Q. Is it permissible to sell bonds destined for collecting people’s charitable donations with the intention of making a draw at a later date, then some of the money collected would be distributed among the participants as gifts and the remaining proceeds are dedicated to projects of public benefit?
A: Naming this work as “selling” is incorrect. However, there is no harm in distributing these bonds in the avenues that serve charitable causes. It is permissible to encourage potential donors by promising them prizes by way of a draw provided that people obtain these bonds with the intention of taking part in charitable causes.