N.Y. Abandoned Property Law § 1412: Penalty, interest and special proceedings 1

§ 1412. Penalty, interest and special proceedings

1. Any person wilfully failing to make any full and complete report or

to file any affidavit required by this chapter shall forfeit to the

people of the state the sum of one hundred dollars for each day such

report or affidavit shall be wilfully delayed or withheld, except that

the state comptroller may extend the time for making any such report or

filing any such affidavit and may waive the payment of any penalty or

part thereof provided for by this subdivision.

2. In addition to the penalty prescribed in subdivision one of this

section for failure to report, any person failing to pay any sum or to

deliver any property required to be paid or delivered to the state

comptroller by this chapter or any law relating to abandoned property

shall pay to the people of the state interest on the amount or value of

such property. Such interest shall be at the rate of ten per centum per

annum computed for a period to commence upon the date such payment or

delivery was required by this chapter and to terminate upon the date of

full compliance therewith, except that the state comptroller may waive

the payment of all or part of such interest whenever in his opinion the

circumstances warrant such waiver.

3. Upon the failure of any person to fully and completely report and

pay or deliver abandoned property to the comptroller pursuant to this

chapter or any other law relating to abandoned property, the comptroller

shall issue a determination of the amount due and owing him as custodian

of the abandoned property fund. Such determination shall be served by

certified mail upon the person failing to report and pay or deliver and

shall be presumptive evidence of the amount stated therein as due and

owing the comptroller. Such presumption shall apply to that portion of

the stated amount which is alleged to have become payable or deliverable

as abandoned property no longer than five years following the

thirty-first day of December of the year in which such report was

required to be filed. If a full and complete report and payment or

delivery is not made by such person within thirty days following the

receipt of the determination, the comptroller shall convene a hearing,

upon reasonable notice, in order to certify the amount due as abandoned

property. The notice of hearing shall be served by certified mail upon

the person having failed to report and pay or deliver.

4. Where the comptroller, or a person designated by him, after a

hearing certifies the amount due as abandoned property under the

provisions of this chapter or any law relating to abandoned property,

any aggrieved person may institute a special proceeding within ninety

days after notice of said certification under article seventy-eight of

the civil practice law and rules for the purpose of reviewing said

certification. In addition to the foregoing provisions of this section,

the comptroller may institute a special proceeding in the supreme court,

for a judgment directing payment to him of any sum certified to be

payable as abandoned property under this chapter together with interest

as provided in subdivision two of this section and in such proceeding by

the comptroller the certification by him shall be conclusive proof

thereof.