N.Y. Debtor & Creditor Law § 74: When insolvent cannot be discharged

§ 74. When insolvent cannot be discharged. In either of the following

cases, the petitioner is not entitled to a discharge:

1. Where it appears, upon the hearing or trial, that, after making the

schedule annexed to his petition, he has collected a debt or demand, or

transferred, absolutely, conditionally, or otherwise, any of his

property, not exempt by law from levy and sale by virtue of an

execution, and he neglects or refuses forthwith to pay over to the

clerk, the full amount of all debts and demands so collected, and the

full value of all property so transferred, except so much of the money,

and of the value of the property, as appears to have been necessarily

expended by him for the support of himself or his family.

2. Where it appears, in like manner, that the petitioner, within two

years before presenting the petition, has, in contemplation of his

becoming insolvent, or of his petitioning for his discharge, or knowing

of his insolvency, made an assignment, sale, or transfer, either

absolute or conditional, of any of his property, or of any interest

therein, or confessed a judgment, or given any security, with a view of

giving a preference to a creditor for an antecedent debt.