New York Consolidated Laws, Banking Law - BNK § 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.