Court Opinions

State Laws

US Code

US Constitution

New York Cooperative Corporations Law Section 121 - Special Powers.

Legal Research Home > New York Lawyer > Cooperative Corporations > New York Cooperative Corporations Law Section 121 - Special Powers.

    § 121.  Special  powers.  Any credit corporation organized under this
  chapter may make loans to members of a cooperative corporation owning in
  whole or in part the stock of the credit corporation; and no loans shall
  be otherwise made.  No loans shall be made for more than ten years;  nor
  for other than the agricultural, dairy, or horticultural purposes of the
  borrower.  In  all  cases,  there  shall  be  a written statement by the
  borrower in the note, collateral agreement or signed application to  the
  effect  that  the  loan  will  be  used only for such purposes; and such
  statement may be relied upon  by  the  credit  corporation.  The  credit
  corporation may discount or pledge such note with a federal intermediate
  credit  bank,  or other banks or banking institutions, with its guaranty
  or endorsement, if required.
    A credit  corporation  may  invest  its  capital  funds  in  bonds  or
  obligations  of  the  United  States or of any state or municipality, or
  such other bonds as are authorized for investment by a savings  bank  or
  in  federal  intermediate  credit  bank  obligations, and may deposit or
  hypothecate such securities with a federal intermediate credit bank,  or
  other banks or banking institutions, as security for notes discounted by
  it.

Last modified: August 10, 2006