N.Y. Comp. Codes R. & Regs. tit. 3 § 14.1
Section 97 (4-a) of the Banking Law authorizes the superintendent to adopt regulations to permit banks and trust companies to own or make investments in the stock and other equity of subsidiary corporations engaged in the transaction of any business in which a bank or trust company may engage directly ("operating subsidiaries") and corporations organized pursuant to section 25(a) of the Federal Reserve Act ("Edge Act subsidiaries"). Banks and trust companies may also make investments in the capital stock (which for the purposes of this Part shall be deemed to include contributions to capital surplus) of other corporations if specifically authorized by the superintendent pursuant to section 97 (5) of the Banking Law. This Part implements the superintendent's authority to authorize investments in operating and Edge Act subsidiaries pursuant to section 97(4-a) and to establish the procedures to make applications to invest in the capital stock of other corporations pursuant to section 97(5).
N.Y. Comp. Codes R. & Regs. Tit. 3 § 14.1