Senate Deputy Leader Gianaris Announces His Critical Legislation To Extend Statute Of Limitations For Financial Crimes Signed By Governor

NEW YORK, N.Y. – Senate Deputy Leader Michael Gianaris announced his legislation to extend the statute of limitations on certain financial crimes has been signed by the Governor. The legislation allows a six-year window for prosecutions under the Martin Act, a 1920s-era law used to prosecute financial fraud on Wall Street.

“The Martin Act has become an invaluable tool for enforcement against financial crimes and unfortunately a misguided court decision made it harder to use that tool,” said Senate Deputy Leader Michael Gianaris. “We wanted to go back to the way it was originally used and allow the state the maximum time possible to go after wrongdoing in the financial services industry. I am pleased the Governor signed this legislation and I am pleased to work with the Attorney General to fight financial crimes.”

Last year, the New York State Court of Appeals ruled the Martin Act could only have a three-year statute of limitations. Previous interpretations had allowed the state’s Attorney General to use a six-year statute of limitations, making the law significantly more powerful in fighting financial crimes and securities fraud, securing more than a billion dollars in relief for New Yorkers.

The legislation takes effect immediately.