Section 437. Redemption of bonds and notes; procedure in event of default

1.  All bonds and notes issued by the  savings  and  loan  bank  may  be
  called  on  any  interest day at one hundred two and one-half per centum
  and interest by giving notice of not less than sixty days in a newspaper
  published in the city of New York or on such notice, in such manner  and
  at  such  time  and price, not to exceed one hundred five per centum and
  interest, as may be specified in such bonds or notes.
    2. In the event of any default  for  more  than  ninety  days  in  the
  payment of the principal of, or for more than ninety days in the payment
  of  any  instalment  of  interest  upon,  any bond or note issued by the
  savings and loan bank, the superintendent may, in  his  discretion,  and
  shall, upon the request in writing of the holders of said obligations in
  default  to  the  amount  of  fifty  thousand  dollars,  forthwith  take
  possession of and proceed to liquidate the savings and loan  bank.  Upon
  such  liquidation  he  shall  be entitled in the name of the savings and
  loan bank to enforce all of its rights and securities and to collect and
  realize upon all of its assets, including all mortgages assigned to  the
  savings  and  loan  bank  by its several members, and deposited with the
  comptroller of the state of New York, up to the amounts advanced by  the
  savings  and  loan  bank  to  the several members thereon. Upon any such
  liquidation all said  obligations  then  issued  and  outstanding  shall
  forthwith  become  due  and  payable  equally and ratably out of all the
  assets of the savings and loan  bank  in  advance  of  any  other  debts
  thereof not specifically preferred by law.