Joella Miller

The applicant husband and respondent wife built a real estate corporate empire during their marriage.

Following their separation, the wife claimed her mother beneficially owned the subject corporations and relied on a 2007 marriage contract to exclude the assets from net family property.

The court found the husband was the beneficial owner of four of the corporations and a 50% owner of the fifth, determining the mother was merely a nominee.

The court also set aside the marriage contract, finding the parties had abandoned it by mutual agreement in 2008.

The wife's post-separation actions to seize control of the corporations were found to be oppressive under the Business Corporations Act.

The decision concerns claims by the plaintiffs to set aside various transfers of property, shares, and a trademark by the defendant Pooniah Soundrarajan to family members and related companies, on the basis that they were fraudulent conveyances intended to defeat creditors, and also claims of oppression and unjust enrichment.

The court reviews the evidence for badges of fraud, the timing and context of the transfers, and the adequacy of consideration.

The court grants a non-suit on the claim regarding the transfer of the matrimonial home but finds a prima facie case regarding the share and trademark transfers and oppression, ultimately declaring those transfers void as against the plaintiffs.

The moving parties brought a motion for leave to appeal an order of Dietrich J. dated May 30, 2023.

The Divisional Court dismissed the motion for leave to appeal and ordered the moving parties to pay costs of $2,000 to the litigation guardian for the plaintiff and $3,000 to the responding parties.