§ 658 — General powers of the fund; administration of the fund

§ 658. General powers of the fund; administration of the fund. 1. The\nfund shall have the power to borrow money from the property and\nliability insurance security fund created by section seven thousand six\nhundred three of the insurance law on such terms and conditions as the\nsuperintendent may authorize pursuant to section seven of chapter one of\nthe laws of nineteen hundred seventy-seven to the extent necessary to\nprotect the interests of the purchasers and holders of New York\ninstruments, and to pledge the assets of the fund or any portion thereof\nas security for such borrowings.\n 2. The fund shall have the power to accept contributions or donations\nto the fund from any source. The fund shall also have the power to\npursue, realize upon, compromise and otherwise dispose of all rights and\nremedies of claimants assigned to the fund pursuant to the provisions of\nthis article. The proceeds of all such rights and remedies and any other\namounts which the fund may receive from any source shall constitute a\npart of the assets of the fund.\n 3. The fund created by this article shall be separate and apart from\nany other fund and from all other state monies, and the faith and credit\nof the state of New York is pledged for its safekeeping. The\ncommissioner of taxation and finance shall be the custodian of the fund\nand all disbursements from said fund shall be made by the commissioner\nof taxation and finance upon vouchers signed by the superintendent or\nhis designated deputy. The monies of said fund may be invested by the\ncommissioner of taxation and finance only in obligations of the United\nStates or of this state and in interest-bearing certificates of deposit\nfor a bank or trust company located and authorized to do business in\nthis state, or of a national bank located in this state, secured by a\npledge of direct obligations of the United States or of the state of New\nYork in an amount equal to the amount of such certificate of deposit.\nThe commissioner of taxation and finance may sell any of the obligations\nor certificates of deposit in which said fund is invested, if advisable,\nfor its proper administration or in the best interests of said fund.\n 4. The expense of administering the fund shall be paid out of the\nfund. Prior to the first days of January, April, July and October, there\nshall be submitted to the director of the budget for approval an\nestimated budget of expenditures for the succeeding three months. There\nmay not be expended for the purpose of administering the fund more than\nthe amounts as authorized by the director of the budget. The\nsuperintendent shall serve as administrator of the fund without\nadditional compensation, but may be allowed and paid from the fund\nexpenses incurred in the performance of his duties in connection with\nthe fund. The compensation of those persons employed by the\nsuperintendent, within the amounts approved by the director of the\nbudget, shall be deemed administration expense payable from the fund.\nThe superintendent shall make an annual report of the receipts to and\ndisbursements from the fund, including the cost of administration of the\nfund, which report shall be made available to each uninsured transmitter\nof money who has made payments into the fund during such year and to any\nother person having an interest in the fund.\n