P v Q, R and S (Claim against Assets of Extended Family)
[2024] EWFC 164 (B)
Mohammed Khalid Raja & Anor v ATM Law & Ors
8 November 2024
[2024] EWHC 2782 (Ch)
High Court
Someone owed money tried to get it by taking a house. The homeowner said they didn't really own the house anymore, showing a document saying he gave it away. The judge didn't believe him because the document seemed fake, there was no good proof, and key witnesses didn't show up. So, the person who was owed money likely gets the house.
Key Facts
- •Mohammed Raja (Claimant 1) is the registered proprietor of 45 Morrab Gardens, Ilford.
- •Mohammad Ghazanfar (Defendant 3) is a judgment creditor of Mr. Raja for £94,944.17.
- •Mr. Ghazanfar obtained an interim charging order over the property.
- •Mr. Raja claims he has no beneficial interest in the property due to a Trust Deed dated 14 March 2008.
- •The Deed allegedly transfers beneficial ownership to Mr. Raja's wife and children.
- •The authenticity of the Trust Deed is the central issue.
- •Original Trust Deeds were not produced in court.
Legal Principles
Burden of proof to show Mr. Raja disposed of his beneficial interest lies with the Claimants.
Case Law
Sections 14 and 15 of the Trusts of Land and Appointment of Trustees Act 1996 are relevant to determining the intentions of the trust creator.
Claimants' argument (Mrs. Raja's witness statement)
A charging order securing a judgment debt may not have priority over an earlier unregistered equitable interest.
Claimants' argument (Mrs. Raja's witness statement), citing *United Bank of Kuwait PLC v Sahib*
Outcomes
The court found that the Claimants did not satisfy the burden of proof to show Mr. Raja disposed of his beneficial interest.
The court considered the lack of evidence supporting the Trust Deed's authenticity, the absence of key witnesses, and inconsistencies in the evidence.
The court found the Trust Deed to be likely fraudulent, created after the interim charging order to prevent recovery of the judgment debt.
The court pointed to the late production of the deed, lack of supporting documentation, and missing key witness testimony.
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