https://www.taxtmi.com/caselaws?id=98206 A transfer made in discharge of a genuine debt was held not to be a fraudulent preference merely because it preferred one creditor, unless the impeaching party proved a dominant fraudulent motive. On the facts, the debt was genuinely due and the sale of the buses was treated as a bona fide arrangement to satisfy an existing liability, so the transfer was not liable to be set aside. The liquidator's order, made without court sanction, could not conclusively determine fraudulent preference in collateral proceedings or defeat the respondent's title. The buses-related appeal failed, while the connected appeal on the security amount succeeded. en-us Tue, 17 Nov 1964 00:00:00 +0530 Thu, 19 Jan 2012 16:22:21 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=98206 A transfer made in discharge of a genuine debt was held not to be a fraudulent preference merely because it preferred one creditor, unless the impeaching party proved a dominant fraudulent motive. On the facts, the debt was genuinely due and the sale of the buses was treated as a bona fide arrangement to satisfy an existing liability, so the transfer was not liable to be set aside. The liquidator's order, made without court sanction, could not conclusively determine fraudulent preference in collateral proceedings or defeat the respondent's title. The buses-related appeal failed, while the connected appeal on the security amount succeeded. Case-Laws Companies Law Tue, 17 Nov 1964 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=98206