Repaying a debt with unlawful wealth

Question

Question: Zayd deposited one hundred rupees of unlawful wealth with ‘Umar for safekeeping (amana); then Zayd borrowed one hundred rupees from ‘Umar. After taking the loan, Zayd said to ‘Amr: “Set off our sum that is with you in trust against your loan.” In such a case, will this not affect the lawfulness (hill) of the sum that ‘Amr gave Zayd as a loan?

Answer

The sum that ‘Amr gave Zayd as a loan is halal; however, it is not right to set off and take, in repayment of this loan, the sum that Zayd deposited with ‘Umar in trust from unlawful wealth.

Source: Fatawa Mahmudiyya

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