                                 CODE OF VIRGINIA

DISCLOSURE OF IRREGULARITIES; COMMISSION&#8217;S POWERS (§ 6.2-906)

A. If upon the examination of any bank, the Commission ascertains that the
banking laws of the Commonwealth are not being fully observed, that any
irregularities are being practiced, or that the bank&#8217;s capital has been or
is in danger of being impaired, the Commission shall give immediate notice
thereof to the officers and directors of the bank. In addition, if it is deemed
necessary in order to conserve the assets of such bank or to protect the
interests of depositors and creditors thereof, the Commission may do any one or
more of the following:

   1. Temporarily suspend the right of such bank to receive any further deposits;

   2. Temporarily close such bank, for a period not exceeding 60 days, which
   period may be further extended for one or more 60-day periods as the
   Commission may deem necessary;

   3. Require the officers and directors of the bank to liquidate its outstanding
   loans insofar as shall be required;

   4. Require that any impairment of the capital stock be made good;

   5. Require that any irregularities be promptly corrected;

   6. Require the bank to make reports, daily or at such other times as may be
   required to the Commission, as to the results achieved in carrying out the
   orders of the Commission; and

   7. Without examination, close, for such period as the Commission may deem
   necessary, any bank facing an emergency due to withdrawal of deposits or
   otherwise, or, without closing such bank, grant to it the right to suspend or
   limit the withdrawal of deposits, for such period as the Commission may
   determine.

B. If any bank fails or refuses to comply with any such order of the Commission,
or if the Commission shall determine that a receiver for any such bank should be
appointed, the Commission may apply for the appointment of a receiver to take
charge of the business affairs and assets of the bank and to wind up its affairs
as provided in this chapter.

HISTORY: Code 1950, § 6-113; 1966, c. 584, § 6.1-92; 1976, c. 658; 2010, c.
794.