This was a fraudulent conveyance action concerning the transfer of a property from Punit Lala and Pawan Lala to Pawan Lala and Rani Lala.
The transfer occurred after Punit Lala was served with a motion for summary judgment in a fraud action by the applicant, Infolink Technologies Corp. The court found that Punit Lala conveyed the property with the intent to defeat Infolink's ability to collect on a potential judgment, and that the other defendants (Pawan, Rani, and Kishore Lala) either knew about this intent or were wilfully blind to it.
The court also determined that Rani and Pawan Lala were not bona fide purchasers for value, as they did not act in good faith and the property was not transferred at fair market value.
The transfer was declared void as against Infolink, allowing them to execute against Punit Lala's ¼ interest in the property.
Infolink's claim for punitive damages was dismissed.
