Insider dealing: fraud in Islam?

Abstract

Purpose -The purpose of this paper is to examine whether insider dealing is fraud from the perspective of Islam. Design/methodology/approach -The paper uses analogy (qiyas) of the injunctions in the Qur'an and Sunnah and critical analysis of literature on Islam. Findings -The paper finds that insider dealing is fraud (taghrir) in Islam and the defrauded party has the option to rescind the transaction for fraud (khiyar al-tadlis) as well as for latent defect (khiyar al-'aib). Practical implications -The paper is practical as a source of reference in legislating laws relating to insider dealing particularly where Shari'ah is the principal source of law. Originality/value -The paper presents a novel attempt in establishing that insider dealing is fraud from the perspective of Islam.

Etika Profetik Bagi Pengelola Keuangan Negara

“…Merujuk pada kejujuran tentunya ha rus ada suatu dasar yang fundamental dalam menjelaskan sabda kepada peng ikutnya agar bertindak jujur dalam setiap situasi, kapan pun dan di mana pun itu. Hal ini sebagaimana sabda Rasulullah ten tang penting nya berbuat jujur dan menja di orang yang jujur di sisi Allah, yang pada intinya menegaskan bahwa kejujuran akan selalu membawa kita kepada kebaikan dan rahmat, demikian pula sebaliknya (Jabbar, 2012;Said, Alam, Karim, & Johari, 2018).…”