Using an Earnest-Money Deposit for the Mosque

Question

A man made a deal with the mutawalli (trustee) of a mosque for a house that is the property of the mosque, and gave the mutawalli some money in advance as an earnest-money deposit. After that the man was unable to arrange the money, and the mutawalli of the mosque sold that house to someone else. Now, because this man broke his promise, the mutawalli of the mosque will not give him that money. Is it permissible to use that money for the expenses of the mosque or not?

Answer

If for some reason the seller and the buyer cannot complete the sale transaction, returning the deposit is necessary, and keeping it is by no means permissible. Therefore the mutawalli is obliged to return that money to the man; spending such money on the mosque is not permissible either.

Source: Fatawa Mahmudiyya

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