§ 179 — Investments in municipal assistance corporation obligations; indemnification

§ 179. Investments in municipal assistance corporation obligations;\nindemnification. 1. It is hereby found and declared that obligations of\nthe municipal assistance corporation for the city of New York are\nreasonable, prudent, proper and legal investments for any fund described\nin subdivision one of section one hundred seventy-six of this article or\nfor any board member, officer, employee, trustee or fiduciary thereof to\nmake on behalf of such fund.\n 2. Notwithstanding any other provision of law, including the\nprovisions of subdivision one of section seventeen of the public\nofficers law, no member of the board, officer, employee, fiduciary of\nany fund described in subdivision one of section one hundred seventy-six\nof this article shall incur or suffer any liability whatsoever to any\nperson beneficially interested in such system by reason of any\ninvestment of the monies thereof in obligations of the municipal\nassistance corporation for the city of New York and each such system\nshall save harmless and indemnify all members of the board, officers,\nemployees, trustees, fiduciaries and investment advisors of any fund\ndescribed in subdivision one of section one hundred seventy-six of this\narticle from financial loss arising out of any claim, demand, suit,\naction or judgment for alleged negligence, waste or breach of fiduciary\nduty by reason of any investment of any monies of such fund in\nobligations of the municipal assistance corporation for the city of New\nYork provided that such person shall, within five days after the date on\nwhich he is served with any summons, complaint, process, notice, demand,\nclaim or pleading, deliver the original or a true copy thereof to the\nlegal advisor of such system. Upon such delivery the legal advisor of\nsuch system may assume control of the representation of such person in\nconnection with such claim, demand, suit, action or proceeding. Such\nperson shall cooperate fully with the legal advisor of the system or any\nother person designated to assume such defense in respect of such\nrepresentation or defense.\n 3. The provisions of this section shall not be applicable to purchases\nmade by the New York city employees' retirement system, the board of\neducation retirement system of the city of New York, the teachers'\nretirement system of the city of New York, the New York city police\npension funds and fire department pension funds in obligations of the\nmunicipal assistance corporation for the city of New York and\nobligations of the city of New York from the municipal assistance\ncorporation for the city of New York and the city of New York after\nNovember twenty-third, nineteen hundred seventy-five, but nothing herein\ncontained shall be deemed to diminish the indemnification provided for\npurchases made by the New York city employees' retirement system, the\nboard of education retirement system of the city of New York, the New\nYork city police pension funds and fire department pension funds in\nobligations of the municipal assistance corporation for the city of New\nYork and obligations of the city of New York from the municipal\nassistance corporation for the city of New York and the city of New York\non and after September ninth, nineteen hundred seventy-five, but prior\nto November twenty-third, nineteen hundred seventy-five, in accordance\nwith the provisions of this section.\n