MTHATHA – A 56-year-old law firm director has been summoned to appear in the Mthatha Specialised Commercial Crime Court over the alleged theft of R433,000 in trust funds linked to a Road Accident Fund (RAF) compensation claim.

The Mthatha Hawks’ Serious Commercial Crime Investigation team served the summons on the suspect on Thursday, 8 October, following a lengthy investigation into a case dating back to 2005.

Hawks spokesperson Warrant Officer Ndiphiwe Mhlakuvana said the matter stemmed from a motor vehicle accident in the Bityi area in which a complainant from the Zimbana Administrative Area, near Mthatha, sustained serious injuries to his right leg.

In November 2006, the complainant allegedly approached the law firm director for assistance in pursuing compensation from the RAF.

He subsequently handed over the relevant documents and entered into a contingency-fee agreement with the firm.

Dispute over compensation payout

According to the Hawks, the suspect later provided the complainant with cheques totalling R235,000 and reportedly informed him that a further R110,000 had been deducted as professional fees.

Dissatisfied with the amount received and the explanation that the RAF had settled his claim for R350,000, the complainant independently contacted the fund to establish the actual settlement amount.

The subsequent enquiries led to the Hawks becoming involved in the matter.

The investigation allegedly established that the RAF had paid more than R900,000 in respect of the claim, raising suspicions that a portion of the funds had been unlawfully appropriated for the suspect’s benefit.

Following the investigation, the Hawks served the director with a summons compelling him to appear before the Mthatha Specialised Commercial Crime Court on 9 November.

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