Pharmed Pharmaceuticals is a wholesale medical company owned by Muslims.

Answer

Although the company may be owned by Muslims, they are not claiming to be in compliance with the Shariah as the so-called 'Islamic' banks contend. Pharmed is quite honest in stating that they do not abide by the Shariah, and that they do deal in haraam interest. In response to our enquiry, Pharmed wrote:

"We wish to advise that our company is a public company, registered in South Africa and operates in accordance with the laws of the country.

Our shareholders are made up of individuals, trusts and entities represented by persons from various faiths and denominations.

The company does not have an identity that is connected to any faith group. The affairs of the company are not necessarily shariah compliant."

This information clarifies the position of Pharmed. They come within the full glare of the Qur'aanic aayat: "O People of Imaan! Fear Allah and shun that which remains of riba if indeed you are Mu'mineen. If you do not desist (from riba), then take notice of war from Allah and His Rasool." Since the company is at war with Allah and His Rasool, it is haraam to invest with them. The dividends are haraam.