Protection of trustees under void deeds
219. Where a deed of arrangement is void by reason—
(a)that the requisite majority of creditors have not assented to the deed, or
(b)in the case of a deed for the benefit of 3 or more creditors,—
(i)that the debtor was insolvent at the time of the execution of the deed, and
(ii)the deed was not registered as required by this Chapter,
but is not void for any other reason, and a bankruptcy order is made against the debtor upon a petition presented after the expiration of 3 months from the execution of the deed, the trustee under the deed shall not be liable to account to the trustee in the bankruptcy for any dealings with or payments made out of the debtor’s property which would have been proper if the deed had been valid, if he proves that at the time of such dealings or payments he did not know, and had no reason to suspect, that the deed was void.