The existence of reinsurance arrangements is a relevant factor in applications for leave to proceed against a company in liquidation under s 471B of the Corporations Act, having regard to s 562A. A court may infer the probable existence of reinsurance documents from the nature of the insurer's business and the value of the policy, and order discovery under r 388 even where the applicant has no direct knowledge of the documents' existence. The proper construction of s 562A — whether reinsurance proceeds are payable only to holders of policies the subject of the reinsurance or to all policyholders — was noted as ambiguous but not finally determined.
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