What Should I Do if I Received Prize Money by Mistake?

Answered by Mawlana Ilyas Patel

Question

In 2017, I entered a student essay and speech contest. Although only students from certain universities were eligible, I entered without hiding my college name. I was shortlisted and won 200000 INR, feeling lucky and unaware it might be wrong.

Now, I worry because the rules don’t specify that students are responsible for eligibility. Was it their duty to check, or was I wrong? If so, how can I fix this without losing face?

Answer

In the Name of Allah, the Most Merciful and Compassionate.

It was impermissible for you to receive the prize money because you misrepresented the eligibility criteria, even though they should have checked and disqualified you. The prize money must be returned.

This will not be considered full deception, as they should also be aware, but it is nonetheless deception from your side, as you were aware. You should now try to return it to the organizers bit by bit, or to the college without letting them know, as a general donation.

Abu Hurayra (Allah be pleased with him) reports that the Messenger of Allah (Allah bless him and give him peace) passed by a man selling food. He put his hand in it and saw that something was wrong. The Messenger of Allah (Allah bless him and give him peace) said, “He is not one of us who cheats.” [Ibn Majah]

Disbursing Unlawful Income

The general rule that applies to any form of unlawful funds is as follows:

Where the rightful owner is known, it must be returned to them.

Where the rightful owner is not known [or if they refuse], the funds must be disposed of in one of two ways:

a) It must either be given towards a charitable cause that benefits the public at large, such as public hospitals, schools, or mosques

b) or it should be given in charity to a person who is entitled by his need to receive charity. [Karaan, Disposal of Riba (Fatwa issued by the MJC)]

Money Has to be Returned to its Original Owner

As a principle, money is always returned to its original owner. [Taqi Usmani, Fiqh al-Buyu’]

Take this as an opportunity to clear matters and move forward. Do it gradually and anonymously, as long as you have the intention to repay, even if it takes time. Islam values honesty, and Allah’s mercy is greater than our shortcomings.

And Allah knows best.

[Mawlana] Ilyas Patel
Checked and Approved by Shaykh Faraz Rabbani

Related Answers

• Disposing Unlawful Funds -The rule for unlawful funds is: 1. Return to the rightful owner if known. 2. If unknown or refused, dispose of funds either by donating to public charities like hospitals, schools, or mosques, or give to someone in need as charity.
• Do I Have to Return Money Donated Based on a Lie? -You must return the money to its original owner.

Mawlana Ilyas Patel has received traditional education in various countries. He started his schooling in the UK and completed his hifz of the Quran in India. After that, he joined an Islamic seminary in the UK, where he studied secular and Aalimiyya sciences. Later, he traveled to Karachi, Pakistan, and other Middle Eastern countries to further his education. Mawlana has served as an Imam in the Republic of Ireland for several years and taught the Quran and other Islamic sciences to both children and adults. He also worked as a teacher and librarian at a local Islamic seminary in the UK for 12 years. Presently, he lives in the UK with his wife and is interested in books and gardening.