N.Y. Insurance Law § 8020: Transfers of subsidiaries

§ 8020. Transfers of subsidiaries. A reorganizing or reorganized

insurer may transfer any one or more of its subsidiaries to the mutual

holding company or to one or more persons owned or controlled by the

mutual holding company, provided the reorganizing or reorganized insurer

obtains the prior approval of the superintendent. Any such transfer may

be made without consideration as a dividend or for consideration that

may include obligations of the mutual holding company or obligations or

preferred shares of a person owned or controlled by the mutual holding

company. The superintendent shall approve each such proposed transfer if

the superintendent finds it is fair and equitable. For a reorganizing

insurer, the plan may provide for such transfer, in which case approval

of the plan shall constitute approval by the superintendent pursuant to

this section. The provisions of sections one thousand five hundred five

and four thousand two hundred seven of this chapter shall not apply to

any transfer of subsidiaries effected pursuant to this section but shall

otherwise apply to the reorganized insurer and its affiliates in

accordance with their terms. The provision of subparagraph (ii) of

paragraph two of subsection (a) of section one thousand four hundred

five of this chapter limiting the aggregate amount of investments in

preferred shares of American institutions shall not apply to an

investment by a reorganizing or reorganized insurer in such preferred

shares received by it in consideration for a transfer pursuant to this

section. For a reorganized insurer, the other provisions of this

article, including, without limitation, the requirement of filing a plan

of reorganization, shall not apply to the transfer of subsidiaries

pursuant to this section.