Among the noteworthy contributions of Muslims of undivided India to the Ottomans and to the Turkish republic that succeeded the Caliphate is their financial assistance. During the reign of Caliph Abdul Hamid II, the funds and jewellery that were contributed by the Indian Mussalmans was used in the construction of the Hijaz Railway. In the post-World War I period the Indian Muslims continued pouring in their financial support. Much of these funds were used to set up the İş Bank, which is still considered the largest bank by assets in Türkiye. (https://www.isbank.com.tr/).
The following are excerpts from an English translation of an article that appeared in a Turkish online website http://www.ekrembugraekinci.com/mmakale.asp?id=979.
İş Bank stocks that Ataturk has bequeathed to CHP have been a matter of contention all along. The source of these stocks is a curious matter indeed.
The defeat of the Ottoman Empire in the World War and the subsequent invasion of the Ottoman homeland by the British and their allies caused outrage among the Indian Muslims. This people, who had been living under British occupation for a long time and who had respect and sympathy for the caliphate, endeavored to send help in order to ease the pain of this catastrophe regardless of their already poor situation.
In March 20, 1919 the Central Caliphate Committee was set up in Mumbai. The head of committee was Syed Jan Mohammed Chotani, and his assistant was Shawkat Ali. Late Mohammad Ali succeeded Chotani. In the conference held in September 1919 the committee decided to deliver help in an effort to stop Anatolia being split into pieces and protect the caliphate.
The committee was managing three funds: Ankara fund, Smyrna Help, and Ottoman Captives Fund. These funds were from the monies coming from wealthy Indians and donations from the people. As of October 1923, 329.774 gold sterling of money was sent to Ankara.
Of this, 122.000 sterling (TRL 600,00) was directly paid to Mustafa Kemal in person so that he would spend it for the purpose of the protection of the caliphate. On the contrary to the primary condition of this financial help the caliphate was abolished. Turkish Red Crescent Society however continued to receive the monies coming after that. Meanwhile Muslims of Bukhara has also delivered gold they had collected for the cause of the protection of the caliphate via Moscow to Ankara.
In his thank you letter addressed to the committee dated November 9,1922 Mustafa Kemal promised that this money was going to be spent according to its original purpose, in other words “for the national goals”. However he deposited the money, which he regarded as a discretionary fund, in Osmanlı Bank and established İş Bank with 250.000 liras out of it.
The leading figures of Ankara movement had acquired the bank capital without paying a single penny. The bank officially opened in September 9, 1924. Itibar-i Milli Bank established by the figures of Committee of Union and Progress had also been confiscated and transferred to İş Bankasi. (Today the heirs of the stockholders of the former are in court with Turkey İş Bank.)
The establishment of İş Bank, which symbolized the economic and political power transfer to Ankara, against Osmanlı Bankası, which represented the old order and Istanbul capital, was a fundamentally important step for Kemalist reforms. Falih Rıfkı, in his book Çankaya, says that the bank was a bank of politicians; thus, he indicates that the bank was established to support the members of the new regime.
Whose Money?
Half of the money received from India was used to set up İş Bank. The other half was used to buy farms and properties in Ankara, Yalova, Silifke, Tarsus and Dörtyol. Back then the land was cheap and the money was valuable. 10.000 out of it was handed to Ynus Nadi, the owner of Cumhuriyet newspaper, which served as the publication organ of Republican People’s Party.
In his memoir Hasan Rıza Soyak, Ataturk’s aide-de-camp confirms that the source of the money was Indian Muslims. However he claims that the money was sent to the person of Ataturk. Zekeriya Sertel says that Halide Edib admonished Ataturk because of this matter and from there they separated their ways.
CHP currently owns 28% of İş Bankası’s shares. It also sends 4 members to the bank’s board of directors. Kemal Kılıçdaroğlu was once one of them. However, the profits of the shares are to be paid to the Turkish Historical Society and the Turkish Language Society. These shares belonging to CHP have been the subject of debate in light of the principle that parties should have equal opportunities in the era of democracy; it has also been found absurd to allocate money to these two institutions, which have been the target of criticism from intellectual circles due to their destructive and misleading practices during and after the cultural revolution.
Translated by Munire Z Maksudoglu. For more details on this topic, please see https://www.referenceforbusiness.com/history2/25/Turkiye-Is-Bankasi-A-S.html
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