What is the ruling of the Sharia concerning money acquired by a person from selling materials owned by a public entity, with the permission of the official in charge of it, and then he repented and wants to know how to deal with this money after he used it for building and purchasing, and only a very small amount of it remains?

The question comprises three points:

1. Taking from public funds unjustly: This is forbidden by Islamic law, and its perpetrator is threatened with hellfire on the Day of Judgment. The permission of an official does not legitimize taking unless that official is authorized to do so. The theft of public funds by others does not justify such an action.

2. How to dispose of unlawful money taken from the state: It must be returned to the state treasury if the state is just in its dealings. Otherwise, it should be spent on public welfare for Muslims (such as mosques and roads), or given as charity to the poor who are not financially dependent on the individual. This task should ideally be handled by an upright judge or a knowledgeable religious scholar. If not, the person himself should undertake it.

3. The ruling on profits generated from investing money taken unjustly: Scholars hold two opinions: The first (Hanafis and Hanbalis): The profit follows the principal, and both must be disposed of. The second (Malikis and Shafi'is): The profit is a consequence of the effort expended and belongs to the taker, and only the principal must be disposed of. This latter opinion is closer to correctness. If the person is unable to absolve himself, the debt remains his responsibility until he can.