The plaintiff, Toronto-Dominion Bank, sought summary judgment against Michael D’Cruz and Rosalind D’Cruz to set aside a $94,000 payment made by Michael to Rosalind in February 2022, shortly before Michael’s bankruptcy.
The court found that the payment constituted a preference under the Bankruptcy and Insolvency Act and was void under the Fraudulent Conveyances Act, as it gave Rosalind preferential treatment over other creditors.
The court granted judgment in favour of the plaintiff for $94,000 and provided directions for costs.
