Zakat is one of the five pillars of Islam and is a mandatory form of charity that purifies wealth and helps those in need. The phrase "Zakat is the treasure of Islam" was famously said by Hazrat Umar Farooq (R.A), the second Caliph of Islam.

Hazrat Umar (R.A) emphasized the importance of Zakat as a vital element in maintaining the financial health and social justice within the Muslim community. He viewed Zakat as the foundation that supports the economy of the Islamic state and helps reduce poverty.

Zakat serves multiple purposes: it purifies the wealth of the giver, assists the poor and needy, and strengthens social bonds. Hazrat Umar (R.A) highlighted its value by calling it a "treasure," showing how essential it is for sustaining Islam’s moral and economic system.

Understanding this statement helps students appreciate the significance of Zakat beyond just being a financial duty. It plays a crucial role in the welfare and stability of the Muslim society.

Thus, the correct answer is: Hazrat Umar Farooq (R.A), who recognized Zakat as a treasure that supports and enriches Islam and its followers.