2022 New York Laws
BNK - Banking
Article 6 - Savings Banks
243 - Surplus Fund.

§ 243.  Surplus  fund. 1. Every savings bank shall create a fund to be
  known as a surplus fund. Such  fund  may  be  created  or  increased  by
  contributions  made  by the incorporators as provided in this article or
  by transfers from undivided profits or by  transfers  from  earnings  as
  required  in  this article. Such fund up to ten per centum of the amount
  due depositors shall not be available for any purpose  other  than  that
  specified  in  subdivision  two  of  this section, except with the prior
  written approval of the superintendent, provided that such fund shall be
  available without such approval for the purpose of  paying  expenses  or
  absorbing  losses  only  in the event such savings bank has no undivided
  profits against which such expenses or losses may be charged.
2. Contributions of incorporators or trustees to the surplus fund  may
  be  repaid  pro rata in such amounts as will not reduce the surplus fund
  below five per centum of the amount due depositors, provided the written
  approval of the superintendent shall be required before  any  repayments
  may  be  made that will reduce the surplus fund below the amount created
  at the time of incorporation of the  savings  bank.    In  case  of  the
  liquidation  of the savings bank before the contributions to the surplus
  fund have been repaid, any portion of such contributions not needed  for
  the payment of the expenses of liquidation and the payment of depositors
  and creditors in full may be repaid to the contributors pro rata.
3.  Contributions  heretofore made by incorporators or trustees of any
  savings bank to pay its expenses or to maintain its solvency,  under  an
  agreement  with  the  superintendent  that  such  contributions  may  be
  returned whenever such return will  not  affect  the  solvency  of  such
  savings  bank  or render it unsafe to continue business, may be returned
  in accordance with the provisions of such agreement.
4. The aggregate of the  guaranty  fund  and  expense  fund  of  every
  savings  bank  at  the  time  this act takes effect shall constitute the
  surplus fund at that date and shall thereafter be  subject  to  all  the
  provisions of this article relating to surplus fund.