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Religion & Law

: Constitutionally Correct

UAE: Interest legal under Sharia, court rules

By Alliance Alert

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The National: "Two courts made a mistake when they exempted a borrower from the interest he owed on delayed loan repayments on the grounds that it was forbidden by Sharia, the Supreme Court has ruled. The judgment, in court documents released yesterday, involved an unidentified bank owed more than Dh200,000 in interest by a man from Umm al Quwain. The bank's demands for interest were rejected by two lower courts on the grounds that charging interest violated Islamic law."

Full post as published by Constitutionally Correct on January 25, 2011 (boomark / email).

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