                                 CODE OF VIRGINIA

BONDS REQUIRED OF OFFICERS AND EMPLOYEES; BLANKET BOND (§ 6.2-868)

A. The board of directors of every bank shall require bonds from all of the
active officials and employees of such corporation. In lieu of such bonds, the
board may obtain one or more blanket bonds. A bank holding company may obtain a
blanket bond covering all affiliate banks within the holding company. The surety
on every bond shall be a bonding or surety company authorized to transact
business in the Commonwealth. The penalty of any such bond shall be increased
whenever in the opinion of the Commission it is necessary for the protection of
the public interest.

B. If a bank is unable to obtain the bond required by this section, it shall
immediately notify the Commission, which may then direct the bank to have an
audit performed at its expense by an independent certified public accounting
firm. The bank shall obtain blanket bond coverage as soon as such coverage is
available. Failure to obtain blanket bond coverage may be cause for action by
the Commission as provided by &#xA7; 6.2-906.

HISTORY: Code 1950, § 6-46; 1966, c. 584, § 6.1-54; 1974, c. 665; 1979, c. 52;
1992, c. 365; 2010, c. 794.