The courts' treatment of simulated transactions is best illustrated in the classic case of Vasco Dry Cleaners v Twycross.

To avoid the requirement of transfer, the parties sometimes enter into a simulated transaction, which appears to be one type while it is actually another: a sale, for example, which is actually a pledge.

A Complicated Web' Carlos Croissier, the head of the stock market commission, has testified in Parliament that Ibercorp engaged in "massive and continuous operations of illegally buying its own stock through simulated transactions of a complicated web of dummy companies."