Toxic Propaganda from the Financial Jihadists on Shariah Finance
By Christopher W. Holton Periodically we see articles and marketing pieces come out promoting Shariah-compliant finance as somehow more “ethical” than conventional finance. In fact, Shariah finance is often promoted as the ethical substitute to conventional finance and promoters of Shariah finance, notably Sheikh Youssef De Lorenzo, who has written that Shariah finance should be […]
Trouble is once again brewing in the market for Shariah-compliant bonds, known as sukuk. In fact, the trouble is coming from the same entity that crashed the sukuk market about 4 years ago: the UAE’s Nakheel, which defaulted on a sukuk payment back in 2009. Note that the financial jihadis are trying to blame it […]
UAE-based real estate developer Nakheel launched a new luxury project on the Palm Jumeirah yesterday, its first major residential development since completing a massive restructuring process. Nakheel, which also said it plans to issue the second tranche of its Dh4.8 billion sukuk by the end of April, has appointed Dubai Civil Engineering as the main […]
Nakheel has returned to the scene of the crime so to speak. As we have reported previously, the Dubai-based real estate company, which defaulted on a massive sukuk (Islamic bond) in 2009, is issuing a new sukuk now. Not surprisingly, investors are very skeptical; the brand new “bond” is already trading at a discount to […]
Some REALLY Bad Ideas on How to Solve America’s Debt Problems
Not surprisingly, the financial jihadists are promoting Shariah as the solution to America’s debt problems. We’ve seen this before. Back in 2008, in the wake of the subprime mortgage debacle and near-financial meltdown, the financial jihadists insisted that Shariah-compliant finance would have avoided the whole mess. Then, in 2009, defaulting on sukuk (Islamic bonds) just […]
Nakheel properties is pushing ahead with plans to issue Dh4.8 billion sukuk (Islamic bonds) on schedule this month after securing approval for its debt restructuring by all lenders. Quoting an unnamed senior source in Nakheel, the Sharjah-based Arabic language daily Alkhaleej said sukuk would be issued and managed by the German Deutsche Bank. Nakheel, the […]
Returning to the Scene of the Crime: Nakheel settling claims
Back in 2009, the Dubai real estate entity Nakheel was the biggest in a rash of defaults on Islamic bonds (also known as sukuk). Nakheel is still working to settle the claims of creditors two years later and wants to issue yet another sukuk as part of a settlement. And to top it all off, […]
Sukuk defaulter Nakheel to issue new sukuk
Dubai property developer Nakheel, whose mammoth default on Sukuk payments two years ago stung creditors around the globe, illustrating an overall high default rate in the sukuk category, is now coming back for more. Of course, Nakheel claims that all is well now. The sukuk issue is expected in this quarter. Details as they become […]
Nakheel PJSC, the developer of palm- shaped islands off Dubai’s coast, is in preliminary talks with Nasdaq Dubai to list Islamic bonds. Nakheel was the debtor involved in the multi-billion dollar Dubai World Sukuk debacle in late 2009 in which creditors were asked to “stand still” and extend maturities on Islamic bonds (Sukuk). The Dubai […]
Nakheel PJSC’s proposed sukuk to settle trade creditor claims is estimated to have a fair value in the low 60 cents to the dollar, JPMorgan Chase & Co. said. The property company, controlled by state-owned Dubai World, will be able to make almost all coupon payments on the five-year Islamic bonds although “we are less […]
Civil law and Shariah continue to butt up against each other, this time in Malaysia, where lawyers, bankers and Shariah scholars have had to assess the Shariah Finance industry where Sukuk holders rank in priority of payment when default occurs. A near-default in December of the dollar-denominated Sukuk from Dubai property developer Nakheel created fears […]
The total debt of cash-strapped Dubai could be as much as 170 billion dollars, much higher than earlier reported, according to a report by EFG-Hermes regional investment bank. This could result in a default from real estate property firm Nakheel on $4.1 billion in sukuk (Islamic bonds). http://uk.biz.yahoo.com/19012010/323/photo/property-giant-nakheel-default-4-1-billion-dollars-islamic-bonds.html? http://www.google.com/hostednews/afp/article/ALeqM5iD24lBQsNXlQXMjk51XSkF3WTdtA
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