N.Y. Banking Law § 244 Earnings; How and When to Be Computed; Transfers to Surplus Fund

• Library: New York Statutes
• Edition: 2023
• Currency: Current through 2023 NY Law Chapter 777
• Year: 2023
• Citation: N.Y. Banking Law § 244

1. Every savings bank shall close its books no less frequently than quarterly. To determine the amount of gross earnings for any such accounting period the following items shall be included:

(a) All earnings actually received, less interest accrued and uncollected included in a previous computation of earnings;

(b) Interest accrued and uncollected upon debts owing to it, exclusive of debts or portions of debts, which its board of trustees or the superintendent shall have directed to be excluded from the computation of the accrual;

(c) Amounts added to cost for the purpose of amortizing bonds, promissory notes or other interest-bearing obligations purchased for less than par;

(d) Any profits actually received from the sale of securities, real estate or other property owned by it;

(e) Amounts recovered on assets previously charged off, including amounts allowed by the superintendent on account of assets previously disallowed by him and other amounts allowed by the board of trustees on account of assets previously disallowed by it. For the purpose of this paragraph amounts transferred to valuation reserves shall be considered as amounts charged off;

(f) Provided the superintendent shall have approved, and only to the extent of such approval, any increase in the book value of the real estate and building or buildings thereon used by it as its place or places of business;

(g) Such other items as the superintendent, in his discretion and upon his written consent, may permit to be included.

2. To determine the amount of net earnings for such accounting period, the following items shall be deducted from gross earnings:

(a) Any expenses paid or incurred, both ordinary and extraordinary, in the transaction of its business, the collection of debts owing to it and the management of its affairs, less expenses incurred and deducted in a previous computation of earnings;