Re ICRA Rolleston Pty Ltd

The case of Re ICRA Rolleston Pty Ltd involved the Company, its receivers and managers, and its administrator. The sole director of the Company sought to inspect a contract of sale entered into by the receivers and managers, for the purpose of formulating a deed of company arrangement. The receivers and managers opposed the inspection, leading to a dispute over whether the contract was a financial record as defined by s 421 of the Corporations Act 2001 (Cth). The central legal issue was whether the contract of sale was a financial record, and thus subject to inspection by the director under the Act.

The court examined the definition of "financial records" and determined that the contract of sale was not one of the documents specified in the Act. The court refined the issue into three sub-issues: whether the contract of sale was a document of prime entry, whether it was a working paper or other document needed to explain the methods by which financial statements are made up or adjustments to be made in preparing financial statements, and whether it was a financial record within the ordinary meaning of that term. The court held that the contract of sale was not a financial record, and thus the sole director was not entitled to inspect it. The court also considered the context of the joint venture and the significant creditor status of Glencore.

In conclusion, the court dismissed the originating application filed by the sole director and ordered that the parties would be heard as to costs. The court found that the contract of sale was not a financial record, and therefore the sole director was not entitled to inspect it. The court's decision highlights the importance of understanding the definition of financial records under the Act and the limitations on a director's right to inspect such records.