6.1-32.18:3 - (Repealed effective October 1, 2010) Reacquisition of shares; dividends - Virginia Statutes

§ 6.1-32.18:3. (Repealed effective October 1, 2010) Reacquisition of shares;dividends.

A trust company may not purchase, redeem or otherwise reacquire shares ofstock it has issued, except that the Commission, upon the petition of a trustcompany, may permit the company to reacquire its own stock, if the Commissionfinds that the proposed reacquisition will not jeopardize the safety andsoundness of the trust company and will not be contrary to the publicinterest.

The board of directors of any trust company may declare a dividend of so muchas it judges expedient of the net undivided profits of the trust company,after providing for all expenses, losses, interest and taxes owed by thetrust company. However, before any dividend is declared, capital fundsoriginally paid in shall have been restored by earnings to their initiallevel, and no dividend shall be declared or paid by the trust company thatwould impair the paid-in capital of the trust company. Notwithstanding theforegoing provisions of this section, the Commission may limit the payment ofdividends by a trust company when it is determined that the limitation is inthe public interest and is necessary to ensure the financial soundness of thetrust company.

(1994, c. 5.)