Sheriff seizes Justice Moseneke family firm's assets

10 JUL 2026, 01:03

6 min read

The Sheriff has attached property belonging to Encha Properties (KWT1), a family-owned company linked to former South African Deputy Chief Justice Dikgang Moseneke, over a decade-long shareholding dispute with businessman Robin Vela's Firstmile Properties, bringing the company's business operations to a standstill.

The attachment of property marks the latest escalation in a protracted legal battle stretching over a decade. It follows the Gauteng High Court's issuance of a warrant of execution on 22 June 2026 to recover R1 244 607.26 in taxed legal costs awarded to Firstmile Properties.

The enforcement action stems from a 30 November 2016 court order granted by the Gauteng High Court under case number 2016-49738, which required Encha Properties (KWT1) to value and purchase Firstmile's minority shareholding in the company.

Encha Properties (KWT1) is 90% owned by Encha Properties (Pty) Ltd, which is controlled by the Mosenekes through various entities and family trusts in which the former Deputy Chief Justice holds a significant interest.

In subsequent litigation under case number 42346/2020, the Gauteng High Court ordered the Encha parties to pay Firstmile legal costs amounting to R1 244 607.26.

According to Firstmile, the orders remained unimplemented despite repeated demands, prompting the company to seek a writ of execution. The High Court granted the application on 22 June 2026, resulting in the Sheriff's move to attach Encha's movable property last week.

Court papers show that the warrant authorised the Sheriff to attach movable property belonging to Encha Properties (KWT1), Encha Properties (Pty) Ltd, Encha Group (Pty) Ltd, Encha Property Services (Pty) Ltd, Barnabas Dube, Gabaiphiwe Sedise Moseneke and the Estate of the late Tiego Moseneke to satisfy the taxed costs, together with interest and the costs of execution.

The late Tiego is now represented by Dikgang Moseneke.

The execution also follows contempt of court proceedings instituted by Vela against the Encha companies and several members of the Moseneke family.

Vela says that they deliberately frustrated a court-ordered valuation process intended to determine the value of Firstmile's minority shareholding and facilitate its buy-out.

In an effort to secure the release of the attached property, Encha paid R1 244 607.26 into the Sheriff's trust account. Despite the payment, the assets have not been returned.

This prompted Encha, through its attorney Sanelisile Nazo, to approach the Gauteng High Court on an urgent basis seeking an order compelling the Sheriff to return the attached office furniture and business equipment.

It is also seeking to prevent the release of the money held in trust pending a review of the taxation of costs.

In its founding affidavit, Encha says the attachment has severely disrupted the day-to-day running of its business.

The company says it seeks urgent relief to "staunch the 1st Applicant's continuing substantial business disruption and loss flowing from the 3rd Respondent's execution on its business furniture and equipment", adding that the assets should be returned to enable it to "resume and run the business operations".

The roots of the dispute date back to 2007, when Vela, through Firstmile Properties and Lonsa (Pty) Ltd, partnered with the late Tiego Moseneke to establish a portfolio of state-tenanted commercial property companies in Tshwane, Bloemfontein and King William's Town.

One of those companies was Encha Properties (KWT1), in which Firstmile acquired a 10% shareholding while Encha Properties retained the remaining 90%.

According to Vela, the company generated steady rental income from government tenants and consistently produced surplus cash.

Relations between the parties later deteriorated.

Vela alleges that despite formal agreements governing the venture, the Moseneke-controlled companies excluded Firstmile from the benefits of the business.

He claims Firstmile received no dividends for 17 years and was denied proceeds arising from a transaction involving the Vukile Property Fund.

He further alleges Encha extracted cash through related-party management fees while raising approximately R200 million in debt against the company to finance other businesses within the Encha Group.

The dispute ultimately landed before the Gauteng High Court, which on 30 November 2016 granted a consent order establishing a process under which an independent referee and valuer would determine the value of Firstmile's shares before they were purchased by Encha.

Following the death of Tiego, the High Court again ordered in 2023 that the valuation process proceed and that the Encha parties pay Firstmile its shareholding in Encha, subject to valuation.

According to Vela, the valuation process stalled because the respondents repeatedly failed to provide the financial and property information required by the independent referee.

In contempt proceedings filed in May 2026, Vela told the court that almost two-and-a-half years after the valuation order, the process had ground to a halt.

"At the time of signing this affidavit, some 2,5 years after the grant of the order, the finalisation of the valuation process has stagnated," he said.

He attributed the delay to what he described as "the obstructive and uncooperative conduct of the Encha Group and the Mosenekes", particularly their alleged failure to provide the referee and valuer with documents necessary to complete the exercise.

Vela maintained the information sought was neither complex nor difficult to obtain.

"The documents sought... are documents that are readily and easily available and can be sent in five minutes. That these documents have not been sent can only be borne of deliberate obstruction."

The continued impasse culminated in the taxation of Firstmile's legal costs on 20 May 2026 and the issuance of the warrant of execution a month later, paving the way for the Sheriff's attachment of Encha's business assets.

Encha does not dispute the existence of the warrant or the Sheriff's attachment.

Instead, it argues that the execution should be suspended because it has launched a review of the taxation and has already deposited the full amount claimed into the Sheriff's trust account as security.

It also claims that the valuation report was incomplete for them to make a settlement.

The company said it made repeated attempts to avoid the attachment, including engaging Firstmile's lawyers and offering an interim payment of R200 000 but those efforts proved unsuccessful.

"All the Applicants wanted was to have the return of their assets and the resumption of their business operations as expediently and cost-effectively as possible," the affidavit says.

Encha further argues releasing the money to Firstmile before the taxation review is determined would cause substantial prejudice.

It says there is "a reasonable apprehension of irreparable harm if the money gets dissipated or paid over to the Respondents", arguing that recovering the funds later could require years of further litigation.

The company also accuses the Sheriff of proceeding despite being informed of the pending urgent application and asks the court to preserve both the attached assets and the security deposit until the review proceedings have been determined.

The latest application places the long-running corporate dispute before the Gauteng High Court once again, with Encha seeking to regain possession of its seized business assets while Firstmile continues its efforts to enforce court orders aimed at securing payment for its minority shareholding.

In the pending contempt application, Vela is also seeking an order compelling compliance with the valuation process, a R500 000 fine against Encha Properties (Pty) Ltd, the imprisonment of certain respondents for 30 days, alternatively suspended sentences and a punitive costs order.