SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

     Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

       Date of Report (Date of earliest event reported): January 31, 2001

                            FAUQUIER BANKSHARES, INC.
               --------------------------------------------------
               (Exact Name of Registrant as Specified in Charter)

<TABLE>
<CAPTION>

<S>                                                       <C>                               <C>
            Virginia                                      2-25805                           54-128819
------------------------------------                ------------------               ------------------------
       (State or Other)                           (Commission File Number)         (IRS Employer Identification No.)
Jurisdiction of Incorporation)
</TABLE>

10 Courthouse Square, Warrenton, Virginia                               20186
-----------------------------------------                               -----
(Address of Principal Executive Offices                               (Zip Code)

Registrant's telephone number, including area code:           (540) 347-2700
                                                              --------------

Former name or address, if changed since last report:

ITEM 5.  OTHER EVENTS.

         On January 29, 2001,  The Fauquier  Bank, a wholly owned  subsidiary of
Fauquier Bankshares, Inc., recovered $542,000, net of a $25,000 deductible, from
its  insurance  carrier for losses  resulting  from a  misappropriation  of cash
discovered  in early 2000.  This  recovery will be recorded as income during the
first quarter of the year ending December 31, 2001.

         On February 28, 2000, the Bank was first advised by its  accountants as
to the possible  misappropriation of cash in the approximate amount of $437,000.
The Bank  immediately  reported the loss to its  insurance  carrier and began an
aggressive investigation of the misappropriation. The $437,000 loss was recorded
in the year ended December 31, 1999.

         Based  on  the  ongoing  investigation  of  the  misappropriation,   an
additional  $130,000  loss was  recorded in the year ended  December  31,  2000.
Subject to further results of the ongoing  investigation,  additional  insurance
recoveries, if any, would be recorded as income in the year received.

         A press  release  announcing  the  insurance  recovery  is  attached as
Exhibit 99.1.

ITEM 7.  FINANCIAL STATEMENTS, PROFORMA FINANCIAL INFORMATION AND EXHIBITS.


(a)      Not applicable

(b)      Not applicable

(c)      Exhibits

         Exhibit 99.1 Press Release dated January 31, 2001.



<PAGE>



                                    SIGNATURE

         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
the  registrant  has duly  caused  this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                      FAUQUIER BANKSHARES, INC.


Date:  February 1, 2001               By:  /s/ Eric P. Graap
                                           ---------------------
                                           Eric P. Graap
                                           Senior Vice President and
                                           Chief Financial Officer



<PAGE>


                                  Exhibit Index

Number                Document
------                --------

99.1                  Press release issued by the registrant on January 31, 2001
[{"type": "8-K", "sequence": "1", "filename": "0001.txt", "description": "FORM 8-K", "secsgml_size_bytes": 3685}]
{"company-data": {"conformed-name": "FAUQUIER BANKSHARES INC", "cik": "0001083643", "assigned-sic": "6022", "irs-number": "541288193", "state-of-incorporation": "VA", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-25805", "film-number": "1521841"}, "business-address": {"street1": "10 COURTHOUSE", "city": "WARREN", "state": "VA", "zip": "20186", "phone": "5403472700"}, "mail-address": {"street1": "MCGUIRE, WOODS, BATTLE & BOOTHE, L.L.P.", "street2": "WASHINGTON SQ. 1050 CONNECTICUT AVE NW", "city": "WASHINGTON", "state": "DC", "zip": "20016"}}
SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

     Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

       Date of Report (Date of earliest event reported): January 31, 2001

                            FAUQUIER BANKSHARES, INC.
               --------------------------------------------------
               (Exact Name of Registrant as Specified in Charter)
Virginia                                      2-25805                           54-128819
------------------------------------                ------------------               ------------------------
       (State or Other)                           (Commission File Number)         (IRS Employer Identification No.)
Jurisdiction of Incorporation)
10 Courthouse Square, Warrenton, Virginia                               20186
-----------------------------------------                               -----
(Address of Principal Executive Offices                               (Zip Code)

Registrant's telephone number, including area code:           (540) 347-2700
                                                              --------------

Former name or address, if changed since last report:

ITEM 5.  OTHER EVENTS.

         On January 29, 2001,  The Fauquier  Bank, a wholly owned  subsidiary of
Fauquier Bankshares, Inc., recovered $542,000, net of a $25,000 deductible, from
its  insurance  carrier for losses  resulting  from a  misappropriation  of cash
discovered  in early 2000.  This  recovery will be recorded as income during the
first quarter of the year ending December 31, 2001.

         On February 28, 2000, the Bank was first advised by its  accountants as
to the possible  misappropriation of cash in the approximate amount of $437,000.
The Bank  immediately  reported the loss to its  insurance  carrier and began an
aggressive investigation of the misappropriation. The $437,000 loss was recorded
in the year ended December 31, 1999.

         Based  on  the  ongoing  investigation  of  the  misappropriation,   an
additional  $130,000  loss was  recorded in the year ended  December  31,  2000.
Subject to further results of the ongoing  investigation,  additional  insurance
recoveries, if any, would be recorded as income in the year received.

         A press  release  announcing  the  insurance  recovery  is  attached as
Exhibit 99.1.

ITEM 7.  FINANCIAL STATEMENTS, PROFORMA FINANCIAL INFORMATION AND EXHIBITS.

(a)      Not applicable

(b)      Not applicable

(c)      Exhibits

         Exhibit 99.1 Press Release dated January 31, 2001.
SIGNATURE

         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
the  registrant  has duly  caused  this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                      FAUQUIER BANKSHARES, INC.

Date:  February 1, 2001               By:  /s/ Eric P. Graap
                                           ---------------------
                                           Eric P. Graap
                                           Senior Vice President and
                                           Chief Financial Officer
Exhibit Index

Number                Document
------                --------

99.1                  Press release issued by the registrant on January 31, 2001