227T. Undue preference in case of judicial management Flashcards
227T. Undue preference in case of judicial management
General overview
[227T.01] Section 227T provides that any undue preference or payment, conveyance, transfer of property, or any undervalued transactions shall be void against the judicial manager the same way it is void against the official assignee in a winding up by virtue of ss 98, 99 or 103 of the Bankruptcy Act (Cap 20). Note: such rights are conferred on the judicial manager personally and do not “attach” to the assets of the company: Neo Corp Pte Ltd v Neocorp Innovations Pte Ltd [2006] 2 SLR 717, CA. The relevant date to set aside any of the aforesaid undue preference, etc. is the date of the application for a judicial management order under ss 227A and 227B: s 227T(2). See further, Wee Meng Seng, “Avoidance Law in Judicial Management” [2006] SJLS 505. More will be discussed under winding up.
