6.1-195.91 - (Repealed effective October 1, 2010) Establishment of common trust funds and collective investment funds; court accountings. - Virginia Statutes

§ 6.1-195.91. (Repealed effective October 1, 2010) Establishment of commontrust funds and collective investment funds; court accountings.

A. Any association authorized by the Commission to offer fiduciary servicesmay establish and maintain one or more common trust funds for the collectiveinvestment of funds held in a fiduciary capacity by it. Such association mayinclude in such common trust fund or funds established and maintained by it,funds held in a fiduciary capacity by any affiliate of the association.

B. An association may invest funds held by it in any fiduciary capacity inone or more common trust funds, provided (i) such investment is notprohibited by the governing instrument or court order creating such fiduciaryrelationship; (ii) in the case of co-fiduciaries, the written consent of theco-fiduciary is obtained by the association; and (iii) the association has nointerest in the assets of the common trust fund other than as a fiduciary.

C. Unless ordered by a court of competent jurisdiction, an associationoperating a common trust fund or funds shall not be required to render acourt accounting with regard to such fund or funds, but, by application to acourt of competent jurisdiction, such association may secure approval of suchan accounting on such conditions as the court may establish. However, nothingcontained herein shall affect the duties of the fiduciaries of the trustaccounts participating in the common trust fund to render accounts of theirseveral trusts.

D. As used in this section, "common trust funds" shall mean common trustfunds which are described under § 584 of the Internal Revenue Code of 1954,as well as any other type of collective investment fund which is exempt fromfederal income taxation under any other provision of the Internal RevenueCode or regulations issued pursuant thereto.

(1984, c. 303.)