Ash-Shaykh Muqbil, rahimahullah, was asked the following question,

Question:

“Two fellow brothers established a partnership to build a house. [However], one of them took a loan from the bank while his companion was unaware, and he didn’t inform his partner about it up until they completed the building. So what is upon his partner [who didn’t know about the loan from the bank until after] and is he sinful?”

Answer:

“I hope that there is no sin upon him since he did not know. Secondly, due to the fact that the sin is only upon the person who is directly involved [in the ribaa act] and Allah’s aid is sought. As for someone who has been trialed with this [type of partnership] while he is not directly involved [in the ribaa act], then the sin is only upon the person who is directly involved. [However], from the angle of wara’ [caution] he should leave off [such a partnership], only from the angle of wara’ [caution]. Oh my brothers there is a difference between wara’ [caution] and prohibition.”

Translated by

AbdulFattaah Bin Uthman
Abu Fajr