N.Y. Insurance Law § 7428: Disposition of assets and compromise of claims

§ 7428. Disposition of assets and compromise of claims. (a) The

superintendent may, subject to the approval of the court:

(1) sell or otherwise dispose of all or any part of the real and

personal property of an insurer against whom a proceeding has been

brought under this article, and

(2) sell or compound all doubtful or uncollectible debts or claims

owed by or to such insurer including claims based upon an assessment

levied against a member of a mutual insurer.

(b) If the amount of any such real or personal property owned by, or

debt or claim owed by or to, such insurer does not exceed twenty-five

thousand dollars, then the superintendent may sell or dispose of all or

any part of the real or personal property, or compromise or compound the

debt or claim, upon such terms as the superintendent may deem for the

best interests of such insurer without obtaining the approval of the

court.

(c) The superintendent may, subject to the approval of the court,

sell, or agree to sell, or offer to sell, any assets of such an insurer

to such of its creditors who may desire to participate in the purchase,

to be paid for in whole or in part out of dividends payable to such

creditors.

(d) Upon application of the superintendent, the court may designate

representatives to act for such creditors in the purchase, holding

and/or management of such assets, and the superintendent may, subject to

the approval of the court, advance the expenses of such representatives

against the security of the claims of such creditors.