Hargreaves v Salt & Ors

Facts

The White House, a villa in Spain, was once the matrimonial home of Mr Andre David Salt and his wife, Mrs Janet Salt, though neither owned it directly: it was held by a Spanish company, Proserpina Investments, itself owned by a Gibraltar company, Blair Advisory Services, whose shares were held by nominees for Mr Salt, making him the indirect but sole beneficial owner. The property was mortgaged to Bank Inter for some €1 million. Mrs Salt began divorce proceedings in October 2006; in January 2007 Mr Salt agreed to sell the shares in Blair Advisory Services to Mr Andrew Hill, the sale completing in early February 2007. The decree was made absolute in January 2008, and by July 2008 Mrs Salt was on the point of applying for financial relief, including an application under Section 37 of the Matrimonial Causes Act 1973. On 23 July 2008 Mr Salt presented his own bankruptcy petition and was adjudged bankrupt; Mr Hargreaves, his trustee in bankruptcy, applied under Section 339 of the Insolvency Act 1986 to set the transaction aside as at an undervalue. Both applications were tried together before HHJ Cooke, sitting as a judge of the High Court in the Family Division, who gave judgment on 18 November 2010. Mr Hill sought permission to appeal.