Legal Question in Criminal Law in South Africa

I'm afraid that he can - BUT just because he can, or does lay criminal charges against you, does not mean that you are actually guilty of fraud. It is clear from the information provided that you lacked the necessary intention to defraud. In other words, one cannot prevent a person from laying fraud charges against you, but that changes nothing to your guilt or innocense in the matter.

However, even if the client should go to the police, there is a possibility that they will not open a docket if they perceive the matter to be a civil matter instead of a criminal matter (this happens often with fraud charges).

Nevertheless, having charges of this nature having over you is an extreme nuisance and it would be advisable to arrange for the refund of the deposit as soon as possible. Bear in mind that there is a risk that your apparent inability to refund the deposit immediately, may have two further unpleasant consequences. Firstly, it may be seen as an act of insolvency, which could lead to the client bringing an application for the liquidation of your business. Secondly, even though this is likely not fraud, you may still leave yourself open to charges of theft.

If you need legal assistance in respect of the possibility of criminal charges against you, please contact my colleague, Gys Niesing, on 084 593 2341.

Best of luck,