17:9-46 - Distribution of proceeds of liquidation of defaulting depository - New Jersey Statutes

17:9-46.  Distribution of proceeds of liquidation of defaulting depository
    Upon payment to a governmental unit, the commissioner shall be subrogated to  all of such governmental unit's right, title and interest against the defaulting depository.  All sums received from any distribution of any liquidation of the defaulting depository shall be paid to the affected governmental units to the extent of any unpaid net deposit liability and the balance shall be paid to the public depositories against which assessments were  made, in proportion to such assessments.  If the commissioner incurs expense in  enforcing any such claim, the amount thereof shall be paid as a liquidation  expense of the defaulting depository.

     L.1970, c. 236, s. 6, eff. Oct. 27, 1970.