Rhazala is a 6 year old goblin girl who lives in Malleon's Gate in Sharn. She's gotten in trouble with the Watch multiple times, and was rescued by Daine when a corrupt guardsman attempted to throw her from one of the lifts in the upper city.
She then picked Daine's pocket, while Jode watched. He even winked at her! Surely they just didn't want to give her the money in front of the guards.
She was the one who found Jode's body, she rushed to tell Daine right away. She later led the Mist Walkers to a meeting with Kasslak in Malleon's Gate, thus facilitating their tentative alliance with Daask.