The commission found that TH’s decision to maintain high hibah payments between 2014 and 2017 exceeded its financial capacity and depleted its reserves. To sustain high hibah payments, TH took on greater investment risks, with its portfolio becoming increasingly exposed to equities and market volatility. ‘Creative accounting’ masked TH’s financial lossesThe RCI found that TH engaged in “creative accounting” by using Realisable Asset Value (RAV), instead of asset values reported in audited financial statements, to determine its ability to declare hibah payments. It also highlighted the growing burden of Haj Financial Assistance (HAFIS), which subsidises pilgrimage costs. As the subsidy is funded through TH’s investment profits, rising HAFIS costs could reduce funds available for hibah payments and affect depositor confidence.