Hazrat Umer (RA) appointed as custodian of Bait-ul-Mal?

The correct answer to this question is Abdullah bn Irqum (RA) (often documented in historical texts as Abdullah bin Arqam).During the reign of the second Caliph, Hazrat Umar ibn al-Khattab (RA), the Islamic state underwent a massive territorial expansion, encompassing regions of the Persian and Byzantine Empires. This growth brought in unprecedented amounts of revenue through Zakat, Kharaj (land tax), and Jizya. To manage this wealth with transparency and justice, Hazrat Umar (RA) established a permanent department for the treasury, known as the Bait-ul-Mal. For the critical role of managing this central treasury in Madinah, he selected Abdullah bn Irqum (RA).

The Profile of Abdullah bn Irqum (RA)

Abdullah bn Irqum was a companion of the Prophet Muhammad (SAW) who was highly respected for his literacy, administrative skills, and, most importantly, his unwavering integrity. Before his appointment as the treasurer, he had served as a primary scribe for the Prophet (SAW). His experience in handling delicate correspondence and legal documentation made him the ideal candidate for a role that required meticulous record-keeping. Hazrat Umar (RA), who was famously strict regarding the accountability of public officials, chose him because his character was beyond reproach.

The Establishment of the Diwan System

Under the supervision of Abdullah bn Irqum, the Bait-ul-Mal moved from being a simple distribution point to a structured financial institution. Hazrat Umar (RA) introduced the Diwan system, which was essentially a register of the citizens and soldiers entitled to state stipends. Abdullah bn Irqum was responsible for ensuring that the records were accurate and that the funds reached the rightful recipients without delay or corruption.

This era marked the first time in history that a government provided a social safety net, including stipends for the elderly, disabled, and even nursing infants. The efficiency of this system was largely dependent on the organizational skills of the central treasury office in Madinah.

Integrity and Accountability

A well-known historical incident illustrates the high level of ethics practiced by Abdullah bn Irqum. It is recorded that when Hazrat Umar (RA) offered him a salary for his services at the Bait-ul-Mal, Abdullah initially declined, stating that his work was for the sake of Allah. Only after the Caliph insisted that his full-time devotion to the state treasury prevented him from pursuing his own trade did he accept a modest allowance

Historical Legacy

The appointment of Abdullah bn Irqum (RA) and the subsequent success of the Bait-ul-Mal set a standard for public financial management that influenced later dynasties and administrative structures across the world. It proved that a centralized treasury could function effectively when led by individuals who prioritized moral duty over personal gain. By the end of Hazrat Umar's (RA) Caliphate, the Islamic treasury was one of the most organized financial systems in the world, facilitating large-scale infrastructure projects, military logistics, and social welfare programs that stabilized the growing empire.