12.10.2009 - Shariah governance a challenge to Islamic banking
A number of statements, resolutions and judgments relating to Islamic banking that have been issued and passed during the last two years have rekindled the debate over the very nature of the Shariah governance process in the global Islamic finance industry. These included Resolution 179 (19/5) on Tawarruq issued by the International Council of Fiqh Academy in April 2009; the statement issued by the Shariah Committee of the Accounting and Auditing Organization of Islamic Financial Institutions (AAOIFI) in Bahrain in February 2008 relating to musharaka and mudaraba sukuk; and the judgment of the Malaysian Appeal Court in April 2009 that the Al-Bai Bithaman Ajil (BBA) deferred payment contract as practiced in Malaysia is a valid Islamic sale contract......................Full Press Release: Source