Towards a sustainable link: an integrated framework for dispute resolution in the Islamic finance industry in Malaysia

As part of the transformation programme of the Malaysian government to make the country a sustainable global hub for Islamic finance, the necessary legal and regulatory frameworks need to be scaled up to meet the challenges of the time. While the regulatory authorities, such as Bank Negara Malaysia...

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Main Author:	Oseni, Umar Aimhanosi
Format:	Conference or Workshop Item
Language:	English English
Published:	2014
Subjects:	HG Finance KBP Islamic Law
Online Access:	http://irep.iium.edu.my/38302/ http://irep.iium.edu.my/38302/ http://irep.iium.edu.my/38302/11/20140919093201085.pdf http://irep.iium.edu.my/38302/13/Oseni_ASLI.pdf

id	iium-38302
recordtype	eprints
spelling	iium-383022015-01-09T02:34:08Z http://irep.iium.edu.my/38302/ Towards a sustainable link: an integrated framework for dispute resolution in the Islamic finance industry in Malaysia Oseni, Umar Aimhanosi HG Finance KBP Islamic Law As part of the transformation programme of the Malaysian government to make the country a sustainable global hub for Islamic finance, the necessary legal and regulatory frameworks need to be scaled up to meet the challenges of the time. While the regulatory authorities, such as Bank Negara Malaysia, have constantly introduced unprecedented reforms that are worth emulating in other jurisdictions, the challenge of adequate access to justice still lingers on despite the current diverse options available to the parties in Islamic banking transactions. This paper explores the feasibility of creating a link across the existing frameworks for dispute resolution, including mediation and arbitration institutions with a view to providing easy access to consumers. Though the legal framework for Islamic finance in Malaysia has undergone series of reforms, the continued preference for litigation in Islamic finance contracts is not sustainable in the long run. Therefore, it is argued that since most Islamic financial institutions in Malaysia are more likely to use litigation for breaches of contract and defaults on the part of the customers, such attitude has relegated other sustainable processes of dispute resolution to the background and made them irrelevant in the Islamic finance industry. The findings of the research are expected to influence legal and regulatory reforms in the dispute resolution sector of the Islamic finance industry in Malaysia, particularly the new framework for financial ombudsman scheme introduced by the Islamic Financial Services Act 2013. 2014 Conference or Workshop Item PeerReviewed application/pdf en http://irep.iium.edu.my/38302/11/20140919093201085.pdf application/pdf en http://irep.iium.edu.my/38302/13/Oseni_ASLI.pdf Oseni, Umar Aimhanosi (2014) Towards a sustainable link: an integrated framework for dispute resolution in the Islamic finance industry in Malaysia. In: 11th ASLI Conference 2014: Law in Asia: Balancing Tradition and Modernization, 29th-30th May 2014, Kuala Lumpur. (Unpublished) http://law.nus.edu.sg/asli/11th_asli_conf/panels.html
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English English
topic	HG Finance KBP Islamic Law
spellingShingle	HG Finance KBP Islamic Law Oseni, Umar Aimhanosi Towards a sustainable link: an integrated framework for dispute resolution in the Islamic finance industry in Malaysia
description	As part of the transformation programme of the Malaysian government to make the country a sustainable global hub for Islamic finance, the necessary legal and regulatory frameworks need to be scaled up to meet the challenges of the time. While the regulatory authorities, such as Bank Negara Malaysia, have constantly introduced unprecedented reforms that are worth emulating in other jurisdictions, the challenge of adequate access to justice still lingers on despite the current diverse options available to the parties in Islamic banking transactions. This paper explores the feasibility of creating a link across the existing frameworks for dispute resolution, including mediation and arbitration institutions with a view to providing easy access to consumers. Though the legal framework for Islamic finance in Malaysia has undergone series of reforms, the continued preference for litigation in Islamic finance contracts is not sustainable in the long run. Therefore, it is argued that since most Islamic financial institutions in Malaysia are more likely to use litigation for breaches of contract and defaults on the part of the customers, such attitude has relegated other sustainable processes of dispute resolution to the background and made them irrelevant in the Islamic finance industry. The findings of the research are expected to influence legal and regulatory reforms in the dispute resolution sector of the Islamic finance industry in Malaysia, particularly the new framework for financial ombudsman scheme introduced by the Islamic Financial Services Act 2013.
format	Conference or Workshop Item
author	Oseni, Umar Aimhanosi
author_facet	Oseni, Umar Aimhanosi
author_sort	Oseni, Umar Aimhanosi
title	Towards a sustainable link: an integrated framework for dispute resolution in the Islamic finance industry in Malaysia
title_short	Towards a sustainable link: an integrated framework for dispute resolution in the Islamic finance industry in Malaysia
title_full	Towards a sustainable link: an integrated framework for dispute resolution in the Islamic finance industry in Malaysia
title_fullStr	Towards a sustainable link: an integrated framework for dispute resolution in the Islamic finance industry in Malaysia
title_full_unstemmed	Towards a sustainable link: an integrated framework for dispute resolution in the Islamic finance industry in Malaysia
title_sort	towards a sustainable link: an integrated framework for dispute resolution in the islamic finance industry in malaysia
publishDate	2014
url	http://irep.iium.edu.my/38302/ http://irep.iium.edu.my/38302/ http://irep.iium.edu.my/38302/11/20140919093201085.pdf http://irep.iium.edu.my/38302/13/Oseni_ASLI.pdf
first_indexed	2023-09-18T20:55:01Z
last_indexed	2023-09-18T20:55:01Z
_version_	1777410245942837248

Towards a sustainable link: an integrated framework for dispute resolution in the Islamic finance industry in Malaysia

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