Opinion
June 16, 1955.
Appeal from Supreme Court, Schoharie County.
Present — Foster, P.J., Bergan, Coon, Imrie and Zeller, JJ.
The order denies an application by the corporate committee of the incompetent for certain directions and instructions with respect to the retention of securities, the investment of funds, and other matters. We do not believe that the refusal to grant the application was error. The order of appointment authorizes the committee to sell and transfer the securities, stocks, bonds and bank accounts delivered to it. A further order authorizing sale and transfer is not necessary. Subdivision 6 of section 21 Pers. Prop. of the Personal Property Law governs the retentior and disposition by a fiduciary of investments not eligible by law for the investment of trust funds which were received by a fiduciary pursuant to the terms of a will, deed, decree of court, or other instrument creating the fiduciary relationship. Other subdivisions of the same section describe the kinds and classes of securities in which a fiduciary may invest. By subdivision 7, the provisions of the section are made applicable to the committee of the property of an incompetent person. Therefore, no general instructions to the committee by the court concerning investment of funds or retention of investments are necessary and it is not the function of the court to advise the committee upon specific problems of investment which require the exercise of ordinary business judgment. A construction of portions of section 21 Pers. Prop. of the Personal Property Law concerning which the committee expresses doubt should not be given in this proceeding where the incompetent is not represented but should await an appropriate accounting. There is no need to authorize the committee to retain counsel. Such authority is inherent in the committee subject to review by the court upon an accounting as to necessity and reasonableness of any fee paid. Order unanimously affirmed, without costs.