وَحَدَّثَنِي عَنْ مَالِكٍ، عَنِ ابْنِ شِهَابٍ، أَنَّ رَسُولَ اللَّهِ صلى الله عليه وسلم قَالَ ‏"‏ لاَ يَجْتَمِعُ دِينَانِ فِي جَزِيرَةِ الْعَرَبِ ‏"‏ ‏.‏ قَالَ مَالِكٌ قَالَ ابْنُ شِهَابٍ فَفَحَصَ عَنْ ذَلِكَ عُمَرُ بْنُ الْخَطَّابِ حَتَّى أَتَاهُ الثَّلْجُ وَالْيَقِينُ أَنَّ رَسُولَ اللَّهِ صلى الله عليه وسلم قَالَ ‏"‏ لاَ يَجْتَمِعُ دِينَانِ فِي جَزِيرَةِ الْعَرَبِ ‏"‏ فَأَجْلَى يَهُودَ خَيْبَرَ ‏.‏ قَالَ مَالِكٌ وَقَدْ أَجْلَى عُمَرُ بْنُ الْخَطَّابِ يَهُودَ نَجْرَانَ وَفَدَكَ فَأَمَّا يَهُودُ خَيْبَرَ فَخَرَجُوا مِنْهَا لَيْسَ لَهُمْ مِنَ الثَّمَرِ وَلاَ مِنَ الأَرْضِ شَىْءٌ وَأَمَّا يَهُودُ فَدَكَ فَكَانَ لَهُمْ نِصْفُ الثَّمَرِ وَنِصْفُ الأَرْضِ لأَنَّ رَسُولَ اللَّهِ صلى الله عليه وسلم كَانَ صَالَحَهُمْ عَلَى نِصْفِ الثَّمَرِ وَنِصْفِ الأَرْضِ فَأَقَامَ لَهُمْ عُمَرُ نِصْفَ الثَّمَرِ وَنِصْفَ الأَرْضِ قِيمَةً مِنْ ذَهَبٍ وَوَرِقٍ وَإِبِلٍ وَحِبَالٍ وَأَقْتَابٍ ثُمَّ أَعْطَاهُمُ الْقِيمَةَ وَأَجْلاَهُمْ مِنْهَا ‏.‏

Yahya related to me from Malik from Ibn Shihab that the Messengerof Allah, may Allah bless him and grant him peace, said, "Two deensshall not co-exist in the Arabian Peninsula." Malik said thatIbn Shihab said, ''Umar ibn al-Khattab searched for information aboutthat until he was absolutely convinced that the Messenger of Allah,may Allah bless him and grant him peace, had said, 'Two deens shallnot co-exist in the Arabian Peninsula,' and he therefore expelled thejews from Khaybar." Malik said, ''Umar ibn al-Khattab expelled the jews from Najran(a jewish settlement in the Yemen) and Fadak (a jewish settlementthirty miles from Madina). When the jews of Khaybar left, they did nottake any fruit or land. The jews of Fadak took half the fruit and halfthe land, because the Messenger of Allah, may Allah bless him andgrant him peace, had made a settlement with them for that. So Umarentrusted to them the value in gold, silver, camels, ropes and saddlebags of half the fruit and half the land, and handed the value over tothem and expelled them." Translation Not Available

Book Ref: Muwatta Imam Malik Book 45 Hadith 1618
Web Ref:  Muwatta Imam Malik Book 45 Hadith 18