The Australian Prudential Regulation Authority’s (APRA) report into Zurich Financial Services’ misleading accounts drama is currently with Attorney-General Philip Ruddock. The regulator is waiting to hear what he wants done with it – and whether it will be made public.

APRA conducted a 15-month investigation into the company after it admitted to publishing misleading accounts and overstating its 2000 results by more than $60 million. Suspect financial reinsurance contracts between the insurer and General Re were also examined.

The Australian Securities and Investments Commission (ASIC) is conducting a separate investigation into individuals involved in signing off the Zurich accounts.

Fairfax newspapers reported yesterday that the regulator might make the report public, depending on what Mr Ruddock decides. But APRA spokesman Ardele Blignault told Sunrise Exchange News this isn’t necessarily the case. The regulator is just waiting to “hear some general advice” on the report, and hasn’t specifically asked whether it should release the report to the public.

Zurich, for one, is hoping the report stays secret, for now at least. General Counsel Cathy Manolious told Sunrise Exchange News ASIC has indicated to the company that it wouldn’t like to see APRA’s report released “because it may contain information that could undermine the ASIC investigation”.

“The report may also be released to Zurich, and in that instance we probably wouldn’t release it because of ASIC’s continuing investigation,” she said.

Zurich signed enforceable undertakings with APRA and ASIC in May and agreed to restate four years of financial accounts.

At the time APRA Deputy Chairman Ross Jones said “deliberate and co-ordinated misrepresentation is unacceptable, as it impacts on our ability to best protect the interests of Australian policyholders. Regulators cannot do their job effectively when regulated companies provide misleading information.”