Strengthening partnerships to uphold SA’s legal standards
Strengthening partnerships to uphold SA’s legal standards
In light of the recent concerns highlighted by the Financial Intelligence Centre (FIC) regarding compliance and integrity lapses among legal practitioners, the imperative for adherence to the FIC Act has never been clearer.
The challenge underscores the extensive responsibilities shouldered by legal practitioners and the Legal Practice Council (LPC) in upholding the profession’s credibility and standards.
While the portrayal of the challenges might suggest a beleaguered legal sector, the LPC remains dedicated to strengthening legal practice and promoting a culture of governance across South Africa.
Our ongoing dialogue with legal practitioners and stakeholders, including the FIC and the Financial Action Task Force, focuses on the clear communication of compliance requirements. This ensures that legal firms and practitioners understand their obligations, aided by webinars and awareness sessions conducted in partnership with the FIC, alongside strict enforcement actions against non-compliance.
As one of the initiatives in promoting compliance in the legal profession, the FIC and LPC have formed a partnership in conducting joint inspections at legal practitioners to assess the level of anti-money laundering and combating the financing of terrorism (AML/CFT) compliance. The initiative is among the efforts aimed at assisting to remove the country out of the greylist.
Alice Walker’s words, “the most common way people give up their power is by thinking they don’t have any”, resonate deeply as we advocate for collaborative efforts to fortify and preserve our legal profession’s integrity. Indeed, everyone has a crucial role in maintaining high legal standards; the LPC cannot achieve this in isolation.
As we mark the 30th anniversary of apartheid’s end and the birth of our democratic government, it is a fitting moment to reflect on our professional journeys and future ambitions.
The Legal Practice Act 28 of 2014 plays a pivotal role in regulating legal practitioners, ensuring accountability and managing the Legal Practitioners’ Fidelity Fund and its governing board. The act's effectiveness is greatly enhanced by the practitioners’ willingness to adopt a growth mindset.
We challenge legal practitioners to embrace robust corporate governance, which is essential for managing law firms effectively. This includes promoting ethical culture, strong performance, comprehensive controls, fiscal accountability and rigorous legal practices – all foundational to improving compliance and accountability.
The credibility and trust of our legal fraternity depend on practitioners’ commitment to practice with utmost dedication and transparency. The commitment is vital, given their significant role within communities.
The LPC is dedicated to ensuring regulatory compliance and fostering a culture of compliance among practitioners, which is crucial for managing financial practices effectively. We have ingrained our commitment to high ethical standards and compliance in our mission, which includes proactive monitoring and resolution of non-compliance issues.
It is crucial that current and aspiring legal practitioners strive to become entrepreneurial leaders within credible law firms. Addressing issues of integrity and setting high standards are essential to prevent non-compliance from becoming the norm.
Furthermore, the legal sector needs more discussions on the quality of practitioner education and training, skills development and support mechanisms. This is why the LPC hosts virtual workshops to boost compliance awareness and guidance.
We advocate for more programmes that help legal practitioners develop personally and professionally, achieve social consciousness and acquire leadership skills that transform them into ambassadors of legal practice.
Understanding compliance obligations is particularly critical in the first 90 days following admission as an advocate. The knowledge significantly enhances the standards of legal education and training.
Finally, the evident lack of compliance among some attorneys has emphasised the importance of risk management and compliance programmes, which empower practitioners to tackle non-compliance effectively.
Our mission includes improving financial management skills among practitioners, addressing prevalent financial management capacity constraints through targeted training programmes.
By investing in the stability and future of legal practice, the LPC is committed to strengthening democratic governance and enhancing justice services for all South Africans. Our goal is to cultivate an informed generation of practitioners who lead the way in innovating and shaping the future of our country’s legal sector, deepening partnerships, and building a prestigious network of change-makers in the law industry.
Charity Nzuza is the CEO at the Legal Practice Council.
The Star