N.Y. Banking Law § 166: Depositors preferred in case of failure or suspension

§ 166. Depositors preferred in case of failure or suspension. In case

of the failure or suspension of any private banker, the claims of

persons for money on deposit or delivered for transmission shall be

preferred against such assets as shall be shown by the books of such

private banker, or by other legal evidence, to have been derived from

the investment of such moneys, or from the investment of permanent

capital, such claimants shall also share pro rata with other creditors

in any other assets of such individual or of such partnership and of the

individual members thereof.