25 CFR 101.15 - Penalties on default.
Unless otherwise provided in the loan agreement between the United States and a borrower, failure on the part of a borrower to conform to the terms of the loan agreement will be deemed grounds for the taking of any one or all of the following steps by the Commissioner:
(b) Take possession of any or all collateral given as security and in the case of individuals, corporation, partnerships or cooperative associations, the property purchased with the borrowed funds.
(c) Prosecute legal action against the borrower or against officers of corporations, tribes, bands, credit associations, cooperative associations, and other organizations.
(g) Require relending organizations conducting a relending program to apply all collections on loans to liquidate the debt to the United States.
(h) Take possession of the assets of a relending organization conducting a relending program and exercise or arrange to exercise its powers until the Commissioner has received acceptable assurance of its repayment of the revolving loan and compliance with the provisions of the terms of the loan agreement.
(i) Liquidate, operate or arrange for the operation of economic enterprises financed with revolving loans made to individuals, tribes, corporations, partnerships and cooperative associations until the indebtedness is paid or until the Commissioner has received acceptable assurance of its repayment and compliance with the terms of the loan agreement.
(l) Assess charges to cover additional administrative costs incurred by the Government to service the account.
(m) Offset amounts owed the borrower under other Federal programs including other programs administered by the Bureau of Indian Affairs.
(p) If the borrower is a current or retired Federal employee, take action to offset the borrower's salary or civil service retirement benefits.
(q) Refer the debt to the Internal Revenue Service for offset against any amount owed the borrower as an income tax refund.
[40 FR 3587, Jan. 23, 1975. Redesignated at 47 FR 13327, Mar. 30, 1982, as amended at 57 FR 46472, Oct. 8, 1992]
Title 25 published on 2014-04-01
no entries appear in the Federal Register after this date.