What is an unreasonable director-related transfer?

An unreasonable director-related transfer is a transaction that meets these three criteria:

  • The transaction involves the company making a payment, selling an asset, issuing securities or taking on a debt
  • The transaction is done for the benefit of a company director or a close associate
  • The transaction isn’t in the company’s best interests

This transaction was made by a company before it is placed into insolvent liquidation.