South African Attorney Fhatuwani Moila Found Guilty of Misconduct in Client Fund Case

 


The Legal Practice Council (LPC) of South Africa has confirmed that attorney Fhatuwani Moila has been found guilty of professional misconduct after failing to remit R130,000 from a divorce settlement to her client.

The LPC announced the outcome on Wednesday, January 28, 2026. Moila appeared before a disciplinary hearing in November 2025, which the complainant attended in person. During the proceedings, Moila pleaded guilty to charges including conduct that brought the legal profession into disrepute.

The matter stems from a divorce finalized in 2022, with a settlement agreement reached in 2023. The client never received her agreed share of R130,000. In her complaint to the LPC, the woman alleged that Moila “illegally utilised my money for her own benefit,” stating that the attorney failed to provide any proof of the funds’ whereabouts or respond to follow-up inquiries.

LPC spokesperson Kabelo Letebele said the disciplinary committee has recommended a full inspection and investigation into the financial records of Moila’s law firm. “Once the inspection has been completed and a report finalized, the complainant will be informed accordingly,” Letebele stated.

The LPC also disclosed that Moila is currently facing two additional pending complaints—one involving an estate matter and another related to a separate divorce case. Both complaints centre on allegations of failure to account for clients’ funds and are at preliminary stages.

In one of the divorce-related matters, Moila pleaded guilty to three charges: failing to respond to correspondence and telephone calls from the council, and failing to comply with LPC directives. “As a result of the aforesaid, the respondent hampered the ability of the council to carry out its function to investigate the complaint,” Letebele explained.

The affected client told SowetanLIVE in earlier interviews that the issue had caused her significant distress since 2022. “This matter has been dragging on for a long time. My heart has been sore since 2022, and I still do not have the money. I have not had any communication with her,” she said.

Letebele advised the complainant to lodge a claim with the Legal Practitioners’ Fidelity Fund (LPFF), describing it as “an insurer of last resort aimed at protecting members of the public.” The fund will assess eligibility based on whether Moila held a valid Fidelity Fund Certificate at the time the mandate was issued and whether she was duly admitted as a legal practitioner.

The LPC spokesperson urged the public to always verify an attorney’s registration and Fidelity Fund Certificate status before engaging services, especially in matters involving financial transactions. “This is a critical step to safeguard your interests,” Letebele emphasized.

No sanction or penalty has been publicly announced yet for the guilty finding in the R130,000 case, as the financial inspection is ongoing. The LPC continues to monitor the additional matters against Moila.

The case highlights ongoing concerns about accountability and client fund management within the legal profession in South Africa, reinforcing the LPC’s role in upholding professional standards.

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