This paragraph applies where—
the property which is the subject of a compensating transfer is or includes cash or deposits as defined in paragraph 5(i);
that property was acquired by the parent with care after the relevant date;
the absent parent has no legal interest in that property;
if that property is or includes cash obtained by a mortgage or charge, that mortgage or charge was executed by the parent with care after the relevant date and was of property to the whole of which she is legally entitled; and
the effect of the compensating transfer is that the parent with care or a relevant child is beneficially entitled (subject to any mortgage or charge) to the whole of the absent parent’s legal estate in the land which is the subject of the qualifying transfer.
Where sub-paragraph (1) applies, the qualifying value of the compensating transfer shall be the amount of the cash or deposits transferred pursuant to the court order or written maintenance agreement referred to in head (a) of the definition of “qualifying transfer" in paragraph 1(1).