Fatwa ID: 07893

Answered by: Alimah Saleha Bukhari Islam

Question:

If I worked with marketing experts/agencies to do marketing for some projects or companies, but the marketing experts I worked with scammed them, am I sinful, and is my money halal or haram?

I discovered this after I took a commission of about 10% because I was working as a salesperson and my intention from the beginning was to earn halal money, and my only job also was to bring clients to those agencies

In the name of Allah, the Most Gracious, the Most Merciful

Answer:

We commend your efforts in seeking guidance on the halal and haram aspects of this business venture, particularly concerning its fraudulent nature. While assisting marketing experts or agencies on specific projects might seem harmless, it is crucial for a Muslim to understand the process of such schemes to ensure they align with Islamic values and ethics.

Network marketing, a strategy involving the use of personal networks to sell products and earn commissions, can vary significantly. Although this model might offer legitimate commercial opportunities, many network marketing structures include clauses that render them impermissible under Islamic ethical and religious standards.

This type of marketing often encourages participants to recruit widely to maximise commissions, which are based on the number of recruits and can surpass initial fees. However, failure to recruit effectively can also lead one to incur significant financial losses. Such uncertainty and risk are considered gharar (ambiguity) and qimar (gambling), both of which are forbidden in Islam.

Furthermore, network marketing commonly requires upfront payments for participation or purchasing products that may not be genuinely needed, aiming primarily to grow the network rather than fulfilling a real demand. This business model benefits a few at the top while disadvantaging the majority at the bottom, constituting a form of exploitation. From an Islamic viewpoint, such practices are not only unethical but also Islamically unlawful due to their resemblance to gambling, manipulation and corruption.

In considering business ventures, each company and its practices should be thoroughly assessed before committing to it. Network marketing contradicts Islamic financial principles in genuine partnership and often includes deceptive practices, leading to financial instability driven by greed. Thus, it is forbidden to participate in such schemes or to profit from the efforts of others without direct involvement, more so to profit from the losses incurred by others. [1]

To summarise, earnings from a job involving direct participation in a haram business venture is impermissible and commissions received from it are also haram. If one has unknowingly participated in such a scheme, it is wise to rectify the situation by returning any earnings (from commissions) to those who incurred losses, demonstrating integrity and adherence to Shariah principles. This allows for repentance and correction of mistakes. We strongly advise caution with these ventures and recommend consulting a qualified Mufti or Imam to assess the permissibility of engaging in a business lacking an Islamic foundation.

Only Allah (عز و جل) knows best.

Written by Alimah Saleha Bukhari Islam

Checked and approved by Mufti Mohammed Tosir Miah

Darul Ifta Birmingham

[1]  آكِلُ الرَّبَّا وَكَاسِبُ الْحَرَامِ أَهْدَى إلَيْهِ أَوْ أَضَافَهُ وَغَالِبُ مَالِهِ حَرَامٌ لَا يَقْبَلُ، وَلَا يَأْكُلُ مَا لَمْ يُخْبِرْهُ أَنَّ ذَلِكَ الْمَالَ أَصْلُهُ حَلَالٌ وَرِثَهُ أَوْ اسْتَقْرَضَهُ، وَإِنْ كَانَ غَالِبُ مَالِهِ حَلَالًا لَا بَأْسَ بِقَبُولِ هَدِيَّتِهِ وَالْأَكْلِ مِنْهَا، كَذَا فِي الْمُلْتَقَطِ.

ص343 – كتاب الفتاوى العالمكيرية الفتاوى الهندية – الباب الثاني عشر في الهدايا والضيافات – المكتبة الشاملة