Header:
NEW YORK CONSOLIDATED LAW SERVICE
UNCONSOLIDATED LAWS
MILITARY
CHAPTER 131. DEFENSE EMERGENCY ACT
ARTICLE 7. BANKING
Date:
08/31/2009
Document:
ยง 93. Powers of the superintendent
1. In the event that at any time during a period of acute emergency, the number of directors or acting directors of an institution which is a corporation who are present and capable of acting shall be less than three, the superintendent shall have the power to designate additional acting directors in such number as will bring to three the number of directors and acting directors who are present and capable of acting.
2. Upon a determination that such action will tend to promote the safe and sound and orderly conduct of the business of any institution or to prevent controversy as to the power of any group of persons purporting to act as an emergency board of directors so to act, the superintendent shall have power to issue orders declaring that any such group shall or shall not have the powers of an emergency board of directors, or confirming, modifying or vacating in whole or in part any action taken or purportedly taken by any such group or removing any acting director.
3. (a) At any time after an attack, upon his determination that such action will tend to promote certainty as to the powers of institutions or individuals pursuant to this article or that such action is desirable to enable institutions to take preparatory precautions prior to the occurrence of an acute emergency, the superintendent shall have power to declare that any provision of this article which he may specify shall be operative with respect to any institution which he may designate.
Upon such declaration such institution and its directors, officers, acting directors and acting officers shall have all powers conferred by such provisions of this article. The failure of the superintendent so to declare shall not be deemed to limit the powers of any institution or its directors, officers, acting directors or acting officers where an acute emergency exists in fact.
(b) At any time after the commencement of an acute emergency or after the superintendent shall have declared any provision of this article operative pursuant to paragraph (a) of this subdivision, upon his determination that an institution is able, in whole or in part, to carry on its business in compliance with its charter and the laws other than this article, the superintendent shall have power to declare that any provision of this article which he may specify shall be inoperative with respect to any institution which he may designate. Upon such declaration, such institution shall be governed by its charter and the provisions of law other than this article, except insofar as other provisions of this article remain operative.
4. Upon his determination that, as a result of an acute emergency, the business and affairs of an institution cannot otherwise be conducted in a safe and sound manner, the superintendent may forthwith take possession of the institution and its business and property. The provisions of section six hundred six through six hundred thirty-two, inclusive, of the banking law shall be applicable in any case in which the superintendent takes possession of an institution pursuant to this subdivision as though the institution were a banking organization or foreign banking corporation of which the superintendent had taken possession pursuant to section six hundred six of such law, except that no such provision shall be applicable which the superintendent shall have declared inapplicable pursuant to this subdivision. The superintendent shall have power to declare inapplicable any such provision upon his determination that the same is inappropriate or unnecessary to protect the interests of the public or the stockholders or creditors of the institution, in view of the acute emergency and the nature of the institution. This subdivision shall not be construed as conferring upon the superintendent the power to declare inapplicable the provisions of section six hundred seven of such law.
5. The superintendent shall have power to issue general and specific regulations, directives and orders consistent with and in furtherance of the purposes of this article.
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