speculation is a bet on how such investment will do. In financial circles this is called a derivative. We all know from the global financial crisis of 2008, the extent of harm speculative derivatives can do.

That is the peril of the mindset that is convinced that there is a shortcut to riches that requires no work, no sweat, and no asset. There is no such thing, but speculators won’t accept that disappointing conclusion, just like a gambler keeps telling himself that the next time he will recoup all his losses.

Investments can be win-win affairs, while speculation is always a zero-sum game.

Usury fits that profile too. It stems from the wrong mindset that treats money as a commodity and thus finds what it thinks is a great business model: buy money cheap and sell it for more. That’s right; economists actually call interest the price of money! Money is price, it doesn’t, and shouldn’t have a price.

While you did not ask it, other readers may be wondering: how else can an economy run? How can banking be done without interest? How does an Islamic system finance start-up companies or real estate purchases, etc.?

The answer is quite simple: partnerships. A financier may decide to finance a project in return for a percentage of its equity and profits. But that also means sharing the risk. That is a natural mechanism in the law of God that makes a financier scrutinize the project like his networth depends on it. The result is that frivolous projects won’t find financing, but quality ones will. Mortgage lenders would never lend money to home buyers whom they are almost sure cannot repay the loan, which is what caused the foreclosure crisis of 2008. On the flip side, rich people will still put their money in worthwhile and promising projects, which by their nature benefit a lot more people than the stakeholders.

That, in a nutshell, is Islamic finance. It brings wealth to investors and far reaching benefits to society, advancement of the economy and, most important of all, the right perception of money and finance. It is not a game for clever quants to play, it’s life enhancement for millions of people.

I apologize for not having a MBA. Your response was detailed, as usual. However, I need to go to a simpler and deeper understanding.

My question thus becomes this: How does interest oppress those who are the meek and poor. How is usury a tool of the oppressor.

In other words how is this haraam (forbidden). On a grand scale I see the consequences of poor decision making, giving loans to those who do not have the means of paying back thus leading to bankruptcy. But break it down for me.

For example the issue of adultery is simple to understand as it does destroy the fabric of the family.

I am not trying to be stubborn or argumentative. I need to be able to place my finger on the essence of the sin of interest.

Many people question why adultery is a sin. If the reason is, as you stated, that it breaks up families, then divorce should also be a sin, because it too breaks up families. But it isn’t. It is only strongly discouraged.

Many scholars, past and modern, have attempted to find material reasons why adultery is a sin. Some postulated that it results in paternity uncertainty. If that’s the reason, then modern science can solve this problem with a DNA test. Would that make adultery OK? Of course not.

Some suggest that the reason is unwanted pregnancies. If that’s the reason, then foster homes can solve this problem. Does that make adultery OK. Of course not.

Some guess that the reason is sexually transmitted diseases. If that’s the reason, then immunizations and other protections can take care of this risk. Would that make adultery OK? Of course not.

The interesting thing is that God already told us why adultery is a sin. He says in the holy Quran, “And do not approach fornication; it is a debauchery and a wretched path.” (17:32). It sets a wrong mindset. It makes people view sex, women and marriage differently from God’s moral law. That is what makes it a sin. Sin is violation of God’s law. God designed His laws for maximum benefit to mankind. When man breaks God’s law, it is an objection to God. Adultery sets the sinner on an evil path because he is deviated from the Straight Path and is distanced from God and becomes an easy prey to Satan.

You will observe the same about other sins prohibited in the Quran. Intoxication and unearned gain are prohibited in 5:90. God explains why in the next verse, “Satan only wants to sew between you enmity and hatred with intoxicants and unearned gain, shun you from the remembrance of God and from prayer. Are you ceasing?” (5:91)

God doesn’t say that intoxication can ruin your liver, or that it may endanger other people when you drive drunk. God doesn’t say that gambling can wipe out one’s life savings. God doesn’t mention that both are addictions that are very hard to be free from. God’s reasons are moral. Other material reasons may apply, but they are not why something is a forbidden sin. Intoxication sets a wrong mindset. It makes a person “drink to forget” his problems, instead of heading them on and solving them, gaining strength of character and wisdom in the process. Unearned gain sets the wrong mindset. It makes a person view others as “marks”, to borrow from con artists vocabulary. The right mindset that Islam encourages is that others are fellow human beings, dignified, worthy of respect and care, and having full capacity to be good and contribute to positive human progress.

The sin of interest is that it sets the perception and belief that you can have your money work for you instead of you working for your money. The Prophet (PBUH) said, “None of you would eat better food than food he earned by the work of his hands. God’s prophet David, upon him be peace, did.”, narrated by Al-Miqdaam ibn Ma`dikarib and reported and rated authentic by Al-Bukhaari.

I find it fascinating that God quotes people who have argued that usury is like trading. He does not refute their argument! Instead, He states unequivocally that He made trading lawful and usury unlawful (2:275). God doesn’t want us to be distracted by arguments why something He forbade is bad for us.

I beg you to help me with this. Where do trust funds find themselves. And what is the difference in Islam between a trust fund and inheritance?

Trusts are called Waqf in Islam. The word means holding an asset from being sold or donated and dedicating its income and facilities to designated people or purpose.

Waqf has two types: (1) Waqf Khayri (charitable trust/endowment) and (2) Waqf Ahli (familial trust). The first type is very highly praised in Islam. The Prophet (PBUH) has famously said, “All the work of a child of Adam ceases with his death, except three: an ongoing charity, a knowledge that benefits and a righteous child who prays for him.” Narrated by Abu-Hurayra and reported and rated authentic by Muslim. This has motivated multitudes of Muslims throughout the ages to found thousands of charitable projects and endowments. The result was that nearly all needs of society were taken care of without the government having to do any of it! A stranded traveler knew that he can find a hostel where he could stay the night, warm and safe, at no cost. Orphans and widows didn’t have to be scared or hungry. Desert travelers knew there would be plenty of water wells they could drink from.

Waqf Ahli, on the other hand, has been controversial for a good part of a century now. It is banned by many Muslim countries, such as Turkey, Syria and Egypt. The reason is that they saw much abuse of it. They saw it as a way to concentrate wealth in a family, instead of letting it into the economy. Many people used it as a way to circumvent inheritance law. With familial trusts, they could favor some relatives over others, whereas inheritance law fixes heir eligibility and distribution amounts of an estate.

IMHO, abuse of a system is no reason to ban it, but rather is reason to regulate it. Waqf Ahli has been allowed, even suggested, by the Prophet (PBUH) when one has needy relatives, as has been reported about Abu-Talha dedicating his best garden to his poor relatives after he heard this verse, “You shall not attain godliness until you spend from what you love” (3:92). It is a good way to take care of one’s poor relatives while one is still alive, as well as after he, the trustee, dies. That is the difference between trusts and inheritance. The other difference is what I mentioned above about allotment of shares and designation of beneficiaries.

Nobody ever owns the asset under Waqf and the trustee’s heirs are supposed to carry on the upkeep of the trust. Perhaps that’s why many Waqf assets were neglected to the point of deterioration. That was another reason governments moved to ban them. It would’ve been better IMHO if governments took over the maintenance.

Losing weight

Monday, April 22nd, 2013

If you have ever tried to lose weight, you know three things: (a) That the way to do it is simple and well known, albeit easier said than done, (b) that it requires discipline and self control and (c) that when it succeeds, you feel unencumbered and happy. You know you’ve done the right thing for yourself. The same can be said about stopping any addiction, such as smoking or gambling. Even spring cleaning is the same way.

And so is soul cleaning. The Prophet (PBUH) commented one day on verse 83:14 of the holy Quran. The verse said, “Nay! Rather, what they have been earning [of sin] has formed a stain on their hearts.” (83:14). He said, “A person’s heart gets blotted every time he sins. If he repents, it is polished out. If he does it again, the blot gets bigger. Until his heart is blocked. That is the stain.”, narrated by Abu-Hurayra and reported by At-Tirmizhi who rated it soundly authentic.

Cleaning of the heart is probably the hardest component of soul cleaning. It all starts with cleaning of the faith, such that no hint of “shirk” (associating others with God in worship) taints it. Then comes mind cleaning: cleaning of thoughts, such that you assume good until you see otherwise and when you do you forgive. Change negative thoughts to positive ones promptly and seek refuge in God from the whispers of Satan. Think twice before saying or doing things. Never act impulsively or on negative emotions. Stay away from negative people. Keep up prayer, supplication and charity. Read the Quran and reflect on it. Say good words and do good wherever you go and to whomever you meet. Clean your attitude, such that you deal with all with equal respect and courtesy.

When you boycott sin, it works for your soul like boycotting cigarettes works on your lungs and boycotting gambling works on your pocket book. The more you practice, and ask God to help and strengthen you, the easier it will get and the more likely it will be to succeed.

Can I pay off debts with lottery money?

Monday, April 11th, 2011

I won some money in a lottery. I know I know it’s haraam (forbidden), but my family and I have accumulated debts and this money comes in handy. Can I use it to pay off our debts? Please say yes!

You may be glad to know that a number of scholars have said yes. Among them are Sheikh Muhammad Al-Munajjid. His rationale is that getting rid of ill-gotten money is necessary and the only proper way he sees to do that is charity and he extrapolates that to debt payoff, based on rulings of Ibn Al-Qayyim and Ibn Taymiya, may God bless their souls.

I agree with the reverend Sheikh on the charity part, but respectfully disagree on the debt payoff part. I don’t see the analogy between charity and debt payoff. If you have dirt in your house, you wash it away; you don’t move it over to your neighbor’s house! Giving away the money is like returning stolen property, but using it to pay debts off is, IMHO, like stashing stolen money with someone else!

Bear in mind that when we stand before God for judgment in the Hereafter, He will ask each of us two questions about our money: (a) How did we earn it, and (b) how did we spend it.

God knows best.

Can I try to recoup my gambling losses?

Tuesday, March 15th, 2011

I know that gambling is forbidden in Islam, and I lost a lot of money gambling. My question is: Can I play a few more hands so I can get back the money I lost?

The illusion that one may get back his losses in gambling by gambling some more, is precisely why gambling is an addiction and is forbidden in Islam. The odds are against you, because the odds are designed to be “with the house.”

And even if you got back your losses, it will be ill-gotten money, a sin. Consider yourself lucky that you did not lose all your money as many gamblers have done.