Page 166 - Bank-Muamalat-AR2020

164 BANK MUAMALAT MALAYSIA BERHAD About Us Our Leadership Our Strategy
ANNUAL REPORT FY2020

RepoRt of the ShaRiah Committee

In the name of Allah, The Most Beneficent, The Most Merciful
In compliance with the letter of appointment, we are required to submit the following report:

We have reviewed the principles and the contracts relating to the transactions and applications introduced by the Bank during the
year ended 31 December 2020. We have also conducted our review to form an opinion as to whether the Bank has complied with the
Shariah principles and with the Shariah rulings issued by the Shariah Advisory Council of Bank Negara Malaysia, as well as Shariah
decisions made by us.
The Management of the Bank is primarily responsible to ensure that the Bank conducts its business in accordance with Shariah
principles. It is our responsibility to form an independent opinion, based on our review of the operations of the Bank and to report
to you.
We planned and performed our review by obtaining all the information and explanations which we considered necessary in order to
provide us with sufficient evidence to give reasonable assurance that the Bank has not violated the Shariah principles and to rectify
to our reasonable satisfaction the matters that required improvements toward Shariah compliance.
To the best of our knowledge based on the information provided to us and discussions and decisions transpired and made in the
meetings of or attended by the Shariah Committee of the Bank as have been detailed out in the relevant minutes of meetings and
taking into account the advices and opinions given by the relevant experts, bodies and authorities, we are of the opinion that:

(a) the contracts, transactions and dealings entered into by the Bank during the year ended 31 December 2020 that we have reviewed
are in compliance with the Shariah principles;

(b) the allocation of profit and charging of losses relating to investment accounts conform to the basis that had been approved by
us in accordance with Shariah principles;
(c) all earnings that have been realised from sources or by means prohibited by the Shariah principles have been identified and
excluded from the Bank’s income and were disposed for charitable causes as disclosed in Note 52; and
(d) the financial statements of the Bank for the year ended 31 December 2020 together with the calculation of zakat disclosed to us
are in compliance with Shariah principles.

We, the members of the Shariah Committee of Bank Muamalat Malaysia Berhad, to the best of our knowledge, do hereby confirm
that the overall operations, business, affairs and activities of the Bank for the year ended 31 December 2020 are in compliance with
Shariah principles but it has come to the Shariah Committee’s attention that two (2) Shariah non-compliance events has occurred and
has been rectified, detail as follows:

(i) One incident of zakat payment made to a different state zakat authority which was not as per the instruction in the Service
Request Form (SRF).
(ii) Sponsorship granted to Shariah non-compliance event not as per the guideline approved by Shariah Committee of Bank
Muamalat Malaysia Berhad.