KUALA LUMPUR (Sept 1): Customised building solutions provider Ipmuda Bhd has launched its Shariah-compliant procedures to become the first fully shariah-compliant building materials and solutions trading house in Malaysia.

In a statement today, Ipmuda said with diversified verticals in renewable energy and healthcare sectors, the firm has transformed its trading division to better serve its customers and partners.

Ipmuda said the launch was spearheaded by an in-house Shariah committee formed at the onset of the transformation plan pursuant to its change of shareholding and leadership structure in June 2020.

It said the committee is guided by an appointed Shariah advisor, hence ensuring the proper application of Shariah tenets to the overall trading division.

Ipmuda chief executive officer Jeffri M Yusup said this was a step further for the group, which has been previously affirmed as Shariah-compliant securities by the Shariah Advisory Council of Securities Commission.

“We want to ensure that we better serve our customers, partners and more importantly the communities at large.

“This move will be a competitive advantage that is unique only to Ipmuda,” he said.

Ipmuda said the Shariah-compliant procedures are aimed at promoting socially responsible and ethical business practices via transparent contractual terms and obligations, avoiding hidden caveats or conditions, particularly in terms of fees or charges.

The group said this move will apply to all its building material products and services under the trading arm, such as tiles, ironmongery, sanitary wares, and interlocking blocking system (IBS), including its in-house brands such as Ortolani, Concord and Duraset.

The group said it will also eliminate any compounding interest and penalty to be imposed on its customers by requiring only charges against actual cost incurred from late payments, in line with the Shariah concept of ta’widh.

Any excess proceeds over and above the actual cost will be channelled to charitable organisations and causes benefitting the communities, particularly in areas relevant to the group such as providing green and stable electricity to remote areas via installation of solar panels and micro hydro turbines.

Additionally, any early payment or settlement would entitle customers for cheaper prices and early rebates under the Shariah concept of Ibra’, further benefiting the customers, it said.

At the midday break today, Ipmuda gained 0.78% or one sen to RM1.29. valuing it at RM130.88 million.