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Lusha wanted to buy shares of a public listed company Noura Bhd and is unsure whether the shares of Noura Bhd is shariah compliant or

Lusha wanted to buy shares of a public listed company Noura Bhd and is unsure whether the shares of Noura Bhd is shariah compliant or not. Lusha has extracted the following information from the latest audited financial reports of the company and is seeking your assistance to do the shariah screening using the approach used by Securities Commission Malaysia. She is not sure that the below presented information are sufficient to do the shariah screening or not and she is also curious to know what she should do if a shariah compliant share she holds is later on is pronounced as non-shariah compliant and seeks your advice on the matter.

a. Noura Bhd is a public listed company

b. The companys principal activity is conventional money lending

c. The company keeps its cash in both a conventional bank and in an Islamic bank. The amount kept in the conventional bank is RM 500,000.

d. The total borrowings of the company using conventional financing is RM 1 million

e. The total asset of the company is RM 3 million

Advise Lusha?

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