Section 49
Avoidance of preference in certain cases
(1)
Every -
(a)
conveyance or transfer of property, or charge thereon made;
(b)
payment made, every obligation incurred; and
(c)
judicial proceeding taken or suffered by any person unable to pay his debts as they become due from his own money in favour of any creditor or of any person in trust for any creditor with a view to giving such creditor or any surety or guarantor for the debt due to such creditor, a preference over the other creditors, if the person making, taking, paying or suffering the same is adjudged bankrupt on a bankruptcy petition presented within 3 months after the date of making, taking, paying or suffering the same, is deemed fraudulent and void as against the trustee in the baihptcy.
(2)
This section does not affect the rights of any person making title in good faith and for valuable consideration through or under a creditor of the bankrupt.