§ 1405. Accrual of interest after payment of abandoned property to the state comptroller.
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§ 1405. Accrual of interest after payment of abandoned property to the
state comptroller. 1.
(a)Notwithstanding any other provision of law, no
owner of abandoned property shall be entitled to receive interest on
account of such abandoned property from and after the date a payment of
such abandoned property is hereafter made to the state comptroller
pursuant to this chapter or any law relating to abandoned property,
whether or not he was entitled to interest on such property prior to
such date, except that interest at the overpayment rate set by the
commissioner of taxation and finance pursuant to subsection
(j)of
section six hundred ninety-seven of the tax law, less one percentage
point, shall accrue to abandoned property hereafter paid to the state
comptroller under the following provisions of this chapter, for the
first five years such property is held by him:
(i)paragraph
(a)of subdivision one of section three hundred of this
chapter; or
(ii)subdivision one of section four hundred of this chapter; or
(iii)paragraph
(a)of subdivision one of section six hundred of this
chapter; or
(iv)subdivision one of section ten hundred of this chapter.
(b)No claimant to abandoned property heretofore paid to the state
comptroller shall be entitled to receive interest on account of such
property, whether or not he was entitled to interest on such property
prior to such payment, except that as to abandoned property paid to the
state comptroller pursuant to the provisions of sub-paragraphs (i),
(ii),
(iii)and
(iv)of subdivision one of this section no earlier than
five years preceding the first day of July, nineteen hundred
seventy-seven, such abandoned property shall accrue simple interest for
that portion of such five year period remaining after the thirtieth day
of June, nineteen hundred seventy-seven.
2.
(a)Notwithstanding subdivision one of this section, any property
heretofore or hereafter received by the state comptroller pursuant to
this chapter or any law relating to the disposition of abandoned
property, which is subject to the interest crediting provisions of part
five hundred of foreign assets control regulations, part five hundred
fifteen of Cuban assets control regulations or part five hundred twenty
of foreign funds control regulations of the United States department of
the treasury, shall be credited with interest at a rate not less than
the maximum rate payable on the shortest time deposit available in any
domestic bank in this state.
(b)Interest shall be credited from the effective date of this
subdivision, to abandoned property subject to paragraph
(a)of this
subdivision for so long as such property continues to be subject to part
five hundred of foreign assets control regulations, part five hundred
fifteen of Cuban assets control regulations or part five hundred twenty
of foreign funds control regulations of the United States department of
the treasury and is held by the state comptroller.