Theory of values transformation
in criminal banking law
Example of confrontation/convergence of
Islamic and conventional nance
Department of Law, Allameh Tabatabaei University, Tehran, Iran
Purpose –This paper aims to clarify that some values are the origin of the modern nancial world. In this
regard, they should be protected by legal and nancial mechanisms. However, sometimes, it is not necessary
to use the entire legal arsenal to protect those values. A value can be transformed into another value or mutate
into a notion and become implicitly protected by the whole system. This is called the transformation of values.
Design/methodology/approach –In this paper, it shall be analyzed how the protection of values is
applied in both Shariah and conventional systems. Two Gulf countries, Iran and The United Arab Emirates
(UAE), will be compared with France, which have different nancial systems. How the process of
transformation becomes a global norm which lead to a harmonization will also be discussed.
Findings –This paper demonstrates that divergent values in both Islamic and conventional nancial
system tend to be convergent and become global standard norms. In this respect, due to the transformation of
values, harmonization of norms and standards will be recognized.
Originality/value –The paper fulls an identied process in which the penal action against irregularities
becomes a “dernier resort”, and it is for the protection of major global concerns, not for “little transgressions
against local values”.
Keywords Value, Islamic nance, Ethics, Principle, Conventional nance, Notion
Paper type Research paper
1.1 Religious values; the basic source of divergence/convergence
On the assumption that religions inuence basic values in a society or civilization, the
ideals and behaviors reected in that religion are often in line with the principles of the
economic eld such as loyalty, good faith, trust, etc. The rules of each religion, economically
speaking, are mostly harmonizing, structuring and regulate moral business life. Religion,
however, to institute morality, uses the values that become standardized in that society.
Therefore, values become references along with the religion and morality in a given society.
Generally, in commercial law, and particularly in banking law, values are relative, that is
why they can be transformed.
Regardless of the positive or negative nature of these values, their role as the basis of
the standards in each society that have functions of prevention and deterrence, could be
considered as another feature of these values.
However, values perform differently in Islamic and conventional systems. We should
therefore rst examine these two systems.
1.2 What are Islamic and conventional banks?
In the twenty-rst century, banks are divided into two major systems: Islamic and
conventional. The primary reason for this division is reected in the religious inuence on
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Journalof Financial Crime
Vol.24 No. 1, 2017
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