Shari'a Issues in Gold trading and Related Fraud Programs

Abstract

Gold trading is a common and important trade in most societies. Recently, many gold-related projects and transactions have emerged in Malaysia, but they are subject of controversy and most of which are not free of usury. Although some types of usury are not detailed in the Holy Quran, there are many Hadiths that explain how riba occurs in the trade of riba-based elements, including gold. Hence, this study will discuss the issue of usury arising from the gold trade and other related fraud programs. The research followed the descriptive and inductive method, tracing the cases and practices that are being implemented in the gold transactions, analysing them, and explaining their legal basis, departing from the legal Islamic texts and the evidences related to this section, in addition to the statement of tricks practiced in the gold trade by fraudsters, the models used in their programs, With their shariah rulings. The research found that most of the frauds in the gold trade involve delay and deferment of delivery and purchase without receipt, and all fraud schemes in the gold trade are not free of usury.