In the financial compliance world, debt repayment doesn't usually attract much in the way of negative attention. But in the context of other red flags, sudden debt reimbursement can signal that a client is following a little-known stricture for Islamic soldiers who may soon die in battle. The canonical text-part of a collection of anecdotal accounts of the life of the prophet Muhammad, known as hadith-states that martyrs "who always fought facing the enemy" will be forgiven of all their sins in life but debt. Islamic scholars have attributed the Sunni account to the writings of Muslim ibn al-Hajjaj, a...
U.S. efforts to disrupt Islamic State funding will focus on blacklisting its leadership, penalizing entities that help the group reap illegal profits and identifying co-opted bankers in Iraq and Syria.
Banks will find it difficult to identify the proceeds of illicit crude oil sales linked to Islamic State, the blacklisted terrorist organization now controlling a handful of Iraqi and Syrian oil fields.
An Islamic charity told by HSBC that its account would be closed in two months is considering fighting the British multinational bank's decision in court, but analysts say it will be difficult for it to win under U.K. law..
For bank compliance staff, the news might sound alarming: U.S. officials have questioned the British government over whether Islamic banking institutions have played loose with counterterrorism financing controls.
A dedicated group of intelligence consultants are sounding the alarm over the growth of Islamic banking and its potential nexus to radical Islamic and terrorist causes, even as many in the banking industry dismiss their concerns as overstated.