KUGOMPO CITY – A lawyer wanted in connection with alleged fraud and theft of Road Accident Fund (RAF) compensation claims has been traced after a protracted investigation.

The Hawks’ Serious Commercial Crime Investigation team, working with the Tactical Operations Management Section (TOMS), tracked down Precious Muleya and her firm, Precious Muleya Attorneys.

According to the Hawks spokesperson Warrant Officer Ndiphiwe Mhlakuvana, a Zimbabwean, Precious Muleya, the director of Precious Muleya Attorneys, was arrested on 30 September at OR Tambo International Airport pursuant to a warrant of arrest issued in connection with cases opened at KuGompo City.

“It is alleged that, between 24 October 2011 and 19 January 2024, certain claims submitted on behalf of purported beneficiaries were tainted by material misrepresentations,” he said.

“It is further alleged that these misrepresentations were used to enhance or inflate the value of compensation claims beyond the amounts to which the respective claimants would legitimately have been entitled.”

Mhlakuvana added that it is further alleged that compensation funds were subsequently paid in respect of some of the claims. “Instead of the funds being duly transferred to the respective beneficiaries on whose behalf the claims had been pursued, the funds were allegedly retained and appropriated by the accused.”

He stated that the scrutiny extends beyond the alleged submission of fraudulent claims and includes allegations concerning the unlawful appropriation of compensation funds entrusted to a legal practitioner for the benefit of clients.

“Discrepancies were picked up by RAF and, as a result, some of the claims were repudiated. Hence, the matter was referred to the Hawks for further probe.”

Mhlakuvana confirmed that the investigation emanates from allegations that the accused, through her legal practice, submitted compensation claims to RAF on behalf of approximately 28 individuals who were reportedly involved in road accidents.

“The intensive investigation has, to date, established that the complainants suffered actual financial prejudice of more than R5.2 million, while the potential financial prejudice associated with the broader allegations is estimated at more than R20 million,” he said.

Muleya briefly appeared before the Kempton Park Magistrates’ Court on 1 October. She will be in transit to KuGompo and is expected to appear before the KuGompo Magistrates’ Court on 5 October.

The Provincial Head of the Hawks in the Eastern Cape, Major General Mboiki Obed Ngwenya, applauded the multidisciplinary investigative approach, which brought together all relevant stakeholders in advancing the investigation.

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