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A Surety’s Sharing In Profits
Is it lawful for a client holding an investment account with the bank to stand surety for an institution seeking financing for a Murabaha deal from the bank. May he seek a share of the profits earned from the institution’s commerce in the goods guaranteed to the bank?
The client’s suretyship for the institution is lawful. The bank freezes the client’s account for the amount owed to it by the institution on the condition that the returns from the investment during the period of the freeze accrue to the client.

It is not lawful however for the client to share in the profits of the institution in return for its suretyship as suretyship is a voluntary contract.



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