New York Laws
Title 5 - Corporate Finance
5015 - Capital Notes and Debentures.

ยง 5015. Capital notes and debentures. No corporation shall issue
capital notes or debentures except for money or other property, tangible
or intangible, or labor or services actually received by or performed
for the corporation or for its benefit or in its formation or
reorganization, or a combination thereof. In the absence of fraud in
the transaction, the judgment of the board as to the value of the
consideration received shall be conclusive.