11-1.10 - Power of fiduciary to employ a broker-dealer as custodian - New York Statutes

§ 11-1.10 Power of fiduciary to employ a broker-dealer as custodian Notwithstanding any other provision of law any fiduciary (as defined in section 1-2.7 or 11-1.1 (a) (3)) is authorized: (1) to employ any broker-dealer which is registered with the Securities and Exchange Commission and the department of law of the state of New York (referred to in this section as "broker") as a custodian for a fiduciary of any stock or other securities (referred to in this section as "securities"); (2) to register such securities in the name of such broker. Such broker shall have the same power and shall be subject to the same restrictions with respect to the treatment of such securities as any bank or trust company acting as a custodian for a fiduciary and such securities shall be subject to the same treatment as securities held by such a custodian for a fiduciary as provided in sections 11-1.1 (b) (9) (10), 11-1.6, 11-1.8, and 11-1.9 of this part. Any such securities held by a broker in which the broker does not have a lien for indebtedness due to it from the estate or trust may not be pledged, lent, hypothecated or disposed of except upon the specific instruction of the fiduciary.