New York Codes, Rules and Regulations › Title 2 - DEPARTMENT OF AUDIT AND CONTROL › Chapter II - Municipal Affairs › Subchapter E - Administration Of Funds Paid Into Courts Of Record › Part 70 - Administration Of Funds Paid Into Courts Of Record › Section 70.4 - Payments

Current through Register Vol. 46, No. 28, July 10, 2024
(a) Payments out of
				  court may only be made when directed by an order or decree of the court into
				  which the funds were paid or the court to which jurisdiction thereof has been
				  properly transferred, or a court having concurrent jurisdiction thereof, except
				  that payment without a court order is permissible under the circumstances set
				  forth in section
				  70.3  of this
				  Part, and pursuant to section 602  of the Abandoned Property Law.
(b) Funds may not be transferred from one
				  depository to another except pursuant to the direction of an order of a court
				  of competent jurisdiction or by an order of the Comptroller of the State of New
				  York.
(c) Payments may be made on
				  affidavits and proof of age alone. Moneys deposited for or on behalf of an
				  infant or infants payable when the same become of legal age are to be paid
				  under the order directing the deposit when such infant or infants become of
				  legal age, unless an order from a court of competent jurisdiction directs the
				  withholding of such payment beyond the infant's 18th birthday.
(d) A court may direct that money or
				  securities in the custody of a county treasurer be transferred or invested as
				  it deems proper. (CPLR, § 2601[d].)
(e) When the whole or remaining balance of
				  all payments of money into court in an action, or the whole or remaining
				  balance of a distributive share thereof, or any security or other property, is
				  directed to be paid out of court, the order must direct the payment of all
				  accrued income belonging to the party to whom such money or distributive share
				  or remaining balance thereof, or security or other property is paid. (CPLR,
				  rule 2607.)
(f) No property paid
				  into court, or income from such property, shall be paid out except upon order
				  of the court directing payment to a specified person. (CPLR, rule 2607.)
				  However, payment of abandoned property to the State Comptroller may be made by
				  a county treasurer without a court order, as provided by section 602  of the Abandoned Property Law.
(g) Under subdivision 11 of section 8  of the State Finance Law the Comptroller may
				  not designate any bank as a depository of court and trust funds, unless such
				  bank agrees to the payment of interest. Court and trust funds may be placed in
				  time deposit accounts or savings bank accounts. (1952 Op. Atty. Gen.
				  116.)
(h) Where a certificate of
				  deposit showing the amount held by the Comptroller as abandoned property and to
				  whose credit the same has been reported is required in connection with
				  application to the court for an order directing payment pursuant to section 1406  of the Abandoned Property Law, the
				  same shall be issued either to the person to whose credit the same has been
				  reported or to an attorney at law or other person acting in his behalf, in
				  which case the application for the issuance of such a certificate of deposit
				  shall be accompanied by an instrument duly executed and acknowledged in the
				  presence of a notary public conferring authority upon such attorney or agent to
				  act on behalf of the person claiming to be entitled to a refund. The
				  Comptroller may require, as a condition of issuing such a certificate of
				  deposit that preliminary evidence of the identity of the person requesting
				  issuance of the certificate as the individual to whose credit money has been
				  received as abandoned property, be furnished. Application for the issuance of
				  the certificate of deposit shall be accompanied by a fee of $1, payable by
				  check or money order to the Department of Audit and Control.