US Virgin Islands Economic Development Authority (VIEDA)

VIRGIN ISLANDS CODE ANNOTATED
Copyright © 2008 by THE LIEUTENANT GOVERNOR for THE GOVERNMENT OF THE VIRGIN ISLANDS

*** Statutes current through Act 7001 of the 2008 Regular Session ***
*** Annotations current through May 23, 2008 ***

TITLE TWENTY-NINE Public Planning and Development
Chapter 14. Government Development Bank

Second: The principal office of the Bank shall be at St. Thomas, Virgin Islands, and no less than one branch on St. Croix.

Third: The purpose for which the Bank has been formed is to accelerate the economic development of the United States Virgin Islands by providing financial assistance to industrial and commercial enterprises where such funds are to be used for the following governmental purposes:

To provide financial resources including but not limited to loan guarantees, medium and long term credit, and equity infusions to small, minority, medium and large businesses located in the United States Virgin Islands and to help these entities grow into mainstream commercial banking customers;

To provide financial resources including but not limited to loan guarantees, medium and long term credit to maintain the economic stability of small, medium and large businesses located in the United States Virgin Islands;

To provide technical and managerial assistance to ensure the continued viability of these businesses;

To encourage large corporate investments, facilitate employment growth opportunities and promote the location of financial services within the United States Virgin Islands;

To compile financial, economic, statistical and other related data on the banking industry in the United States Virgin Islands, and to disseminate this information to all interested parties;

To actively monitor the performance and compliance of enterprises receiving fiscal, financial and other benefits extended by the United States Virgin Islands;

To invest its funds in short-term readily marketable securities;

To borrow money and contract debts for its corporate purposes upon such terms and conditions as the Bank may from time to time determine, with or without security; to dispose of its obligations evidencing such borrowing; to make, execute and deliver trust indentures and other agreements with respect to any such borrowing, contracting of debt, issuance of bonds, including industrial development bonds, notes, debentures or other obligations; and by the authority of the Government of the United States Virgin Islands, which is hereby granted, to issue its bonds, notes, debentures or other obligations in such form secured in such manner and subject to such terms of redemption with or without premiums, and to sell the name at public or private sale of such price or prices, all as may be determined by its Board of Directors;

To serve as fiscal agent or broker for United States Virgin Islands' enterprises seeking to qualify for grants, loans or any other form of financial or other assistance from the Federal Government or any of its departments, agencies or instrumentalities;

To exercise all incidental powers as may be necessary to facilitate the purposes of the Bank;

It will be the policy of the Bank to sell its papers, notes, mortgages, bonds, debentures or equity shares purchased by the Bank as soon as it seems warranted by the Board of Directors in order to free funds for further economic development projects. The Board of Directors shall determine the length of time upon which equity shares may be held. It shall also be the policy of the Bank to encourage and to enter into joint financing with other banks chartered or doing business under the Laws of the United States Virgin Islands and any of the states of the United States.

To have a common seal and to alter the same from time to time;

To acquire property for its corporate purposes by grant, gift, purchase, devise or bequest, and to hold and to exercise the rights of ownership of and to dispose of the same;

To acquire any property in settlement or reduction of debts previously contracted or in exchange for investments previously made in the course of its business where such acquisition is necessary to minimize or avoid loss in connection therewith, to hold such property for such periods as the Board of Directors may deem advisable, to exercise the rights of ownership of and to dispose of the same;

To establish one or more branches, offices or agencies necessary or convenient for the transaction of its business within or without the United States Virgin Islands;

To purchase, hold, lease, mortgage and convey real property as follows: (1) a plot whereon there is or may be erected a building suitable for the transaction of its business, from portions of which not required for its own use a revenue may be derived; (2) such real estate as may be conveyed to it in settlement or reduction of debts previously contracted or in exchange for investments previously made in the course of its business; and (3) such as it shall purchase or otherwise acquire at sale under judgments, decrees or mortgages held by it; provided, however, that the Board of Directors shall determine the time period within which that real property purchased or acquired may be sold, provided further, that no real property shall be held for a period longer than 10 years after its acquisition;

To sue and be sued;

To appoint, employ and contract for the services of officers, agents and employees and professional assistants and to pay such compensation for their services as the Bank may determine; and to fix and pay Director's fees;