N.Y. Real Property Tax Law § 992: Action for sequestration

§ 992. Action for sequestration. 1. Notwithstanding any provisions of

a county tax act to the contrary, it shall be the duty of the attorney

general, upon being informed by the county treasurer of any county

having a population of one hundred thousand or less that any corporation

refuses or neglects to pay the taxes imposed upon it pursuant to this

chapter, to bring an action in the supreme court for the sequestration

of the property of such corporation.

2. Whenever any corporation refuses or neglects to pay the taxes

imposed upon it pursuant to this chapter, the chief fiscal or legal

officer of a municipal corporation having a population in excess of one

hundred thousand empowered to enforce the collection of delinquent taxes

to whom said taxes are due and owing may bring an action in the supreme

court for the sequestration of the property of such corporation.

3. The court may sequestrate the property of such corporation for the

purpose of satisfying taxes in arrears, and may in its discretion enjoin

such corporation from further proceedings under its charter until such

tax and the costs incurred in the action have been paid. The attorney

general or the chief fiscal or legal officer of a county having a

population in excess of one hundred thousand to whom such tax is owing,

whichever official has initiated the action for sequestration may

recover such tax with costs from such delinquent corporation by action

in any court of record.

4. The attorney general may, at his or her own discretion, also assume

the authority of this section upon the joint request of the chief fiscal

officer and legal officer of the municipal corporation having a

population in excess of one hundred thousand empowered to enforce the

collection of delinquent taxes in which such real property is located.

Such request must attest that the unpaid taxes were levied no earlier

than four years prior to such request, and that (i) such action by

either the chief fiscal officer or chief legal officer would constitute

a conflict of interest, or (ii) the real property subject to such action

is part of a system which provides water or sanitary sewerage services

to property owners and the rates for such services are regulated by the

public service commission. In the event that the attorney general

assumes the authority of this section following such request, all

expenses incurred by the attorney general, including the salary or other

compensation of all deputies employed, shall be a charge against the

municipal corporation having a population in excess of one hundred

thousand making such request, provided, however, that in no event shall

such charges payable to the attorney general exceed the amount of unpaid

taxes actually recovered pursuant to this section.