A. The Common Interest Community Board, after providing notice stating the deficiency complained of and holding a hearing, may issue an order revoking the registration of a cooperative upon determination that a declarant or any officer or principal of a declarant has:
1. Failed to comply with a cease and desist order issued by the Common Interest Community Board affecting that cooperative;
2. Concealed, diverted, or disposed of any funds or assets of any person in a manner impairing rights of purchasers of cooperative interests in that cooperative;
3. Failed to perform any stipulation or agreement made to induce the Common Interest Community Board to issue an order relating to that cooperative;
4. Intentionally misrepresented or failed to disclose a material fact in the application for registration; or
5. Failed to meet any of the conditions described in §§ 55.1-2176 and 55.1-2177 necessary to qualify for registration.
B. Without the consent of the Common Interest Community Board, a declarant shall not convey, cause to be conveyed, or contract for the conveyance of any cooperative interest while an order revoking the registration of the cooperative is in effect.
C. In appropriate cases, the Common Interest Community Board may issue a cease and desist order in lieu of an order of revocation.
1982, c. 277, § 55-501; 2019, c. 712.