After a lengthy five-year legal battle, Cape Town attorney Henk van Aswegen has had fraud charges against him withdrawn, highlighting the challenges faced in commercial disputes and the impact of criminal allegations on personal and professional life.
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A fraud charge against Cape Town attorney, businessman, and property developer Henk van Aswegen has been withdrawn by the State, bringing to an end a five-year legal battle that he says caused significant reputational, financial, and personal harm.
The matter was withdrawn last week in the Specialised Commercial Crimes Court in Pretoria after the office of the Director of Public Prosecutions in Gauteng concluded that there was no reasonable prospect of a successful prosecution.
Van Aswegen, 59, from Melkbosstrand, was arrested in 2021 on allegations linked to a long-running commercial dispute involving the Bendor Meadows residential development in Polokwane. The charge centred on claims that an invoice valued at approximately R1.2 million, which formed part of arbitration proceedings, was fraudulent.
The allegations were later amended to fraud, with the complainant claiming that the invoice relied upon in the arbitration process was never due or payable.
For Van Aswegen, the withdrawal marks the end of a legal ordeal that began as a commercial dispute but evolved into criminal proceedings.
“This has been five years of damage that cannot simply be undone by the withdrawal of a charge,” Van Aswegen said. “No court has found me guilty of fraud. The South African Revenue Services Sars, in direct contrast with previous media publications, has made no finding of fraud against me. The civil case by the complainant alleging fraud, based on the exact same allegations as the criminal matter, unanimously failed in the High Court, the appeal court, and the Supreme Court of Appeal, with costs and punitive costs ordered against the complainant.
“Yet, in stark contrast to the civil finding, I was arrested, detained, publicly accused, and forced to live under the weight of a criminal case that should never have reached that point,” he said.
The dispute originated from a cooperation agreement between Jacobs & Van Aswegen Property Developers CC and GP Smith Letting (Pty) Ltd relating to the Bendor Meadows development. After disagreements arose between the parties, the matter proceeded to arbitration and later to litigation.
According to the original charge sheet, Van Aswegen allegedly submitted a false invoice for R1,211,724.76 during arbitration proceedings against GP Smith Letting. He consistently denied the allegations.
In August 2021, the High Court dismissed GP Smith Lettings’ damages claim, which was based on allegations that the invoice was fraudulent. The court found that the company had failed to prove fraudulent misrepresentation and dismissed the claim with costs.
Despite the judgment, the criminal investigation continued.
Van Aswegen claims that shortly after the High Court ruling, he received an anonymous WhatsApp message stating: “Settle the civil matter and the Hawks will fly away.”
Days later, he was arrested by an investigating officer from Polokwane.
According to Van Aswegen, he had previously been informed that the investigation was incomplete and that he would be given an opportunity to provide a statement. He says this opportunity was never afforded to him before his arrest.
Following his arrest, Van Aswegen spent seven days in custody in Polokwane before being granted bail of R5,000 after an urgent High Court application brought by his wife, attorney Susan van Aswegen.
He further alleges that he was placed on an Interpol red list and that bail was opposed on the basis that he was considered a flight risk.
“To sit in police cells with convicted murderers and house breakers for a week as an attorney, a husband and a well-known businessman, knowing that the allegations against you are patently false, is something I would not wish on anyone.
“The trauma does not end when you walk out. It follows you into your business, your family, your name, and your future,” he said.
The criminal case was provisionally withdrawn in the Specialised Commercial Crimes Sars had made any adverse findings against Van Aswegen.
The matter was subsequently transferred to Pretoria after Van Aswegen’s legal team argued that it no longer fell within the jurisdiction of the Polokwane court.
Meanwhile, the civil litigation continued through the courts.
Three appeal judges unanimously upheld the High Court’s dismissal of GP Smith Letting’s case, finding that there was no basis to conclude that fraudulent misrepresentation had occurred.
The company later sought leave to appeal to the Supreme Court of Appeal, which refused the application on April 30, 2025. A further reconsideration application to the President of the Supreme Court of Appeal was dismissed with costs in December 2025. A subsequent application to the Constitutional Court was later withdrawn.
Sars had also investigated the invoice in question. According to court records, the revenue service finalised its audit in April 2015 without making any adverse finding of fraud or wrongdoing. A subsequent Sars affidavit confirmed that the invoice did not form part of a VAT input claim and that the audit had been completed without issue.
Susan van Aswegen of VA Attorneys and Conveyancers, who represented her husband, said the allegations had been subjected to extensive judicial scrutiny over several years and that he had consistently been vindicated.
While welcoming the withdrawal of the criminal charge, Van Aswegen said the consequences of the case would not disappear overnight.
“Being cleared is one thing. Rebuilding after years of public suspicion, emotional strain, and business damage is another. When criminal allegations are made without proper basis, the punishment starts long before any court has made a finding. It is human nature," he said.
Van Aswegen confirmed that he intends to institute civil proceedings against the complainant, the investigating officer, and others involved in the matter.
“This cannot simply be treated as an administrative mistake. There must be accountability when people are dragged through the criminal justice system, where no decent investigation occurred other than building a case at the behest of a complainant on allegations that courts and authorities ultimately do not support,” Van Aswegen said.
The case has renewed debate around the use of criminal complaints in commercial disputes and concerns that criminal processes can be used as leverage in civil matters.
Legal commentators and business leaders have increasingly warned that the misuse of criminal proceedings may undermine confidence in the justice system while creating uncertainty for entrepreneurs and investors.
For Van Aswegen, the matter extends beyond his personal experience.
“I have had to fight for my good name and for that of my wife and family, and importantly for my future. Many people do not have the resources, support, or legal knowledge to survive this kind of ordeal, or just give up. This is why this conversation matters, and that is why I have to institute civil claims. It will benefit others as well in the future,” he said.
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