6.2-924 - (Effective October 1, 2010) Power of receivers to contract for loans and make investments. - Virginia Statutes

§ 6.2-924. (Effective October 1, 2010) Power of receivers to contract forloans and make investments.

A. Any court in the Commonwealth that has jurisdiction to appoint receivers,in its discretion, may authorize any receiver appointed by such court for anybank or trust company, pursuant to the provisions of this article:

1. To apply and contract for a loan from any corporation or agency that is(i) organized or provided for by, or pursuant to, federal law and (ii)authorized, among other purposes, to make loans upon the application of thereceiver or liquidating agent of any bank that is closed, or in process ofliquidation, secured by the assets of any such bank, and if such loan is forthe purpose of aiding in the reorganization or liquidation of any such bank,secured by the payment of liquidating dividends from the proceeds thereof; and

2. To secure any loan described in subdivision 1 by the pledge, hypothecationor mortgage of any or all of the assets of the bank or trust company, or insuch other manner as such court, in its discretion, may authorize.

B. Any such court, in its discretion, also may authorize any receiver soappointed by it to invest any funds in the hands of such receiver in bonds ofthe United States or of the Commonwealth.

(Code 1950, § 6-81; 1966, c. 584, § 6.1-110; 2010, c. 794.)