2013 New York Consolidated Laws
ISC - Insurance
Article 12 - (1201 - 1221) ORGANIZATION AND CORPORATE PROCEDURE
1221 - Transactions by officers, directors and certain shareowners in the insurer's shares.

 
    § 1221. Transactions by officers, directors and certain shareowners in
  the  insurer's  shares. (a) Every person who directly or indirectly owns
  beneficially more than ten percent of any class of shares of a  domestic
  insurer  or is a director or officer thereof shall file in the office of
  the superintendent:
    (1) within ten days after he becomes such owner, director or officer a
  statement, in form prescribed by the superintendent, of  the  amount  of
  all such shares of which he is the beneficial owner, and
    (2)  within ten days after the close of each calendar month in which a
  change in such ownership  occurs  a  statement,  in  such  form  as  the
  superintendent  may  prescribe, indicating his ownership at the close of
  such calendar month and such changes in his ownership as  have  occurred
  during such calendar month.
    (b)  To  prevent  unfair  use  of  any  information  obtained  by such
  beneficial owner, director or officer by reason of his  relationship  to
  such  insurer, any profit realized by him from any purchase and sale, or
  any sale and purchase, of the insurer's shares within any period of less
  than six months, unless the  shares  were  acquired  in  good  faith  in
  connection  with  a  debt  previously  contracted, shall inure to and be
  recoverable by the insurer, irrespective of  any  intention  he  had  in
  entering  into  such  transaction to hold the shares purchased or not to
  repurchase the  shares  sold  for  a  period  exceeding  six  months.  A
  proceeding  to recover such profit may be instituted at law or in equity
  in any court of competent jurisdiction by the insurer or by the owner of
  any shares of the insurer in the insurer's name and behalf if  it  fails
  or  refuses  to bring such suit within sixty days after request or fails
  diligently to prosecute it; but no such suit shall be brought more  than
  two  years  after  the  date such profit was realized.   This subsection
  shall not apply to any transaction where such beneficial owner  was  not
  such  at  the  time  of both the purchase and sale, or both the sale and
  purchase,  of  the  shares  involved,  or  any  transaction  which   the
  superintendent  may  by rules and regulations exempt as not comprehended
  within the purpose of this subsection.
    (c) It shall be unlawful for any such beneficial  owner,  director  or
  officer,  directly  or indirectly, to sell any shares of such insurer if
  the person selling the shares or his principal either does not  own  the
  shares sold, or, if owning them, does not deliver them against such sale
  within  twenty  days thereafter, or does not within five days after such
  sale  deposit  them  in  the  mails   or   other   usual   channels   of
  transportation;  but  no  person  shall  be deemed to have violated this
  subsection if he proves that notwithstanding the exercise of good  faith
  he was unable to make such delivery or deposit within such time, or that
  to do so would cause undue inconvenience or expense.