What is the ruling on a business, half of which is from ill-gotten gains and the other half from lawful money, knowing that the one who earned the ill-gotten money is the brother, and the ill-gotten money has been reclaimed by settling debts or spending it? Is it permissible to give charity and zakat from it and spend on the family?

Unlawful wealth is of two types:

First: That which is taken without the owner's consent, such as stolen or usurped property. It is not permissible to deal with its thief or usurper, and whoever has dealt with them must repent and return the money to its owner.

Second: That which is taken with the owner's consent but in an unlawful manner, such as usury (riba) and gambling (maysir). It is not permissible to deal with the one who acquired it in this way, and he must dispose of it by spending it on general Muslim interests or on the poor.

If the unlawful wealth is dealt with as described above, then that is the prescribed course of action. Any profits resulting from it are permissible for whoever invested it in permissible ways.