How does one dispose of haram wealth if it has already been consumed and/or mixed with other wealth?
In the Name of Allah, the Most Merciful and Compassionate
If one acquires money by prohibited (haram) means, it is obligatory for them to free themselves of that money by giving it away. Giving it away is not done with an intention of charity, rather, with the intention of removing that wealth (takhallus) from one’s ownership. [Ibn ‘Abidin, Radd al-Muhtar]
Prohibited Wealth Mixed with Permissible Wealth
If the wealth was not yet mixed with the remainder of one’s assets, the specific haram wealth must be given away. [Ibid.]
For example, if one acquires a £100 note in a haram manner and they have not mixed it with their other money, they must give that specific note away.
If, however, the haram wealth was mixed with other money, the obligation is attached to the amount. [Ibid.]
For example, if one acquires £500 of haram money and it is deposited into their bank account with other money, it is obligatory for them to give away the amount of £500.
I hope this helps,
Allah knows best.
[Shaykh] Yusuf Weltch
Checked and Approved by Shaykh Faraz Rabbani
Shaykh Yusuf Weltch is a teacher of Arabic, Islamic law, and spirituality. After accepting Islam in 2008, he then completed four years at the Darul Uloom seminary in New York where he studied Arabic and the traditional sciences. He then traveled to Tarim, Yemen, where he stayed for three years studying in Dar Al-Mustafa under some of the greatest scholars of our time, including Habib Umar Bin Hafiz, Habib Kadhim al-Saqqaf, and Shaykh Umar al-Khatib. In Tarim, Shaykh Yusuf completed the memorization of the Qur’an and studied beliefs, legal methodology, hadith methodology, Qur’anic exegesis, Islamic history, and a number of texts on spirituality. He joined the SeekersGuidance faculty in the summer of 2019.