Towards Good Accountability: The Role of Accounting in Islamic Religious Organisations
Non-profit organizations, especially religious-based
institutions, have long played a very important role in society.
Nevertheless, scandals such as inefficient management and the use of
unlawful fundraising activities have raised questions regarding the
governance and accountability of these organizations. As such, the
issues have attracted considerable research interest. However, there is
still limited research on accountability in religious based
organizations, especially in the context of Islamic religious
organizations. Hence, the purpose of this paper is to discuss the
issues of accounting and accountability in religious organizations,
specifically in Islamic religious establishments. The paper starts by
looking at the conventional meaning and concept of accountability.
This is followed by a discussion of the principles of accountability
within the Islamic framework. In so doing, the history of the role of
accounting within Muslim society and also the differences between
the Islamic and conventional view of accountability are reviewed.
Insights gained from previous research on accountability in faith
based organizations are also discussed
[1] Berger, Julia (2003) Religious Non-Governmental Organizations: An
Exploratory Analysis, International Society for Third-Sector Research
and the Johns Hopkins University
[2] Alterman, Jom B, Hunter, Shiren and Philips, Ann L (2005) The Idea
and Practice of Philanthropy in the Muslim World, The Muslim World
Series, PN-ADD-444, pp. 13-26.
[3] Bremer, Jennifer (2004) Islamic Philanthropy: Receiving Traditional
Forms for Building Social Justice, CSID Fifth Annual Conference,
Washington.
[4] Directorate of Religious Education and Pondok Pesantren, Department
of Religious Affair(2005) The Dynamics of Pondok Pesantren in
Indonesia
[5] The Department of Religious Affairs, Banda Aceh, Indonesia.
[6] Siino, Rosanne M (2004) Playing Loose with God-s Money, Stanford
Social Innovation Review, 2(1), pp.14-15
[7] Carmona, S. and Ezzamel, M. (2006) Accounting and Religion: A
Historical Perspective, Accounting History,11(2); pg. 117-127.
[8] Keating, Elizabeth K and Frumkin, Peter (2001) How to Access Non
Profit Financial Performance, Kellogg Graduate School of Management,
Northwestern University.
[9] Hamilton, Marci (2006) "Religion, Public Funds, and Accountability:
President Bush-s White House Office of Faith-based And Community
Initiatives", Find Law Resources, file://F:\phd\findLaw-sWrit-Hamilton
Religion, public fund, And Accountability.htm
[10] Hall, Peter Dobkin (2002 Accountability) in Faith-Based Organizations
and the Future of Charitable Choice, Houser Centre for Non Profit
Organizations, John F. Kennedy School of Government, Harvard
University.
[11] Serambi Indonesia 4 September 2008 ,hp// www. Serambinews.com
[12] Keans, Kevin P(1994) The Strategic Management of Accountability in
Non Profit Organizations: An Analytical Frame Work, Public
Administration Review, 54(2), pp. 185-192.
[13] Walker, Peter, (2002) Understanding Accountability: Theoretical
Models and Their Implications for Social Service Organizations, Social
Policy and Administration, 36(1), pp. 62-75.
[14] Coy David and Pratt Michael (1998) An insight into accountability and
politics in universities: a case study, Accounting, Auditing and
Accountability Journal, 11(5), pp540-561.
[15] Goddard, Andrew (2004)"Budgetary Practices and Accountability
habitus, Accounting, Auditing and Accountability Journal, 17(4), pp. 17
(4), pp.543-577.
[16] Demirag, Isterni, Dubnick, Melvin and Igbal M, Khadaroo (2004) A
Framework for Examining Accountability and Value for Money in the
UK-s Private Finance Initiative, Queen-s University, UK.
[17] Laughlin RC (1990), A model of Financial Accountability and the
Church of England, Financial Accountability and Management, 6 (2),
pp93-114
[18] Cordery, C., J. and Morley, Rachel., F. (2005) Hegemony, Stakeholder
salience and the construction of accountability in the charity sector,
School of Accounting and Commercial Law, Working Paper No. 5,
School of Accounting and Commercial law, Victoria University of
Wellington, Wellington, New Zealand.
[19] Roberts J., and Scapens R. (1985) Accounting Systems and System of
Accountability-Understanding Accounting Practices In Their
Organizational Contexts, Accounting Organization and Society,.10(4),
pp. 443-456.
[20] Booth, Peter (1993) Accounting in Churches: A Research Framework
and Agenda, Accounting, Auditing & Accountability, 6 ( 4). pp. 37-67
[21] Laughlin, R.C.(1988) Accounting in its Social Context: An Analysis of
the Accounting Systems of the Church of England, Accounting,
Auditing & Accountability Journal, 1(2), pp 19-42.
[22] Irvine, Helen (2005) Balancing Money and Mission in the Local
churches Budget, Accounting, Auditing, and Accountability Journal,
18( 2), pp 211-237
[23] Jacobs, Kerry (2005) The Sacred and the secular: examining the role of
accounting in the religious context, Accounting, Auditing,
Accountability Journal, 18(2), pp.189-210.
[24] Jacobs, Kerry and Walker, Stephen P(2004 Accounting and
Accountability in the Iona Community, Accounting, Auditing and
Accountability Journal, 17(3), pp. 361-381
[25] Zaid, Omar Abdullah (2000), The appointment qualifications of Muslim
accountants in the Middle Ages, Accounting Education 9 (4) pp.329-342
[26] Pomeranz, Felix (2004) Ethics: toward globalization, Managerial
Auditing Jurnal,19(1), pp. 8-14.
[27] Zaid, Omar Abdullah (2004) Accounting Systems and Recording
Procedures in The Early Islamic State, Accounting Historians Journal,
31(2), pp.149-170
[28] Lewis, Mervin K (2001) Islam and Accounting, Feature Article,
Accounting Forum, 25 (2), pp. 103-127.
[29] Murtuza, A. (2003 ) Islamic Antecedents For Financial Accountability,
International Journal of Islam Financial Services 4(1), pp.
[30] Taqi-ud-din al-Hilali, and Muhsin Khan, Muhammad (1984) Translation
of the Meaning of the Nobel Qur-an, King Fahd Conplex for the printing
of Holy Qur-an, Madinah, KSA.
[31] Lewis Mervin K (2006) Accountability and Islam, Fourth International
Conference on Accounting and Finance in Transition, Adelaide,
Australia.
[32] Sulaiman, Maliah (2005) Islamic Corporate Reporting, Between the
Desirable and the Desired, Research Centre, First edition, Published by
Research Centre International Islamic University Malaysia
[33] Napier, Christopher and Maali, Bassam (2007) Twenty Five Years of
Islamic Accounting Research: A Silver Jubilee Review, Paper submitted
to the 5th Asia Pacific Interdisciplinary Perspectives on Accounting
Conference, Auckland.
[34] Asri, Mohamed and Fahmi Mohamed (1997) Contribution of The
Islamic Worldview Towards Corporate Governance,
http://www.iiu.edu.my
[35] Al-Safi, A.K (1992) Accountability: Islam versus the Man-made
Doctrines, Darulfikr, Kuala Lumpur.
[36] Hameed, Shahul (2007) Alternative Disclosure & Performance Measures
for Islamic Banks, International Islamic University Malaysia
[37] Yusuf Ali, Abdullah (2006)The Meaning of the Holly Qur-an, Published
by Islamic Book Trust Kuala Lumpur, Malaysia.
[38] Rahim, Abdul and Goddard, Andrew (2003) Accountability Verstehen:
A Study of Accounting in State Religious Councils in Malaysia,
Discussion Paper in Accounting and Finance, International Islamic
University Malaysia.
[39] Hameed, Shahul (2001) "Islamic Accounting - Accounting for the New
Millennium", Asia Pacific Conference1, International Islamic University
Malaysia.
[40] Hameed, Shahul (2000) Nurtured By ÔÇÿKufr1-:The Western Philosophical
Assumptions Underlying Conventional (Anglo-American)Accounting,
International Journal of Islamic Financial Services,.2 (2), pp.
[41] Kisenyi, Vincent (1999) What (if anything) has Accounting got to do
with the impending Environment Crisis?, Working Papers in
Accounting and Finance, 2 (1), pp. 1-12.
[42] Lee, J. (2004) NGO Accountability: Rights and Responsibilities,
Programme on NGOs and Civil Society, CASIN, Genewa, Switzerland.
[43] Antlōv, H., Ibrahim, R., and Tuijl P. (2005) NGO Governance and
Accountability in Indonesia: Challenges in A Newly Democratizing
Country, pp. 1-18.
[44] Sosis, R. (2005) Does Religious Promote Trust? The Role of Signaling,
Reputation and Punishment, Interdisciplinary Journal of Research on
Religion, 1 (7), pp. 1-30.
[45] Seal, W., and Vincent, P.-J. (1997) Accounting and trust in the enabling
of long-term relations, Accounting, Auditing, and Accountability
Journal, 10 (3), pp. 406-437.G. O. Young, "Synthetic structure of
industrial plastics (Book style with paper title and editor)," in Plastics,
2nd ed. vol. 3, J. Peters, Ed. New York: McGraw-Hill, 1964, pp. 15-64.
[1] Berger, Julia (2003) Religious Non-Governmental Organizations: An
Exploratory Analysis, International Society for Third-Sector Research
and the Johns Hopkins University
[2] Alterman, Jom B, Hunter, Shiren and Philips, Ann L (2005) The Idea
and Practice of Philanthropy in the Muslim World, The Muslim World
Series, PN-ADD-444, pp. 13-26.
[3] Bremer, Jennifer (2004) Islamic Philanthropy: Receiving Traditional
Forms for Building Social Justice, CSID Fifth Annual Conference,
Washington.
[4] Directorate of Religious Education and Pondok Pesantren, Department
of Religious Affair(2005) The Dynamics of Pondok Pesantren in
Indonesia
[5] The Department of Religious Affairs, Banda Aceh, Indonesia.
[6] Siino, Rosanne M (2004) Playing Loose with God-s Money, Stanford
Social Innovation Review, 2(1), pp.14-15
[7] Carmona, S. and Ezzamel, M. (2006) Accounting and Religion: A
Historical Perspective, Accounting History,11(2); pg. 117-127.
[8] Keating, Elizabeth K and Frumkin, Peter (2001) How to Access Non
Profit Financial Performance, Kellogg Graduate School of Management,
Northwestern University.
[9] Hamilton, Marci (2006) "Religion, Public Funds, and Accountability:
President Bush-s White House Office of Faith-based And Community
Initiatives", Find Law Resources, file://F:\phd\findLaw-sWrit-Hamilton
Religion, public fund, And Accountability.htm
[10] Hall, Peter Dobkin (2002 Accountability) in Faith-Based Organizations
and the Future of Charitable Choice, Houser Centre for Non Profit
Organizations, John F. Kennedy School of Government, Harvard
University.
[11] Serambi Indonesia 4 September 2008 ,hp// www. Serambinews.com
[12] Keans, Kevin P(1994) The Strategic Management of Accountability in
Non Profit Organizations: An Analytical Frame Work, Public
Administration Review, 54(2), pp. 185-192.
[13] Walker, Peter, (2002) Understanding Accountability: Theoretical
Models and Their Implications for Social Service Organizations, Social
Policy and Administration, 36(1), pp. 62-75.
[14] Coy David and Pratt Michael (1998) An insight into accountability and
politics in universities: a case study, Accounting, Auditing and
Accountability Journal, 11(5), pp540-561.
[15] Goddard, Andrew (2004)"Budgetary Practices and Accountability
habitus, Accounting, Auditing and Accountability Journal, 17(4), pp. 17
(4), pp.543-577.
[16] Demirag, Isterni, Dubnick, Melvin and Igbal M, Khadaroo (2004) A
Framework for Examining Accountability and Value for Money in the
UK-s Private Finance Initiative, Queen-s University, UK.
[17] Laughlin RC (1990), A model of Financial Accountability and the
Church of England, Financial Accountability and Management, 6 (2),
pp93-114
[18] Cordery, C., J. and Morley, Rachel., F. (2005) Hegemony, Stakeholder
salience and the construction of accountability in the charity sector,
School of Accounting and Commercial Law, Working Paper No. 5,
School of Accounting and Commercial law, Victoria University of
Wellington, Wellington, New Zealand.
[19] Roberts J., and Scapens R. (1985) Accounting Systems and System of
Accountability-Understanding Accounting Practices In Their
Organizational Contexts, Accounting Organization and Society,.10(4),
pp. 443-456.
[20] Booth, Peter (1993) Accounting in Churches: A Research Framework
and Agenda, Accounting, Auditing & Accountability, 6 ( 4). pp. 37-67
[21] Laughlin, R.C.(1988) Accounting in its Social Context: An Analysis of
the Accounting Systems of the Church of England, Accounting,
Auditing & Accountability Journal, 1(2), pp 19-42.
[22] Irvine, Helen (2005) Balancing Money and Mission in the Local
churches Budget, Accounting, Auditing, and Accountability Journal,
18( 2), pp 211-237
[23] Jacobs, Kerry (2005) The Sacred and the secular: examining the role of
accounting in the religious context, Accounting, Auditing,
Accountability Journal, 18(2), pp.189-210.
[24] Jacobs, Kerry and Walker, Stephen P(2004 Accounting and
Accountability in the Iona Community, Accounting, Auditing and
Accountability Journal, 17(3), pp. 361-381
[25] Zaid, Omar Abdullah (2000), The appointment qualifications of Muslim
accountants in the Middle Ages, Accounting Education 9 (4) pp.329-342
[26] Pomeranz, Felix (2004) Ethics: toward globalization, Managerial
Auditing Jurnal,19(1), pp. 8-14.
[27] Zaid, Omar Abdullah (2004) Accounting Systems and Recording
Procedures in The Early Islamic State, Accounting Historians Journal,
31(2), pp.149-170
[28] Lewis, Mervin K (2001) Islam and Accounting, Feature Article,
Accounting Forum, 25 (2), pp. 103-127.
[29] Murtuza, A. (2003 ) Islamic Antecedents For Financial Accountability,
International Journal of Islam Financial Services 4(1), pp.
[30] Taqi-ud-din al-Hilali, and Muhsin Khan, Muhammad (1984) Translation
of the Meaning of the Nobel Qur-an, King Fahd Conplex for the printing
of Holy Qur-an, Madinah, KSA.
[31] Lewis Mervin K (2006) Accountability and Islam, Fourth International
Conference on Accounting and Finance in Transition, Adelaide,
Australia.
[32] Sulaiman, Maliah (2005) Islamic Corporate Reporting, Between the
Desirable and the Desired, Research Centre, First edition, Published by
Research Centre International Islamic University Malaysia
[33] Napier, Christopher and Maali, Bassam (2007) Twenty Five Years of
Islamic Accounting Research: A Silver Jubilee Review, Paper submitted
to the 5th Asia Pacific Interdisciplinary Perspectives on Accounting
Conference, Auckland.
[34] Asri, Mohamed and Fahmi Mohamed (1997) Contribution of The
Islamic Worldview Towards Corporate Governance,
http://www.iiu.edu.my
[35] Al-Safi, A.K (1992) Accountability: Islam versus the Man-made
Doctrines, Darulfikr, Kuala Lumpur.
[36] Hameed, Shahul (2007) Alternative Disclosure & Performance Measures
for Islamic Banks, International Islamic University Malaysia
[37] Yusuf Ali, Abdullah (2006)The Meaning of the Holly Qur-an, Published
by Islamic Book Trust Kuala Lumpur, Malaysia.
[38] Rahim, Abdul and Goddard, Andrew (2003) Accountability Verstehen:
A Study of Accounting in State Religious Councils in Malaysia,
Discussion Paper in Accounting and Finance, International Islamic
University Malaysia.
[39] Hameed, Shahul (2001) "Islamic Accounting - Accounting for the New
Millennium", Asia Pacific Conference1, International Islamic University
Malaysia.
[40] Hameed, Shahul (2000) Nurtured By ÔÇÿKufr1-:The Western Philosophical
Assumptions Underlying Conventional (Anglo-American)Accounting,
International Journal of Islamic Financial Services,.2 (2), pp.
[41] Kisenyi, Vincent (1999) What (if anything) has Accounting got to do
with the impending Environment Crisis?, Working Papers in
Accounting and Finance, 2 (1), pp. 1-12.
[42] Lee, J. (2004) NGO Accountability: Rights and Responsibilities,
Programme on NGOs and Civil Society, CASIN, Genewa, Switzerland.
[43] Antlōv, H., Ibrahim, R., and Tuijl P. (2005) NGO Governance and
Accountability in Indonesia: Challenges in A Newly Democratizing
Country, pp. 1-18.
[44] Sosis, R. (2005) Does Religious Promote Trust? The Role of Signaling,
Reputation and Punishment, Interdisciplinary Journal of Research on
Religion, 1 (7), pp. 1-30.
[45] Seal, W., and Vincent, P.-J. (1997) Accounting and trust in the enabling
of long-term relations, Accounting, Auditing, and Accountability
Journal, 10 (3), pp. 406-437.G. O. Young, "Synthetic structure of
industrial plastics (Book style with paper title and editor)," in Plastics,
2nd ed. vol. 3, J. Peters, Ed. New York: McGraw-Hill, 1964, pp. 15-64.
@article{"International Journal of Business, Human and Social Sciences:59953", author = "Hasan Basri Afifuddin and A.K Siti-Nabiha", title = "Towards Good Accountability: The Role of Accounting in Islamic Religious Organisations", abstract = "Non-profit organizations, especially religious-based
institutions, have long played a very important role in society.
Nevertheless, scandals such as inefficient management and the use of
unlawful fundraising activities have raised questions regarding the
governance and accountability of these organizations. As such, the
issues have attracted considerable research interest. However, there is
still limited research on accountability in religious based
organizations, especially in the context of Islamic religious
organizations. Hence, the purpose of this paper is to discuss the
issues of accounting and accountability in religious organizations,
specifically in Islamic religious establishments. The paper starts by
looking at the conventional meaning and concept of accountability.
This is followed by a discussion of the principles of accountability
within the Islamic framework. In so doing, the history of the role of
accounting within Muslim society and also the differences between
the Islamic and conventional view of accountability are reviewed.
Insights gained from previous research on accountability in faith
based organizations are also discussed", keywords = "Accountability, accounting, Islam, religiousorganization.", volume = "4", number = "6", pages = "1255-7", }
