Reserve Bank of New Zealand v CBL Insurance
Limited [2018] NZHC 264
This decision is notable for the fact that the hearing involved
proceeding on a Pickwick basis – a practice whereby the
respondent to an ex parte application is invited to appear
at the hearing without the need to file written submissions.
The Reserve Bank of New Zealand (RBNZ), the
designated prudential supervisor of insurers, successfully obtained
an order to have an interim liquidator appointed for CBL Insurance
Limited (CBLI), pending the outcome of substantive
liquidation proceedings. The affidavit filed in support of the
application recorded RBNZ's view that CBLI had breached the
100% solvency margin required to be maintained by it under the
Insurance (Prudential Supervision) Act 2010, along with statutory
directions made by RBNZ in respect of payments made to overseas
recipients.
