GLOBAL: A US court decision to dismiss a case which alleged global insurance firm AIG’s Shariah compliant businesses promoted religious doctrine, will boost confidence in the industry and lift sales of Islamic products in the longer term, say lawyers.
Megat Hizaini Hassan, head of Islamic finance at Malaysian law firm Lee Hishammuddin Allen & Gledhill said the decision debunks the myth that Islamic finance is unacceptable, and once the US financial services industry realizes this, there should be no major legal issues.
However, Isam Salah, partner at law firm King & Spalding in New York said, “while the case may help the industry, we expect to see more of these kinds of cases, as we see a multi-pronged effort to combat all things Islamic in the US.”
(More in IFN Report on page 9)