The Jabatan Mufti Wilayah Persekutuan (JMWP) has ruled that hibah funds distributed by Lembaga Tabung Haji (TH) during deficit years between 2014 and 2020 are the valid property of depositors. The department stated that depositors were unaware of the institution's internal financial reality during that period.

According to the JMWP, issues regarding account mismanagement, non-compliance with acts, and creative accounting reporting are the responsibility of the management in place at that time, rather than a burden on depositors or the public. The funds received by depositors are not categorized as haram or syubhah property that must be returned because the receipt was based on a hibah contract that fulfilled the requirements of delivery.

The department noted that during that period, the contract between depositors and TH was Wadi'ah Yad Dhamanah (guaranteed savings), where TH was considered to be borrowing money from depositors for investment purposes and other uses. Under this arrangement, TH could not promise profits; instead, returns were given to depositors as voluntary hibah.

“Failure to comply with accounting standards or violations of the law by the management does not invalidate the legitimacy of the hibah gift contract under Shariah,”

The JMWP also confirmed that any pilgrims who performed the Hajj pilgrimage using hibah funds during that period have a valid pilgrimage that remains unaffected.

The JMWP described TH's transition to a Wakalah contract in December 2019 as an appropriate action. Under this model, the institution acts as an investment agent with returns distributed based on actual net investment profits rather than voluntary hibah. This change ensures that if there is no profit or a deficit occurs in the future, TH automatically cannot distribute any returns, which the department stated closes space for imprudent practices and increases transparency.