CHAPTER 143

An Act to amend and reenact § 23-35.3 of the Code of Virginia, relating to
medical scholarships.
[(S 189]

Approved February 28, 1952

Be it enacted by the General Assembly of Virginia:
te That § 23-35.3 of the Code of Virginia be amended and reenacted as

ollows:

§ 23-35.3. Before any scholarship is awarded, the applicant must sign
a written contract, under the terms of which he agrees to pursue the
medical course of the school awarding the scholarship, or the medical
course at the school at which the scholarship is awarded, until his gradua-
tion and, upon graduating and completing a term not to exceed two years
as an interne at some hospital or institution approved by the school, shall
promptly begin and thereafter engage continuously in the general practice
of medicine in a rural community in Virginia of his selection but his selec-
tion shall be from one approved by the State Health Commissioner and
by the State Board of Health, for a period of years equal in number to
the years which he has been a beneficiary of such scholarship, provided
that one year’s internship in any rural hospital in the State of Virginia
selected by the State Health Commissioner and approved by the State
Board of Health or in any institution operated by the Department of
Mental Hygiene and Hospitals shall be considered equivalent to one year’s
practice of medicine in a rural community.

Each recipient, when such scholarship is awarded, shall be required
to insure his life, for the benefit of the school awarding the scholarship,
in a sum equal at least to the value of each scholarship awarded him, the
insurance policy to contain a specific provision that the school beneficiary
shall not be changed without the consent of the beneficiary. Upon cancel-
lation of each note executed by the recipient as hereinbefore provided, the
school] bneficiary shall consent to such change in the beneficiary of the
corresponding insurance policy as may be designated by the recipient.
Upon the failure of the recipient to discharge his obligation either by
service or payment, as herein required, or by reason of his death or any
other cause, the policy or policies and any and all proceeds derived there-
from shall become the property of the school beneficiary. All premiums
on the insurance policy or policies shall be paid by the recipient of the
scholarship.