Sale of the Share Same Day

By Muhammad Aslam al Hindi

 

Assalamu alaikum dear brothers and sisters

Islamunity went across the official website of Darul Ifta of Darul Uloom, Deoband. We would like to share with you following Fatwa.

Question: 12598    India (Fatwa: 943/797=D/1430)

Assalamalaykum. Can I resell shares purchased just minutes before,because--nowadays online trading facility of buying & selling shares is available, and on purchase our share demat account is immediately credited with the shares brought,although delivery( not physical takes place after 3 days).It is law of the indian governments that it takes 3 days.----but on purchase of share we get Confirmation,on the spot, from broker(via,contract note) regarding our purchases,stating that you are holding the said shares. So my question is ---can we sell shares,which are immediately recorded in our contract note when we buy them.?why we cant sell them even after a minute or so.It is faulty indian system of postponing the delivery,though every thing is recorded immediately---and we become owner of shares immediately.?They come in our possesion immediately. Answer: 12598    30 May, 2009

As per the Shariah, just by getting confirmation you will not be allowed to sell the shares until it is not transferred and you possess the same. Also, even after transfer and possession as well, we should avoid successive purchase and sale which resembles satta (gambling) and partnership of the company is not meant.

Allah (Subhana Wa Ta'ala) Knows Best

Darul Ifta, Darul Uloom Deoband