                                 CODE OF VIRGINIA

BORROWING ON PLEDGE OF ASSETS (§ 38.2-1511)

For the purpose of facilitating the delinquency proceeding of an insurer, the
Commission, or a receiver other than the Commission with the approval of the
court, may borrow money and execute, acknowledge, and deliver notes or other
evidences of indebtedness and secure the repayment by mortgage, pledge,
assignment, transfer in trust, or hypothecation of any or all of the property,
real, personal or mixed, of the insurer. The Commission, or a receiver other
than the Commission with the approval of the court, shall have power to take any
action necessary and proper to consummate any loans and to provide for
repayment. No note or other evidence of indebtedness made or executed by the
receiver shall impose upon the receiver any liability except with respect to the
assets and other property of the insurer.

HISTORY: 1952, c. 317, § 38.1-135; 1986, c. 562.