second defence is that in any case this amounted to fraudulent preference in favour of some of the debtors and so was invalid under Section ... Court below.
5.. As regards the contention that there was fraudulent preference by the Bank, reliance was placed by the learned Advocate for the appellant
commencement of the Companies (Amendment) Act, 1960 (65 of 1960).
531. Fraudulent preference--(1) Any transfer of property, movable or immovable, delivery of goods, payment ... adjudged insolvent, would be deemed in I his insolvency a fraudulent preference, shall in the event of the company being I wound up, be deemed
playing in the field, if any. Section 531 is made for fraudulent preference. In respect of any transfer of property movable or immovable, delivery ... adjudged insolvent, would be deemed in his insolvency a fraudulent preference, shall in the event of a company being wound up, be deemed a fraudulent
force. On the other hand, apart" from the question of fraudulent preference which depends upon separate considerations and with which I will deal presently ... sufficient to say that, subject to the question of fraudulant preference, I can see no ground for disputing the good faith of either party
their creditors with a view to giving them a fraudulent preference over the other creditors; and
(e) that the debtors departed from their usual place ... also claimed that this conveyance is void and is a fraudulent preference under Section 56 of the Act. If it were a sham transaction such
learned Judge on the footing that the transactions were only fraudulent preferences within the meaning of Section 54 of the Act. Under these circumstances ... learned Judge proceeded to consider whether the transactions in question were fraudulent preferences within the moaning of Section 54 , Provincial Insolvency Act, which
started. The objection in substance was that the transfer was a fraudulent preference and is not valid.
2. The Subordinate Judge negatives this objection ... Section 231 , Companies Act, and must be deemed to be a fraudulent preference.
5. The test of fraudulent preference has been laid down authoritatively
point out, however, that where an act is impeached as a fraudulent preference the onus of proof lies on the Receiver Expnrte Lancaster ... several dates. A particular transaction may be set aside as a fraudulent preference, only if it is proved that it was carried out with
subject bonds as the liquidator has
treated the same as fraudulent preference under Section 531 of the
Act. Precisely for such reason, the transfer could ... Professional Liquidator. Ultimately it was held that it cannot be
a fraudulent preference as the same was a genuine transaction
between the parties, the Company
Williams, J., which was in that case that there was no fraudulent preference, was upset in the Court of Appeal on the ground that ... Lord fisher says: "the question whether there has been a fraudulent preference depends not upon the mere fact that there had been a preference
