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Under NY Insurance Code 2103, insurance adjusters must be licensed by the insurance commissioner and any complaints about adjusters go through them.
Also, you need to look at your contract
with the adjuster to determine the procedure in the contract for termination of the contract for breach of contract
and you must follow that contract to terminate this contractor based on their breach of contract with you (which is what you have terminated him for).
If you look at the contract and make sure you have followed the breach termination provisions and the adjuster will not agree to sign the release, your recourse is you have to file suit in court against the adjuster to obtain a court order removing him as a payee and terminating the contract.
All of these claims are governed first by the terms written in your contract, so that is where you need to start.
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