Daily Archives: January 21, 2008

David Pidcock’s View on the State of Islamic Money, Banking, and Finance.

David Pidcock is a leading member of the Islamic Party of Britain. His views expressed below were provided in a recent exchange of emails. – thg

Having spent the last 32 years searching for the right country and the right “Sharia compliant” government – I can say that they do not exist – being as unlikely to find – indeed – as rare as hen’s teeth.

Pakistan – which was “allegedly” established as an Islamic State has never implemented a Sharia Friendly monetary system in the past 60 years. The Pakistani Economist / Senator Professor Kursheed Ahmed admitted as much in a seminar at the Islamic Foundation at Markfield, entitled THE DEATH OF RIBA/INTEREST : “we have all been cowards in this regard”

In a live show on ARY TV, Ken Palmerton, ask(ed) General Quraishi – a spokesman for the Musharaf/Busharaf government that now that the Sharia Court of Pakistan had issued its Fatwa condemning Interest – in that the banking system of Pakistan must become more “user” than “usurer friendly” – he snorted : “We are not a backward country!”.

Ken and I had already travelled (sic) to Pakistan to give evidence to Justice Taqi Usmani – which included a screening of THE MONEY MASTERS video – which convinced him that a just, workable monetary system could be established in the 20/21st century in any sovereign state regardless of it’s size – be it Large or Small.

Similar resistance is to be found everywhere in the so-called Islamic States/Countries including Saudi Arabia, Sudan, etc, etc, etc. In a seminar at the Bank Feisal, Khartoum, some 10 years ago (I have a 3 hour video of the proceedings) we (the Islamic Party of Britain) addressed the entire banking establishment of the country – including the head of the Central Bank (appointed – we subsequently found out – by the Federal Reserve of New York) which had also appointed Sudan to host the Central Banker’s Conference that same year – Not bad, considering Sudan was already being categorised by the U.S. as being a “terrorist state”.

Attending the meeting was Dr. Hassan Al Turabi – Who Chaired the session – with Ali Al Hajj, Hajj Noor, Dr. Abdul Raheem Hamdi (Minister of Finance and Founder of Al Baraka Bank). We pointed out that the 5 year plan would fail because it was written by a Thatcherite Economist and that the problems for Sudan originated in the fact that their much vaunted Murabaha System was both fraudulent as well as interest bearing – being entirely based on the fractional reserve model.

Dr. Hassan Satti – the head of Al Shamail bank – stood up and confirmed my statement. He said that he had been sent to study Central Banking in London – that what the Sudan had established was in fact – “The Bank of England with an Islamic Tarbush (Hat) on it…and that the system was irredeemable”

Our parting shot was. If the Hudud (cutting of hands) sections of the Sharia Law was to be applied in the Country, then all the bankers in the room would leave minus one or both hands.

Next day people came to our rooms in the hotel admitting that all the money involved in the Murabaha schemes were created through the fractional reserve mechanism

I then gave evidence to the Ullema Council and Murabaha was suspended. I drew their attention to the fact that the suicide rates in the Sudan could be traced to the growth of unrepayable debt compounded by a rate of interest measuring some 76% in real terms.

I quoted Thomas Jefferson’s observations and those of Imam Ali on this issue:

Jefferson said – “The modern theory for the perpetuation of debt, has drenched the earth with blood, and crushed it’s inhabitants under burdens every (sic) accumulating…”

Imam Ali said: “We withstood the weight of the iron, the stone and the lash, but found the hardest thing to endure was the burden of debt..” circa 650.AD

In 2008 in India, on average, 11 farmers commit suicide every week for the same reasons.

As the correct translation of the Lord’s Prayer makes the solution abundantly clear: “Forgive us our Debts (not trespasses) as we forgive our debtors..

Unfortunately – as predicted – just like the Children of Israel before them the Children of Ishmael have produced the Islamic equivalent to the Kosher Pork Chop – the Halal Kinzir.

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