87EAmount recoverable by mortgagee under section 77 in case of fraudulent mortgage

87E Amount recoverable by mortgagee under section 77 in case of fraudulent mortgage (1) This section applies if— (a) land has been mortgaged fraudulently; and (b) the registered proprietor of the land is not a party to that fraud; and (c) the registered proprietor is entitled to be indemnified under this Act because of that fraud; and (d) the land has been sold under a mortgage or charge in accordance with section 77. (2) If this section applies, the amount to be applied in accordance with section 77(3) must not exceed the amount payable under section 110(4)(c) in respect of the payment of money due or owing (as appropriate)— (a) on the first mortgage or charge, in accordance with section 77(3)(b); or (b) in respect of subsequent mortgages and charges, in accordance with section 77(3)(c); or (c) on the first mortgage or charge and subsequent mortgages and charges, in accordance with section 77(3)(b) and (c).