Maria Bechara v Theodoros Haratsaris [2013] NSWSC 577

Supreme Court New South Wales

Medium Neutral Citation: Maria Bechara v Theodoros Haratsaris [2013] NSWSC 577 Hearing dates: 7 and 8 April Decision date: 26 April 2013 Jurisdiction: Equity Division Before: Rein J Decision: Orders the first and second defendants to pay the plaintiff's debt with freezing orders in place to continue until the plaintiff's debt is paid, or arrangements satisfactory to the plaintiff are made in lieu. Declare pursuant to s 37A of the Conveyancing Act 1919 (NSW) that the transfer of the first defendant's interest in the property comprised in Folio Identifier 1/308418 to the second defendant is void.Declare that the second defendant holds her registered title and interest in the property comprised in Folio Identifier 1/308418 as trustee for the first defendant. Order that the second defendant transfer, to the first defendant, the second defendant's currently registered title and interest in the property comprised in Folio Identifier 1/308418.Declare pursuant to s 86 of the Law of Property Act 1936 (SA) that the transfer of the first defendant's joint tenancy interest in the property comprised in Parent Title CT 5728-413 - allotment 503 DP 76543 to the second defendant is void.Declare that the second defendant holds her registered title and interest in the property comprised in Parent Title CT 5728-413 - allotment 503 DP 76543 as a joint tenancy between herself in her own capacity, and herself as trustee for the first defendant.Order pursuant that the second defendant transfer, to the first defendant as a joint tenant with the second defendant, the second defendant's currently registered title and trusteeship interest in the property comprised in Parent Title CT 5728-413 - allotment 503 DP 76543.Stay entry and execution only of each of orders 4 and 7 for a period of 90 days from the date of this judgment and orders.Order that the first and second defendants, or either of them by themselves their servants or agents, be restrained from taking any steps to sell, transfer, mortgage or further encumber the properties, or either property, made the subject of orders 2, 3, 5, 6 other than-(a) with the prior consent in writing of the plaintiff; or(b) for the purpose of complying with orders 4 and 7; or(c) until further order of the Court. Catchwords: CONVEYANCING ACT - whether assets transferred with the intention to defraud creditor - whether the second defendant can rely on the defence of a purchaser in good faith without notice of the first defendant's intention to defraud creditors Legislation Cited: Conveyancing Act 1919 (NSW) Law of Property Act 1936 (SA) Cases Cited: B v U [2012] NSWSC 1416 Briginshaw v Briginshaw (1938) 60 CLR 336 Huynh v Helleh Holdings Pty Ltd [2001] NSWSC 1162 Kang v Kwan [2002] NSWSC 1187; (2002) 11 BPR 20,623 Macquarie Bank Ltd v National Mutual Association of Australia Ltd & Ors (1996) 40 NSWLR 543 Marcolongo v Chen (2011) 242 CLR 546, (2011) 274 ALR 634; (2011) 85 ALJR 380; [2011] HCA 3 PT Garuda Indonesia Ltd v Grellman (1992) 35 FCR 515 Rejfek v McElroy (1965) 112 CLR 517 Wentworth v Rogers [2004] NSWCA 430 Category: Principal judgment Parties: Maria Bechara (plaintiff) Theodoros Haratsaris (first defendant) Denise Haratsaris (second defendant) Representation: Counsel: Mr Kelly SC; Mr Bates (plaintiff) Mr McCulloch SC; Mr Perla (first and second defendants) Solicitors: Bechara & Co (plaintiff) Clamenz Evans Ellis Lawyers (first and second defendants) File Number(s): 2012/154997