Mitigation of money laundering risk in Malaysia: a Maqasid al-Shari‘Ah perspective / Muhammad Nazmul Hoque ... [et al.]

Hoque, Muhammad Nazmul and Abdullah, Md. Faruk and Mat Isa, Yusarina and Hasnan, Suhaily and Mohamed, Norhayati (2024) Mitigation of money laundering risk in Malaysia: a Maqasid al-Shari‘Ah perspective / Muhammad Nazmul Hoque ... [et al.]. Asia-Pacific Management Accounting Journal (APMAJ), 19 (3): 7. pp. 165-194. ISSN 2550-1631

Abstract

This study aimed to explore the role of maqasid al-Shari‘ah towards mitigating money laundering risk in Malaysia. This study adopted a qualitative approach to fulfil its objective. The data were collected through document analysis and semi-structured interviews with the experts. This study revealed that money laundering goes against the principles of Shariah as it leads to consuming other’s property illegally and disregarding justice and welfare among the people. Maqasid al-Shari‘ah plays a vital role in preventing money laundering through several ways, which includes the condition of (1) circulation (rawaj) of wealth among people, (2) transparency (wuduh) in transaction, and (3) justice (‘adl) among transacting parties. To mitigate money laundering, maqasid al-Shariah suggests the reporting of suspicious transactions and proper documentation to be practised among bankers. The outcome of this study may help motivate bankers and their clients to be more aware of the role of maqasid al-Shari‘ah in combating money laundering. Moreover, it may help policymakers and financial institutions look for alternative ways to mitigate money laundering risks.

Metadata

Item Type: Article
Creators:
Creators
Email / ID Num.
Hoque, Muhammad Nazmul
UNSPECIFIED
Abdullah, Md. Faruk
farukabdullah77@gmail.com
Mat Isa, Yusarina
yusarina@uitm.edu.my
Hasnan, Suhaily
suhailyhasnan@uitm.edu.my
Mohamed, Norhayati
norha614@uitm.edu.my
Subjects: H Social Sciences > HV Social pathology. Social and public welfare. Criminology
Divisions: Universiti Teknologi MARA, Shah Alam > Accounting Research Institute (ARI)
Journal or Publication Title: Asia-Pacific Management Accounting Journal (APMAJ)
UiTM Journal Collections: Listed > Asia-Pacific Management Accounting Journal (APMAJ)
ISSN: 2550-1631
Volume: 19
Number: 3
Page Range: pp. 165-194
Keywords: Money laundering, Money laundering risk, maqasid al-Shari‘ah, Malaysia
Date: December 2024
URI: https://ir.uitm.edu.my/id/eprint/111193
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