Pilcher v Rawlins (1872) 7 Ch App 259

Pilcher is a trustee
He is approached by Rawlins, who wants to borrow money
Pilcher agrees, and executes a common law mortgage (transaction thus far has been OK)
Pilcher and Rawlins then decide to defraud people, and they borrow money from S&L, fraudulently omitting the document showing the earlier mortgage – therefore they could only give away what they had (which was very little, really)
Pilcher reconveys the land to Rawlins without receiving payment for the mortgage, which is in breach of his fiduciary duty to the object of the trust
Rawlins executes the mortgage to S&L, meaning they are the legal owners

S&L were bona fide purchasers for value without notice; they had no reason to suspect the transaction wasn’t OK
Constructive notice does not extend to deeds removed from chain