He was asked:
Concerning a provisions merchant from whom village headmen take supplies to offer hospitality to those stranded without means and others: they collect money from the poor and widows and give it to him. Is this lawful or unlawful?
He replied:
If they buy goods from such merchants and pay them with money that the merchants know has been seized—taken unjustly from its owners—the merchants may not benefit from it. However, if they use this money to purchase on the headmen’s behalf what the headmen demand of them, they incur no blame if they are compelled to do so.
Thus, someone who seeks to avoid both committing injustice and suffering it should, when compelled to undertake this work, use the oppressors’ money to purchase on their behalf what they demand of him, so that he neither wrongs anyone else nor is himself wronged.
Nevertheless, if the money they have collected from people cannot be returned to its owner, and they give it to the provisions merchant as compensation for what they took from him against his will, he has a stronger claim to it than someone who receives it without giving anything in exchange. The true wrongdoer is the one who took the money without right, not someone who receives compensation for his property from funds for which he knows of no specific rightful claimant. And Allah Most High knows best.