§ 437. Redemption of bonds and notes; procedure in event of default.\n1. All bonds and notes issued by the savings and loan bank may be\ncalled on any interest day at one hundred two and one-half per centum\nand interest by giving notice of not less than sixty days in a newspaper\npublished in the city of New York or on such notice, in such manner and\nat such time and price, not to exceed one hundred five per centum and\ninterest, as may be specified in such bonds or notes.\n 2. In the event of any default for more than ninety days in the\npayment of the principal of, or for more than ninety days in the payment\nof any instalment of interest upon, any bond or note issued by the\nsavings and loan bank, the superintendent may, in his discretion, and\nshall, upon the request in writing of the holders of said obligations in\ndefault to the amount of fifty thousand dollars, forthwith take\npossession of and proceed to liquidate the savings and loan bank. Upon\nsuch liquidation he shall be entitled in the name of the savings and\nloan bank to enforce all of its rights and securities and to collect and\nrealize upon all of its assets, including all mortgages assigned to the\nsavings and loan bank by its several members, and deposited with the\ncomptroller of the state of New York, up to the amounts advanced by the\nsavings and loan bank to the several members thereon. Upon any such\nliquidation all said obligations then issued and outstanding shall\nforthwith become due and payable equally and ratably out of all the\nassets of the savings and loan bank in advance of any other debts\nthereof not specifically preferred by law.\n
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