§ 234. General powers. Every savings bank shall have, subject to the
restrictions and limitations contained in this chapter, the following
powers:

1. To receive and repay deposits, including demand deposits; invest
its funds; pay interest on deposits; and exercise all such incidental
powers as shall be necessary to conduct the business of a savings bank,
including, subject to regulation by the superintendent of financial
services, the power to charge for maintaining a demand deposit account
or for honoring checks drawn on or accepting deposits made to such an
account.

1-a. Subject to such regulations and restrictions as the
superintendent of financial services finds to be necessary and proper,
to contract to receive time deposits, including deposits upon which the
savings bank contracts to pay interest at a fixed rate.

2. To issue transferable certificates showing the amounts contributed
to the surplus fund by any incorporator or trustee. Each such
certificate shall contain a statement that the amount represented by it
does not constitute a liability of such savings bank, except as provided
in this article.

3. To acquire, hold, lease and convey real property.

4. To improve real property acquired by it when such improvements are
necessary to protect the interest of the savings bank therein and to
facilitate the sale thereof.

5. To borrow money for the purpose of repaying depositors and to
pledge or hypothecate its assets as collateral for any such loans.

5-a. Subject to such regulations and restrictions as the
superintendent of financial services finds to be necessary and proper,
to borrow money for purposes other than that of repaying depositors and
to pledge or hypothecate its assets as collateral for any such loans.

5-b. Subject to such regulations and restrictions as the
superintendent of financial services finds to be necessary and proper
and notwithstanding any other provisions of law, to issue notes, bonds,
debentures, or other obligations or other securities subordinated to
deposits in such savings bank; provided that, unless the superintendent
has given prior approval otherwise, the aggregate principal amount
thereof at the time of issuance shall not exceed twenty-five per cent of
the net worth of such savings bank, exclusive of all such notes, bonds,
debentures, or other obligations or other securities. The proceeds or
other consideration derived by a savings bank from the issuance pursuant
to this subdivision of any such notes, bonds, debentures, or other
obligations or other securities shall be deemed for purposes of this
chapter to constitute a part of the net worth of such savings bank.

5-c. To accept moneys deposited by the comptroller or the commissioner
of taxation and finance as linked deposits pursuant to article fifteen
of the state finance law and to enter into agreements, pledge assets or
furnish other security, including, but not limited to, an irrevocable
letter of credit issued by a federal home loan bank, satisfactory in
form and amount to such authorized depositor, for the repayment of such
moneys.

5-d. To accept moneys deposited by the comptroller or the commissioner
of taxation and finance in a branch located in a banking development
district established pursuant to section ninety-six-d of this chapter
and to enter into agreements, pledge assets or furnish other security,
including, but not limited to an irrevocable letter of credit issued by
a federal home loan bank, satisfactory in form and amount to such
authorized depositor, for the repayment of such moneys.

5-e. To accept moneys deposited by the New York state environmental
facilities corporation as linked deposits pursuant to article sixteen of
the state finance law and to enter into agreements, pledge assets or
furnish other security, satisfactory in form and amount to the New York
state environmental facilities corporation, for the repayment of such
moneys.

6. To collect promissory notes or bills of exchange.

7. To receive as depositary, or as bailee for safekeeping, obligations
of the United States government.

8. To receive money for transmission and to transmit the same.

9. To engage in the safe deposit business by renting safe deposit
boxes in which to keep personal property and papers of any kind.

10. To act as agent in the sale of travelers' checks.

11. To assume and discharge such obligations to Federal Deposit
Insurance Corporation as may be necessary or required for the purpose of
maintaining deposit insurance in such corporation.

12. To become a member of a federal reserve bank and to have and
exercise all powers, not in conflict with the laws of this state, which
are conferred upon any such member by the federal reserve act. Such
savings bank and its trustees and officers shall continue to be subject,
however, to all liabilities and duties imposed upon them by any law of
this state and to all the provisions of this chapter relating to savings
banks.

13. To become a member of a federal home loan bank and to have and to
exercise all powers, not in conflict with the laws of this state, which
are conferred upon any such member by the federal home loan bank act.
Such savings bank and its trustees and officers shall continue to be
subject, however, to all liabilities and duties imposed upon them by any
law of this state and to all provisions of this chapter relating to
savings banks.

15. To perform services for the Federal National Mortgage Association
created under the housing act of nineteen hundred fifty-four, as amended
from time to time, and to sell or assign mortgages to such association
and in connection therewith to make capital contributions thereto,
purchase stock thereof, and do any and all other acts which under the
laws and regulations applicable to such sales may be required to enable
such sales to be effected.

16. To service mortgages for others, and to render investment advice
incidental to the purchase of and investment in mortgages by others,
provided, however, that the superintendent of financial services shall
have power to prescribe, by specific or general regulation, the extent
to which and the conditions upon which such mortgages may be serviced
and such investment advice may be rendered.

17. To sue and to be sued in all courts and to participate in actions
and proceedings, whether judicial, arbitrative or otherwise, in like
cases as natural persons.

18. To have a corporate seal, and to alter such seal at pleasure, and
to use it by causing it or a facsimile to be affixed or impressed or
reproduced in any other manner.

19. To make donations, irrespective of corporate benefit, for the
public welfare or for community fund, hospital, charitable, educational,
scientific, civic or similar purposes, and in time of war or other
national emergency in aid thereof.

20. To elect or appoint officers, employees, and other agents of the
savings bank, define their duties, fix their compensation, and to indem-
nify corporate personnel.

21. To execute and deliver such guaranties as may be incidental or
usual in the transfer of investment securities.

22. To have perpetual existence.

23. To have and exercise all other powers necessary or appropriate in
conducting the business of the savings bank.

24. Subject to such regulations as the superintendent of financial
services finds to be necessary and proper, and notwithstanding any other
provision of law, to accept federal tax and loan accounts, the balances
of which are payable on demand without previous notice of intended
withdrawal and to pledge collateral to secure such accounts.

25. Subject to any limitations or other specific provisions contained
in this chapter or any other statute of this state or its organization
certificate, and as shall be appropriate in conducting the business of
the corporation, and only for such activities which are authorized by
this chapter for savings banks: to be a promoter, partner, member,
associate or manager of other business enterprises or ventures, or to
the extent permitted in any other jurisdiction to be an incorporator of
other corporations of any type or kind.

26. To engage in a "savings promotion" in accordance with section
nine-v of this chapter and subject to any regulations promulgated by the
superintendent. The superintendent shall consult with the state gaming
commission before proposing any such regulations or any amendments
thereto. Such regulations shall ensure that:

a. no participant in a savings promotion is charged any fee that would
constitute, directly or indirectly, consideration for participation in
such savings promotion; and

b. no participant in a savings promotion foregoes, directly or
indirectly, any interest that would constitute consideration for
participation in such savings promotion.