§ 81.32 Examination of initial and annual reports.

(a) Examination of reports generally.

1. Initial report. Within thirty days of the filing of the initial
report, the initial report filed by a guardian under this article shall
be examined.

2. Annual examination. Within thirty days after the filing of the
annual report of the preceding year, the annual reports filed by
guardians under this article shall be examined to determine the
condition and care of the incapacitated person, the finances of the
incapacitated person, and the manner in which the guardian has carried
out his or her duties and exercised his or her powers.

(b) Examiners. The presiding justice of the appellate division in each
department, or a justice of the supreme court or a special referee
designated by a majority of the justices of the appellate division in
each department at the request of the presiding justice, shall examine,
or cause to be examined by persons designated by the presiding justice
or the justices as examiners, all such reports.

(c) Failure to report.

1. If a guardian fails to file his or her initial or annual report,
the person authorized to examine the report shall demand that the
guardian file the report within fifteen days after the service of the
demand upon him or her. A copy of the demand shall be served upon the
guardian or his or her resident agent by certified mail.

2. Upon failure to comply with such demand, the court, may upon the
motion of the court examiner, enter an order requiring compliance with
the demand and may deny or reduce the amount of the compensation of the
guardian, or remove the guardian pursuant to section 81.35 of this
article absent a showing that the guardian has acted in good faith.

(d) Incomplete report.

1. If the person authorized to examine the report is of the opinion
that a more complete or satisfactory report should be filed, the person
authorized to examine the report shall demand that the guardian file a
revised report or proof of any item in the report. A copy of the demand
shall be served upon the guardian or his or her resident agent by
certified mail.

2. Upon failure to comply with such demand, the court, may upon the
motion of the court examiner, enter an order requiring compliance with
the demand and may deny or reduce the amount of the compensation of the
guardian, or remove the guardian pursuant to section 81.35 of this
article absent a showing that the guardian has acted in good faith.

(e) Duty of examiners. The person examining the report may examine the
guardian and other witnesses under oath and reduce their testimony to
writing. The person examining the report, on five days notice to the
guardian, shall file a report in the form and manner prescribed by the
order appointing the examiner.

(f) Expenses of examination. The expenses of the examination shall be
payable out of the estate of the incapacitated person examined if the
estate amounts to five thousand dollars or more, or, if the estate
amounts to less than this sum, by the county treasurer of the county or,
within the city of New York by the comptroller of the city of New York,
out of any court funds in his or her hands.