Bill
S 5347
Overview: Bill Number: S 5347, Title: Relates to certain voidable transfers affecting a federal home loan bank, Status: SUBSTITUTED BY A5600A, Introduced: February 20, 2025Purpose
Overview: Bill Number: S 5347, Title: Relates to certain voidable transfers affecting a federal home loan bank, Status: SUBSTITUTED BY A5600A, Introduced: February 20, 2025
Purpose and Intent: The bill aims to protect federal home loan banks from fraudulent or preferential transfers made by their member institutions. It seeks to ensure the stability and integrity of the federal home loan banking system by providing legal mechanisms to void certain types of transfers that could undermine the banks' financial positions.
Key Provisions:
- Allows federal home loan banks to void transfers of assets or collateral made by a member institution within 365 days of the member's insolvency or receivership
- Establishes a "safe harbor" provision to protect federal home loan banks from liability for voiding such transfers
- Clarifies that federal home loan banks have the legal standing to initiate proceedings to void these types of transfers
Affected Parties and Impacts: The bill would primarily impact federal home loan banks and their member institutions, such as banks, credit unions, and other financial institutions that are part of the federal home loan banking system. It is intended to strengthen the stability and resilience of this critical financial infrastructure.
Procedural and Timeline Considerations: The bill was originally introduced in the New York State Senate but has since been substituted by an Assembly version, A5600A. The legislative process is ongoing, and the bill would need to pass both chambers before being signed into law.
Compiled from official sources — confirm details with the bill’s official record.
Sign in to ask a question.
