New York statute
N.Y. Penal Law § 185.05 — Fraud involving a security interest
Current through 2026 legislative session (LBDC text via OpenLegislation as of 2026-07-17)
Part of Article 185: Frauds On Creditors, New York Penal Law.
Criminal charges under this statute
Full text of N.Y. Penal Law § 185.05
Statutory text current through the 2026 legislative session (LBDC text via OpenLegislation as of 2026-07-17). This publication reproduces the text of the Consolidated Laws of New York as provided by the New York State Senate's Open Legislation service (Legislative Bill Drafting Commission statutory text); it is not the official statutes of the State of New York.
185.05 Fraud involving a security interest.
A person is guilty of fraud involving a security interest when, having
executed a security agreement creating a security interest in personal
property securing a monetary obligation owed to a secured party, and:
1. Having under the security agreement both the right of sale or other
disposition of the property and the duty to account to the secured party
for the proceeds of disposition, he sells or otherwise disposes of the
property and wrongfully fails to account to the secured party for the
proceeds of disposition; or
2. Having under the security agreement no right of sale or other
disposition of the property, he knowingly secretes, withholds or
disposes of such property in violation of the security agreement.
Fraud involving a security interest is a class A misdemeanor.
Official sources
Legal terms used in this section
Questions this section answers
What class of misdemeanor is fraud involving a security interest in New York?
Fraud involving a security interest is a Class A Misdemeanor in New York under N.Y. Penal Law § 185.05.
Which New York statute covers fraud involving a security interest?
Fraud involving a security interest is governed by N.Y. Penal Law § 185.05 (Fraud involving a security interest).
This reference is informational and is not legal advice.