                                 CODE OF VIRGINIA

ACQUISITION OF CONTROL; APPLICATION (§ 6.2-2609)

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 other person licensed to conduct
business under this chapter 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
   general fitness of the applicant and of any proposed new directors, senior
   officers, principals, trustees, or members of the licensee;

   3. Submits and furnishes to the Commissioner information concerning the
   identity of the applicant and of any proposed new directors, senior officers,
   principals, trustees, or members of the licensee. Such individuals shall (i)
   consent to a 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 Commissioner:
   				a. The Bureau, who shall forward these items to the Central Criminal
   Records Exchange. The Central Criminal Records Exchange shall (i) conduct
   searches 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 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 and any proposed new directors, members, senior officers,
trustees, and principals of the licensee have the financial responsibility,
character, 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 giving 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.

C. The provisions of this section shall not apply to the acquisition of an
interest in a licensee (i) directly or indirectly, including an acquisition by
merger or consolidation, by or with a person licensed or exempt from licensing
under this chapter; (ii) directly or indirectly, by merger or consolidation by
or with a person affiliated through common ownership with the licensee; or (iii)
by bequest, descent, survivorship, or operation of law. This section shall also
not apply to the acquisition of an interest in a licensee that (i) an agreement
with the U.S. Secretary of Education under 20 U.S.C. &#xA7; 1078(b) or (ii) is a
party to a contract awarded by the U.S. Secretary of Education under 20 U.S.C.
&#xA7; 1087f. The person acquiring an interest in a licensee in a transaction
that is exempt from filing an application by this subsection shall send written
notice of such acquisition to the Commissioner within 30 days of its closing.

HISTORY: 2020, cc. 1198, 1250.