State Codes and Statutes
Statutes > Virginia > Title-6-2 > Chapter-8 > 6-2-868§ 6.2-868. (Effective October 1, 2010) Bonds required of officers andemployees; blanket bond.
A. The board of directors of every bank shall require bonds from all of theactive officials and employees of such corporation. In lieu of such bonds,the board may obtain one or more blanket bonds. A bank holding company mayobtain a blanket bond covering all affiliate banks within the holdingcompany. The surety on every bond shall be a bonding or surety companyauthorized to transact business in the Commonwealth. The penalty of any suchbond shall be increased whenever in the opinion of the Commission it isnecessary for the protection of the public interest.
B. If a bank is unable to obtain the bond required by this section, it shallimmediately notify the Commission, which may then direct the bank to have anaudit performed at its expense by an independent certified public accountingfirm. The bank shall obtain blanket bond coverage as soon as such coverage isavailable. Failure to obtain blanket bond coverage may be cause for action bythe Commission as provided by § 6.2-906.
(Code 1950, § 6-46; 1966, c. 584, § 6.1-54; 1974, c. 665; 1979, c. 52; 1992,c. 365; 2010, c. 794.)
