Free State Law Society v Gresse (5224/2015) [2015] ZAFSHC 253 (10 December 2015)
- Citation
- [2015] ZAFSHC 253
- Status
- Judgment
- Jurisdiction
- South Africa
- Court
- Free State High Court, Bloemfontein
- Panel
- K.J. Moloi, B.C. Mocumie
- Case number
- 5224/2015
More details
- Court
- Free State High Court, Bloemfontein
- Panel
- K.J. Moloi, B.C. Mocumie
- Case number
- 5224/2015
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The respondent's conduct, including failure to account to his client, dishonesty in court matters, and misappropriation of trust funds, was established on a preponderance of probabilities. The court found that such conduct is fundamentally incompatible with the standards expected of an attorney. The respondent failed to provide any explanation or exceptional circumstances for his actions. The gravity of the misconduct, particularly the theft of trust monies, irreparably harmed the integrity and reputation of the legal profession. The court concluded that the respondent is not a fit and proper person to continue practising as an attorney and that striking-off is the only appropriate sanction.
Court disposition
Application granted; respondent struck off the roll of attorneys.
Orders
- The respondent's name, Deon Jacques Gresse, is removed from the roll of attorneys.
- The respondent must surrender and deliver his certificate of enrolment as an attorney to the Registrar of this court.
- If the respondent fails to comply within fourteen days, the sheriff of the High Court is empowered to take possession of the certificate and deliver it to the Registrar.
- The respondent is removed from office as executor of any estate, curator or guardian of any minor or other person's property, trustee of any insolvent estate, liquidator of any company or close corporation, and trustee of any trust as specified in the relevant statutes.
- The respondent is ordered to pay the costs of this application.
02
Material facts
Parties
Free State Law Society
Applicant Counsel: Mr. K VerweyDeon Jacque Gresse
Respondent Counsel: Adv. F. PienaarAmounts and remedies
- Misappropriated Trust Funds: ZAR 500,000
03
Procedural history
Posture
Urgent Application / Application for Striking Off Attorney From the Roll
04
Questions and positions
Legal issues
- 01
Whether the respondent's conduct renders him unfit to continue practising as an attorney.
- 02
Whether the respondent should be struck off the roll of attorneys.
- 03
Whether the respondent's misappropriation of trust funds and dishonest conduct warrant the ultimate sanction.
Party arguments
- Applicant
- The applicant submitted that the respondent engaged in serious misconduct, including failing to account to his client, acting dishonestly in court matters, and embezzling R500,000 from the firm's trust fund for personal use. The applicant argued that these actions demonstrate a lack of honesty and integrity, which are fundamental to the legal profession. The applicant relied on precedent to support the view that such conduct warrants striking-off from the roll.
- Respondent
- The respondent did not oppose the application and was absent at the hearing. In prior correspondence, he admitted to dishonesty in one matter but claimed he was the only person harmed. He pleaded guilty to theft in the magistrate's court. No exceptional circumstances were provided to justify his conduct.
05
Court’s reasoning
Legal principles
- 01
Jasat v Natal Law Society, 2000 (3) SA 44 (SCA)
The court must conduct a three-stage enquiry: (a) whether the offending conduct is established on a preponderance of probabilities; (b) a value judgment weighing the conduct against what is expected of an attorney; (c) whether the conduct warrants striking-off or suspension.
- 02
Law Society of the Free State v Mahlomola Goodwin Molapo, Case No 1030/2013
Misappropriation of trust monies is a grave form of dishonesty that demands severe sanction.
- 03
Summerley v Law Society, Northern Provinces, 2006 (5) SA 613 (SCA)
Unprofessional, dishonourable or unworthy conduct may have different consequences, including striking-off or suspension.
- 04
Malan & Another v Law Society of the Northern Provinces 2009(1) SA 216 (SCA)
The dignity and status of the legal profession must be protected from severe harm caused by dishonest practitioners.
06
Ratio, limits and disposition
Ratio decidendi
The respondent's conduct, including failure to account to his client, dishonesty in court matters, and misappropriation of trust funds, was established on a preponderance of probabilities. The court found that such conduct is fundamentally incompatible with the standards expected of an attorney. The respondent failed to provide any explanation or exceptional circumstances for his actions. The gravity of the misconduct, particularly the theft of trust monies, irreparably harmed the integrity and reputation of the legal profession. The court concluded that the respondent is not a fit and proper person to continue practising as an attorney and that striking-off is the only appropriate sanction.
Obiter and limits
- The respondent's persistent failure to respond to the Law Society's enquiries and his disregard for professional obligations further demonstrate his unfitness for the profession.
- The legal profession relies on public trust, which is severely undermined by acts of dishonesty and misappropriation of client funds.
- No exceptional circumstances were presented to justify the respondent's conduct, and his silence before the court was noted with concern.
Court disposition
Application granted; respondent struck off the roll of attorneys.
- The respondent's name, Deon Jacques Gresse, is removed from the roll of attorneys.
- The respondent must surrender and deliver his certificate of enrolment as an attorney to the Registrar of this court.
- If the respondent fails to comply within fourteen days, the sheriff of the High Court is empowered to take possession of the certificate and deliver it to the Registrar.
- The respondent is removed from office as executor of any estate, curator or guardian of any minor or other person's property, trustee of any insolvent estate, liquidator of any company or close corporation, and trustee of any trust as specified in the relevant statutes.
- The respondent is ordered to pay the costs of this application.
Source and reliance status
Free State High Court, Bloemfontein
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Judgment reading view
Judgment text
The complete available source text.
Free State High Court, Bloemfontein
Judgment
SAFLII Note: Certain personal/private details of parties or witnesses have been redacted from this document in compliance with the law and SAFLII Policy
IN
THE HIGH COURT OF SOUTH AFRICA
FREE STATE DIVISION, BLOEMFONTEIN
Case No.: 5224/2015
In the matter between:
FREE
STATE LAW
SOCIETY
Applicant
and
DEON
JACQUE
GRESSE
Respondent
(ID: [……..])
CORAM:
MOCUMIE et MOLOI, JJ
HEARD ON: 03 DECEMBER 2015
JUDGEMENT BY: MOLOI, J
DELIVERED ON: 10 DECEMBER 2015
[1] This is an application by the Free State Law Society for the striking-off the roll of an attorney practising in the province. The respondent is an attorney and practise in partnership at Kroonstad in the Free State province. The application was not opposed and there was no appearance for or on behalf of the respondent on the date of the hearing.
[2] The grounds on which the application was based are three-fold: first, the respondent's delay of a matter in which the respondent acted for one BS Mogale and his failure to keep BS Mogale abreast of the developments in the matter, failure to follow instructions and failure to account to his client, the said BS Mogale; second, the allegations of unprofessional and unethical conduct by the respondent referred to the Law Society by the former Judge President of this division for investigation by the applicant against the respondent in a matter that served before him; and third, the embezzlement of an amount of R500 000-00 from the trust fund that was used for personal purposes without the knowledge of the partners in the firm he was involved with.
[3] The first complaint was investigated by the Council of the applicant and the respondent provided proof of certain actions it wanted the respondent to do. At a stage, however, the respondent failed to submit further reports to the Council and also failed to respond to further enquiries made by the Council. He simply ignored the correspondence sent to him by the Executive Officer of the Law Society. As far as the second complaint was concerned, the respondent admitted he was not honest in dealing with the matter referred to but indicated he was the only person that suffered damages as a result. However, the Council later established that he was again not honest in that respect. In as far as the third complaint was concerned a criminal charge of theft was laid against the respondent. The respondent pleaded guilty in the magistrate's court to theft and was correctly convicted.
[4] The enquiry by this court as to whether the respondent is a fit and proper person to continue practising as an attorney is a three stage enquiry as set out in Jasat v Natal Law Society, 2000 (3) SA 44 SCA and consist of (a) whether the alleged offending conduct has been established on a preponderance of probabilities. The facts relating to the three complaints above all point to the dishonesty of the respondent on more than the preponderance of probabilities, (b) the second stage "involves a weighing up of the conduct complained of against the conduct expected of an attorney." See Jasat above. This is a value judgement the court must make, (c) the third stage is whether the conduct complained of warrants a striking off or suspension with or without conditions. This is so because unprofessional, dishonourable or unworthy conduct may have different consequences: Summerlev v Law Society, Northern Provinces, 2006 (5) SA 613 (SCA)
[5] The admission to the profession as an attorney and the continued practise as such is premised on honesty - honesty to the client by disclosing the progress of a case entrusted to the attorney even if the facts are against a client, honesty to the Law Society by disclosing true facts before it and honesty to the court by doing everything necessary for the proper administration of justice with integrity worthy of the profession. Misappropriation of trust monies is a worse form of dishonesty which cannot be explained without severe sanction; Law Society of the Free State v Mahlomola Goodwin Molapo, Case No 1030/2013. Such misconduct does not only tarnish the trust the public has vis-a-vis the attorney concerned but cuts across the entire profession. The respondent has not explained to us what exceptional circumstances would have moved him to do what he did; Law Society of the Free State v Molapo (2013) ZAFSHC99. He almost defiantly kept the court in the dark why he would have acted the way he did. The prestigious status and dignity of the profession has been caused severe harm by the conduct of the respondent and thus his unfitness to practise as an attorney seems irresistible; Malan & Another v Law Society of the Northern Provinces 2009(1) SA 216(SCA). In the premises the Court cannot find otherwise than that the respondent is not fit and proper to continue practising as an attorney and that the ultimate sanction is warranted in the circumstances.
[6] Consequently the following orders are made:
6. 1 That the Respondent's name, Deon Jacques Gresse, be removed from the roll of attorneys.
6.2 That the Respondent surrenders and delivers to the Registrar of this court the Respondent's certificate of enrolment as an attorney of this court.
6.3 That should the Respondent fail to comply with paragraph 2 within 14 (fourteen) days of this order, the sheriff of the High Court for the relevant district be empowered and directed to take possession of such certificate and deliver it to the said Registrar.
6.4 The Respondent is hereby removed from office as:
6.4.1 Executor of any estate in respect of which he has been appointed in terms of Section 51(1)(a)(v) of the Administration of Estates Act, Act 66 of 1965 or the estate of any person referred to in Section 72(1); and
6.4.2 Curator or guardian of any minor or other person's property in terms
of Section 72(1), read with Section 54(1)(a)(v) and 85 of the Administration of Estates Act, Act 66 of 1965, or the estate of any
other person referred to in Section 72(1); and
6.4.3 Trustee of any insolvent estate in terms of Section 59 of the Insolvency Act, Act 24 of 1934; and
6.4.4 Liquidator of any company in terms of Section 379(2), read with Section 379(e) of the Companies Act , Act 61 of 1973; and
6.4.5 Trustees of any trusts in terms of Section 20(1) of the Trust Property Control Act, Act 57 of 1988; and
6.4.6 Liquidator of any Close Corporation appointed in terms of Section 74 of the Close Corporation Act, Act 69 of 1984.
[7] That the Respondent 1s ordered to pay the costs of this application.
____
K.J. MOLOI, J
I concur.
B.C. MOCUMIE, J
On behalf of the Appellant:
Mr. K Verwey
Instructed by:
Hill, McHardy & Herbst Inc.
BLOEMFONTEIN
On behalf of the Respondent: Adv. F. PIENAAR
Director of Public Prosecutions
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