The case confirms that deliberate concealment of trust asset sales, combined with conscious misuse of directorial powers for personal benefit, constitutes 'fraud' within s 42 of the Transfer of Land Act 1958 (Vic), defeating indefeasibility of title and enabling constructive trust relief against a knowing recipient. An appointor of a trust owes fiduciary duties to the beneficiaries when exercising the power to remove and appoint trustees, and an appointment made for a collateral or ulterior purpose will be set aside as invalid. A defaulting fiduciary who has acted dishonestly is not entitled to remuneration for management services, even where services were in fact provided to the trust.
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