                                 CODE OF VIRGINIA

ACQUISITION OF CONTROL; APPLICATION (§ 6.2-1608)

A. Except as provided in this section, no person shall acquire directly or
indirectly 25 percent or more of the voting shares of a corporation or 25
percent or more of the ownership of any licensee unless such person first:

   1. Files an application with the Commission in such form as the Commissioner
   may prescribe from time to time;

   2. Delivers such other information to the Commissioner as the Commissioner may
   require concerning the financial responsibility, background, experience, and
   activities of the applicant, its directors, senior officers, principals and
   members, and of any proposed new directors, senior officers, principals, or
   members of the licensee;

   3. Submits and furnishes to the Commissioner information concerning the
   identity of the directors, senior officers, principals, and members of the
   applicant, and of any proposed new directors, senior officers, principals, or
   members of the licensee. Such individuals shall (i) consent to a national and
   state criminal history records check, submit to fingerprinting, and pay for
   the cost of such fingerprinting and criminal records check; and (ii) cause
   their fingerprints, personal descriptive information, and records check fees
   to be submitted to either of the following, as prescribed by the Commission:
   				a. The Commissioner, who shall forward these items to the Central Criminal
   Records Exchange. The Central Criminal Records Exchange shall (i) conduct a
   search of its own criminal history records and forward such individuals&#8217;
   fingerprints and personal descriptive information to the Federal Bureau of
   Investigation for the purpose of obtaining national criminal history record
   information regarding such individuals, and (ii) forward the results of the
   state and national records search to the Commissioner or his designee, who
   shall be an employee of the Commission; or
   				b. The Registry, provided that it is capable of processing such criminal
   history records checks; and

   4. Pays such application fee as the Commission may prescribe.

B. Upon the filing and investigation of an application, the Commission shall
permit the applicant to acquire the interest in the licensee if it finds that
the applicant, its members if applicable, its directors, senior officers and
principals, and any proposed new directors, members, senior officers and
principals have the financial responsibility, character, reputation, experience
and general fitness to warrant belief that the business will be operated
efficiently and fairly, in the public interest, and in accordance with law. The
Commission shall grant or deny the application within 60 days from the date a
completed application accompanied by the required fee is filed unless the period
is extended by order of the Commissioner reciting the reasons for the extension.
If the application is denied, the Commission shall notify the applicant of the
denial and the reasons for the denial. If an applicant or any individual
specified in subdivision A 3 fails to comply with the requirements of this
section, the application shall be denied.

C. The provisions of this section shall not apply to (i) the acquisition of an
interest in a licensee directly or indirectly including an acquisition by merger
or consolidation by or with another licensee or a person exempt from this
chapter under the provisions of subdivisions 2 through 11 of &#xA7; 6.2-1602,
(ii) the acquisition of an interest in a licensee directly or indirectly
including an acquisition by merger or consolidation by or with a person
affiliated through common ownership with the licensee, or (iii) the acquisition
of an interest in a licensee by a person by bequest, descent, or survivorship or
by operation of law. The person acquiring an interest in a licensee in a
transaction which is exempt from filing an application by this subsection shall
send written notice to the Commissioner of such acquisition within 30 days of
its closing.

HISTORY: 1988, c. 303, § 6.1-416.1; 1993, c. 183; 1998, c. 33; 2010, c. 794;
2011, c. 435; 2012, c. 189.