Irene Liyanage vs Maddumage Geetha Jayamali and Sirimewan Pathirana – SC APPEAL 32/2019-2023

In the case between Irene Liyanage (plaintiff/appellant) and Maddumage Geetha Jayamali and Sirimewan Pathirana (defendants/respondents), the court addressed the issue of whether the transfer of land by Deed No. 1096 (P3) constituted a genuine sale or a transaction executed fraudulently or without valuable consideration, and the legal implications on subsequent deeds. It was held that Deed P3 was executed without valuable consideration, invalidating the transaction as a sale, and the relevant transfers could not be upheld as bona fide conveyances. The decision reaffirmed the principle that the absence of valuable consideration in a purported sale, particularly where there is evidence of a security arrangement, can render a deed a nullity. This holding was grounded in established property an