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Real Estate Scam: A Tale of Loss, Compromise, and Fraudulent Documents

Answered as per Hanafi Fiqh by Muftionline.co.za

Q: First Part: Flat In year 2013 ago Mr. Ahmed Khan booked a flat in Regent Plaza by paying the amount of 23 lac rupees to two estate agents (Mr. Aslam & Mr Waqar). Both of them ran away by handing the possession of the property to their third partner (Mr. Kamran). Mr. Ahmed Khan went to court and as a result of compromise with third partner (Mr. Kamran), Mr.Kamran paid 22 lac rupees of the flat to Mr. Ahmed Khan in 2016 when that flat was worth almost 50 lac rupees. Second Part: Shop After the compromise, as Mr. Ahmed Khan had suffered loss of 28 lac rupees and mental torture, He therefore prepared fake documents of a shop in the same building ( Regent Plaza) so that he can recover amount from all three estate agents who are business partners. [Two of them, Mr. Aslam and Mr. Waqar are still run away but are in contact with Mr. Kamran.] Mr. Ahmed Khan sold those documents to Mr. Wali khan who is influential person, who guaranteed that he will try to get recover amount from Mr. Aslam , Mr. Waqar and Mr. Kamran. Mr. Ahmed Khan was asked to give cash amount of 2 lac rupees by Mr. Wali khan so that he can use contacts and intelligence agencies for the work. Mr. Ahmed khan paid 2 lac cash to Mr. Wali Khan and Mr. Wali Khan issued the cheque of 20 lac rupees to Mr. Ahmed that work is guaranteed and he will take possession form 3 estate agents. Mr. Wali now, cannot accomplish task. Is it Halal for Mr. Ahmed Khan to take that amount of 20 lac from Mr. Wali Khan?

Bismillaah

A: After the compromise through the court, Mr Ahmed Khan recovered 22 lac. Since he accepted the compromise, he was not worthy of receiving anything else. Hence, his faking up documents with the hope of receiving 28 lac (which was the value of the property in 2016) was not correct. Accordingly, it was not permissible for him to hire the services of Mr Wali Khan and pay him the 2 lac. Similarly, it is not permissible for Mr Ahmed Khan to hold back the 20 lac as it not in lieu of anything. It must be returned to Mr Wali Khan.

And Allah Ta’ala (الله تعالى) knows best.

Answered by:

Mufti Zakaria Makada

Checked & Approved:

Mufti Ebrahim Salejee (Isipingo Beach)

This answer was collected from MuftiOnline.co.za, where the questions have been answered by Mufti Zakaria Makada (Hafizahullah), who is currently a senior lecturer in the science of Hadith and Fiqh at Madrasah Ta’leemuddeen, Isipingo Beach, South Africa.

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