DAVEY v. BULLOCK

17 VLR 3·HODGES, J.
17 VLR 3
17 VLR 3
DAVEY v. BULLOCK Supreme Court of Victoria HODGES, J. February 2, 03 February 1891 "Insolvency Statute 1871" (No. 379), s. 71 — Fraudulent preference — Bona fides of creditor .

A mortgage given within three months of insolvency by a debtor who knows that he is hopelessly insolvent to a creditor to secure past advances with a view of giving such creditor a preference over his other creditors is not void under the "Insolvency Statute 1871" (No. 379) against the trustee of the estate, if such creditor takes the mortgage bon fide; and such bona fides is not affected by his knowledge that the debtor was considerably pressed for money and his desire to be first in the field, if he has no certainty of his being insolvent nor any idea that the debtor desires to prefer him to other creditors.

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