A colourful and slightly confusing court battle mounted against the Australian Prudential Regulation Authority (APRA) by Rural & General Insurance Broking has been brought to a halt before it ever really got started. The Sydney-based broker, which has an agency agreement with unauthorised foreign insurer Rural & General International Insurance in Vanuatu, had to pay APRA’s costs last week when the District Court of NSW discontinued the company’s legal action as an “abuse of process”.

The broking company initiated proceedings against APRA in April after the regulator warned Australian consumers about buying Rural & General International Insurance policies. APRA said R&GII is registered in Vanuatu as an exempt general insurer, which means it isn’t authorised to carry on insurance business in or from within Vanuatu, or to solicit insurance business from the public within or beyond Vanuatu. Work that out…

When Sunrise Exchange News attempted to contact an individual we understand is the brokerage’s managing director, a staff member was unable to locate him or to confirm his position in the company. “He’s never really around,” she said. He didn’t return calls from Sunrise Exchange News, either.

R&G Insurance Brokers was ordered to pay APRA’s costs for the abortive court case.