N.Y. Private Housing Finance Law § 31-b

§ 31-b. Assignment or pledge of tenant cooperator's shares.\nNotwithstanding any other provision of law, a tenant cooperator's shares\nin a mutual company may be assigned or pledged as collateral for the\npurpose of securing a loan for the purchase of such shares. The\ncommissioner or supervising agency, as the case may be, shall promulgate\nregulations which provide that in the event of a default of such loan,\nsuch shares may be resold, and the dwelling accommodations represented\nby such shares may be occupied, only in accordance with the provisions\nof this article.\n