Question 38: One of the tribes collected a sum of money that they dedicate to pay any blood money on behalf of its members. They used this money in business and also dedicate the profit they made for the payment of blood money. Is Zakaah (obligatory charity) due on this money or not? If it was not being used in business would Zakaah then be due on it or not? Can other tribe members pay the Zakaah due on their wealth into this fund?
Answer: If the reality is as you mentioned, there is no Zakaah due on that money, as it has the same ruling as a Waqf (endowment), whether it is frozen or put to work in a business… read more here.