N.Y. Yonkers financial emergency act 103/84 § 13: Indemnification

§ 13. Indemnification. 1. The state shall save harmless and indemnify

members, officers and employees of and representatives to the board, all

of whom shall be deemed officers and employees of the state for purposes

of section seventeen of the public officers law, against any claim,

demand, suit, or judgment arising by reason of any act or omission to

act by such member, officer, employee or representative occurring in the

discharge of his duties and within the scope of his service on behalf of

such board including any claim, demand, suit or judgment based on

allegations that financial loss was sustained by any person in

connection with the acquisition, disposition or holding of securities or

other obligations. In the event of any such claim, demand, suit or

judgment, a member, officer or employee of or representative to the

board shall be saved harmless and indemnified, notwithstanding the

limitations of subdivision one of section seventeen of the public

officers law, unless such individual is found by a final judicial

determination not to have acted, in good faith, for a purpose which he

reasonably believed to be in the best interest of the board or not to

have had reasonable cause to believe that his conduct was lawful.

2. In connection with any such claim, demand, suit, or judgment, any

member, officer or employee of or representative to the board shall be

entitled to representation by private counsel of his choice in any civil

judicial proceeding whenever the attorney general determines based upon

his investigation and review of the facts and circumstances of the case

that representation by the attorney general would be inappropriate. The

attorney general shall notify the individual in writing of such

determination that the individual is entitled to be represented by

private counsel. The attorney general may require, as a condition to

payment of the fees and expenses of such representative, that

appropriate groups of such individuals be represented by the same

counsel. If the individual or groups of individuals is entitled to

representation by private counsel under the provisions of this section,

the attorney general shall so certify to the comptroller. Reasonable

attorneys fees and litigation expenses shall be paid by the state to

such private counsel from time to time during the pendency of the civil

action or proceeding, subject to certification that the individual is

entitled to representation under the terms and conditions of this

section by the chairman of the board, upon the audit and warrant of the

comptroller. The provisions of this subdivision shall be in addition to

and shall not supplant any indemnification or other benefits heretofore

or hereafter conferred upon members, officers, or employees of and

representatives to the board by section seventeen of the public officers

law, by action of the board or otherwise. The provisions of this

subdivision shall inure only to members, officers and employees of and

representatives to the board, shall not enlarge or diminish the rights

of any other party, and shall not impair, limit or modify the rights and

obligations of any insurer under any policy of insurance.