Herath Mudiyanselage Priyanthi Winifreda vs Senarath Abeysiri Yamilawatte Panilatenna and others – 89/2017-2025

This case involves an appeal concerning the nature of a property transfer, Deed No. 2357, between the Appellant and the 1st Respondent, and subsequently to the 2nd Respondent. The Appellant contended that the transfer was for securing a loan, not an outright sale, thereby establishing a constructive trust. Lower courts ruled against the Appellant, disallowing certain evidence. The Supreme Court reviewed the interpretation of the deed, admissibility of evidence, and the concept of constructive trust. It was determined that the lower courts erred in their findings, particularly regarding the existence of a constructive trust and the exclusion of evidence. The 2nd Respondent was found not to be a bona fide purchaser. The appeal was allowed, with an order for the reconveyance of the property t