Jurisprudence and existing banking laws viewpoint on allocating resources in Iranian banks

Subject Areas : فصلنامه مطالعات میان رشته ای فقه

Reza Azad andish ¹ , Abbas Ali Heidari ² , Mahmoud Qayyumzadeh ³

1 - PhD Student in Jurisprudence and Fundamentals of Islamic Law, Khomein Branch, Islamic Azad University, Khomein, Iran
2 - Assistant Professor, Department of Jurisprudence and Fundamentals of Law (Guest), Khomein Branch, Islamic Azad University, Khomein, Iran.
3 - Professor, Department of Jurisprudence and Education, Saveh Branch, Islamic Azad University, Saveh, Iran.

Received: 2022-05-07 Accepted : 2022-07-27 Published : 2023-03-21

Keywords: Resource allocation, Banking, Banking Jurisprudence,

Abstract :

This study attempted to investigate the allocation of resources in Iranian banks from the perspective of Islamic jurisprudence and existing banking laws through a descriptive and analytical method by referring to the relevant reference books and taking notes from the relevant articles and dissertations.The findings of the study indicate that the mere approval of the law on usury (interest)-free banking operations (approved in 1983) in Iran and its approval by the Guardian Council is not tantamount to the approval of Islamic jurisprudence of the establishment of usury (interest)-free banking system in Iran, but the establishment of such a system in the operational sectors, especially in the sector providing facilities in the country's banks, requires the compliance of the banking system with Islamic jurisprudence and jurisprudential rules.The author concludes that there are jurisprudential and legal problems in the current process of applying the law on usury (interest)-free banking operations to contracts and facility agreements of banks, which in practice guides the course of the country's banking system to what is used in usurious banking. Further, the harms such as usury, tricks of usury, colorable transaction, fictitious contracts, lack of supervision of banks on correct use of facilities and lack of knowledge and information of the customers and even many officials and employees of banks about banking contracts, etc., prevent the application of the aforementioned law to the country's banking operations and establishment of optimal methods of allocation and distribution of bank resources at various levels of society and economic prosperity. Accordingly, the author, inspired by the idees of the experts of banking jurisprudence, has sought to eliminate the listed harms by proposing the compliance of existing contracts with jurisprudential rules and the use of new contracts by the banks for resource allocation.