2023 New York Laws › WKC - Workers' Compensation › Article 6 - State Insurance Fund. › 87-B - Investments in Obligations of the City of Yonkers; Indemnification.

§   87-b.   Investments   in  obligations  of  the  city  of  Yonkers;
  indemnification.  1. The state insurance fund, and  all  state  officers
  with   responsibility   for  the  custody  or  investment  thereof,  are
  authorized and directed  to  take  any  and  all  actions  necessary  or
  appropriate  to  cause  such fund to make purchases as soon as possible,
  but  in  no  event  later  than   December   first,   nineteen   hundred
  seventy-five,  of  obligations  of  the city of Yonkers in the aggregate
  principal amount of fifteen million dollars, provided, however, that  at
  the  date  of any such purchase the city of Yonkers has not defaulted in
  the payment of any of its outstanding bonds  or  notes.  The  terms  and
  conditions of such obligations, including the rates of interest thereon,
  shall  be determined by the city of Yonkers, after consultation with the
  commissioners of the fund, provided such terms and conditions are  found
  to be fair and reasonable by the state comptroller.
2.  It  is  hereby  found and declared that obligations of the city of
  Yonkers are reasonable, prudent, proper and legal  investments  for  the
  state   insurance  fund  or  for  any  state  officer  with  custody  or
  responsibility for the investment of the assets thereof.
3.  Notwithstanding  any  other  provision  of  law,   including   the
  provisions  of  section  seventeen  of the public officers law, no state
  officer with custody or responsibility for the investment of the  assets
  thereof  shall  incur  or  suffer any liability whatsoever to any person
  beneficially interested in  such  system  by  reason  of  actions  taken
  pursuant  to the authorization and direction of subdivision one and such
  fund shall save  harmless  and  indemnify  all  such  officers  and  any
  investment  advisors  from  financial  loss  arising  out  of any claim,
  demand, suit, action or judgment for alleged negligence, waste or breach
  of fiduciary duty by reason of any investment of any monies of the state
  insurance fund in obligations of the city of Yonkers provided that  such
  person shall, within five days after the date on which he is served with
  any  summons,  complaint,  process,  notice,  demand, claim or pleading,
  deliver the original or a true copy thereof to the legal advisor of such
  system. Upon such delivery the legal advisor of the state insurance fund
  may assume control of the representation of such  person  in  connection
  with  such  claim, demand, suit, action or proceeding. Such person shall
  cooperate fully with the legal advisor of the system or any other person
  designated to assume such defense in respect of such  representation  or
  defense.
4.  In  order  to  obtain  the  funds  necessary to purchase the bonds
  required by this chapter, the commissioners of the state insurance  fund
  in  accordance  with rules and regulations adopted by such commissioners
  shall have the right to borrow an amount not  exceeding  the  obligation
  incurred  by  such  fund  pursuant  to  this  chapter  and  to pledge as
  collateral therefor such assets as they may deem advisable.