Unethical Nature Of Principal-Secured Financing
Both the statements are inferrence of Fuqaha, not a Nass. To share profit and loss, and to share profit only with principal amount secured and ensured, both are ethical sound. The objection arises when there is something unethical. Ghamidi saheb find it ethical and it is ethical to do business with the condition that the principal amount will be secured and ensured. In this era when the investor in many instances are not directly involved in the business and they do not know what is happening in the business, this principle, as indicated by Ghamidi saheb is a way to secure them from loss of their principal amount. The investor will not demand profit in case of loss in the business but deserve to have his principal amount back.