New Jersey § 17:9a-183

§ 17:9a-183.

A. The board of managers, in determining whether any investment is lawful, may rely

upon statistical, financial, corporate or other information as to such investment,

and upon ratings or other opinion as to the financial or other status thereof or its

legality for investment, contained in or offered by any financial, statistical, investment,

rating or other publication or service published for the use of investors and accepted

as reliable by the commissioner, or upon information contained in the prospectus circulated

with a new issue and filed with the Securities and Exchange Commission. B. An investment made by a savings bank, legal when made, may be retained by a savings

bank, but nothing herein shall relieve the board of managers from the duty to exercise

reasonable discretion in deciding whether to retain or to dispose of such investment;

provided, that any securities issued in exchange for a lawful investment under any

reorganization or recapitalization, if not legal for investment, shall be sold or

disposed of within five years from the time of acquisition by the savings bank, unless,

upon application by the savings bank to the commissioner, he shall extend the time

for the sale or disposition thereof.