Second, Islamic Finance does not allow undertaking or financing the antisocial and unethical businesses such as gambling, prostitution, alcoholic liquor, nightclubs and narcotics. These are the main channels used for money laundering, terrorism financing and organized crimes, etc. Islamic banks are prohibited from opening accounts or provide financing to persons or institutions involved in such activities.
The result was the near collapse of the company after suffering billions of dollars in losses, which a stronger risk management framework might have helped to prevent. The third, and final issue which I would like to discuss this evening concerns compensation practices.