(a) Receive or hold as collateral security any partnership property,
or,
(b) Receive from a general partner or the partnership any payment,
conveyance or release from liability, if at the time the assets of the
partnership are not sufficient to discharge partnership liabilities to
persons not claiming as general or limited partners.
(2) The receiving of collateral security, or a payment, conveyance or
release in violation of the provisions of subdivision one is a fraud on
the creditors of the partnership.
Structure New York Laws
Article 8 - Limited Partnerships.
90 - Limited Partnership Defined.
92 - Business Which May Be Carried On.
93 - Character of Limited Partner's Contribution.
94 - Name Not to Contain Surname of Limited Partner; Exceptions.
95 - Liability for False Statements in Certificate.
96 - Limited Partner Not Liable to Creditors.
97 - Admission of Additional Limited Partners.
98 - Rights, Powers and Liabilities of a General Partner.
99 - Rights of a Limited Partner.
100 - Status of Person Erroneously Believing Himself a Limited Partner.
101 - One Person Both General and Limited Partner.
102 - Loans and Other Business Transactions With Limited Partner.
103 - Relation of Limited Partners Inter Se.
104 - Compensation of Limited Partner.
105 - Withdrawal or Reduction of Limited Partner's Contribution.
106 - Liability of Limited Partner to Partnership.
107 - Nature of Interest in Partnership.
109 - Effect of Retirement, Death or Insanity of a General Partner.
110 - Death of Limited Partner.
111 - Rights of Creditors of Limited Partner.
113 - Certificate Cancelled or Amended.
114 - Requirements for Amendment or Cancellation.