Mashreq Bank, Dubai – their reputation leaves much to be desired for due to their bad financial practices…

Once Mr. Thomas Jefferson, the third president of USA stated in one of his letter to a senator that “banking institutions are more dangerous than the armies ready for combat”. But after almost 200 years, his statement and thought seem to be prophetic and applicable for the UAE based financial institution MASHREQ BANK, as their unethical practices left a controversial and remarkable precedent.

“Evolution of the Arab World”, a recently published journal studied by the Spanish Institute for Strategic Studies, six out of ten citizens distrust the financial entities or grant them ‘zero credibility’. According to the study, 50 percent of the Emiratis think that big banks are dishonest whereas 45 percent believe them to be utterly inadequate. Greed, illegalities and incompetence of managers such as Ahmed Bilal Sheikh of Mashreq Bank, Sharjah branch office, further disfavor the already sloping credibility of the banking sector of UAE.

Islamic Banking is such an activity that complies with Sharia (Islamic Law) and it is applied directly to the development of Islamic economy. Though for foreign business entrepreneurs, entrusting a bank such as Mashreq Bank with the management and investing of funds, can turn into a big misstake as well as a huge disapointment. For one particular client after having entrusted Mashreq Bank and the bank manager Ahmed Bilal Sheikh with a very large sum of money, the experience quickly turned sour and very costly the moment the bank manager Ahmed caught the opportunity to capitalize for his own benefit from a financial situation in which the client had been cornered by the bank. That is the reason a proper investigation should be done by Mashreq Bank or the Sharia committee of the bank against the irregularities committed by the scoundrel Ahmed Bilal Sheikh immediately.

Though earlier investment in businesses that provide goods or services considered contrary to Islamic principle, in the modern era, sharia-based criminal laws have been widely replaced by statutes inspired by European models. According to the Islamic economic and financial model, described in the doctoral thesis “Aspects of Islamic Finance” by Najia Lotfi, one of its objectives is to manage the resources given to us by Allah, in the best possible way. Therefore, as the chief responsibility to please Allah, the owners or directors of any Islamic financial institution, such as the Mashreq Bank, have to take required actions by managing correctly, responsibly and legitimately the resources provided to us by Allah, the Creator of the Universe.

Therefore, Ahmed Bilal Sheikh, vice president of the business banking and relations manager of Mashreq Bank, Sharjah branch, has ‘betrayed’ the essential elements of all the operations of the Islamic banking institutions. By deceiving and prejudicing clients. He must be held accountable for his management to the board members, the President Ahmed Yousef and the CEO Abdul Aziz Abdullah Al-Ghurair.