Al Aqsa Foundation’s Islamic accounts suspended (By IFN)

Al Aqsa Foundation’s Islamic accounts suspended

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SOUTH AFRICA: Al Aqsa Foundation, a charity registered under the South African government’s Department of Social Development, has had two of its accounts with Islamic bank Al Baraka Bank (South Africa) and First National Bank (FNB) suspended; with unofficial reports citing pressure from the US government as the main reason behind the accounts’ closure. In a statement the CEO of FNB Commercial Banking, Michael Vacy-Lyle, said: “It has come to the bank’s attention that the foundation is expressly listed by the US Department of Treasury, Office of Foreign Assets Control (OFAC) and other international sanctions lists. The international financial community imposes stringent obligations in respect of the maintenance of banking relationships with the entities listed by OFAC, and the decision by FNB to terminate its relationship with the foundation is a consequence of this fact alone.” Following the suspension of the account by FNB Bank - which also has a Shariah compliant unit, FNB Islamic Finance - South African-based Al Baraka Bank has also ceased to provide banking facilities to the foundation. Although the bank has not provided an official statement on the account’s closure, a banker commented: “If banks want to do business in the US then they have to comply with the regulations.” According to Al Aqsa’s website, the foundation is actively involved in providing monetary aid to the Palestinian cause, including the funding of a water desalination plant in Gaza and the maintenance of the Al Aqsa mosque; one of the most historically significant sites in the Muslim religion.