§ 1710 — Divestiture of control; superintendent's power to order disposition of subsidiaries

New York § 1710

• Jurisdiction: New York
• Law ISC: Insurance
• Art. 17: Subsidiaries of Domestic Life Insurance Companies and Certain Other Entities

Text

§ 1710. Divestiture of control; superintendent's power to order\ndisposition of subsidiaries.\n (a) Any parent corporation seeking to divest its controlling interest\nin a domestic insurer, in any manner, shall file with the\nsuperintendent, with a copy to the insurer, notice of its proposed\ndivestiture at least thirty days prior to the cessation of control,\nprovided, however that this subsection shall not apply if notice is\nprovided as required by subsection (b) of section one thousand seven\nhundred one of this article.\n (b) In addition to the powers granted to the superintendent elsewhere\nin this chapter (including, without limitation, section one hundred nine\nof this chapter and section three hundred nine of the financial services\nlaw), the superintendent may, at any time, order a parent corporation to\ndispose of any subsidiary, if the superintendent finds, after notice and\nan opportunity to be heard, either:\n (1) that its acquisition or continued retention is or was not\npermitted by the provisions of this article; or\n (2) except in the case of a subsidiary then exempted by the provisions\nof subsection (a) or (b) of section one thousand seven hundred four of\nthis article, that its continued retention is materially adverse to the\ninterests of the parent corporation's policyholders or subscribers.\n