Transactions & Dealings >> Other Transactions

Question # : 53032

India

We are some friends started an NGO. Since NGO is a not for profit hence, we have some questions in this regard:
(1) Government offers many schemes to the NGO for the working on various social works, can the member of the NGO is entitled to have any profit as wages on the working of these schemes? (as they are working for these schemes).
(2) Is it allowed to use a part of amount of one any govt scheme to the other work of the NGO.
(3) If the NGO established any school or hospital by the fund of the govt or by the foreign fund, then a profit will generate from this institution. From the amount of this profit, can the member of the NGO take a profit for the working on this?

Answer : 53032

Published on: Jul 24, 2014

بسم الله الرحمن الرحيم


(Fatwa: 1208/1193/N=09/1435)

(1) The members of an NGO cannot take their remuneration from the amounts which an NGO receives from the government under various schemes. As per the government rule they are working voluntarily without salary; hence it is not lawful for the NGO members to take their compensation from this amount without the permission of the government.
(2) No, it is embezzlement and haram. The amount should be spent in the same head for which it is meant.
(3) In this case if it is not against the law to take remuneration from the income of hospital etc for the members then they may take compensation in the name of management and care of the hospital, otherwise not.

Allah knows Best!


Darul Ifta,
Darul Uloom Deoband

Related Question