Conflict of interest
Conflict of interest means a situation in which a person has personal, professional, or financial interests that prevent, or appears to prevent the person from acting impartially. For purposes of this part, conflict of interest also includes, but is not limited to:
(1) A person acting as a compensated agent of the borrower and the lender on the same guaranteed loan,
(2) Distribution or payment of guaranteed loan funds to an individual owner, partner, stockholder, or member of the borrower, or to a beneficiary or immediate family member of the borrower;
(3) Refinancing debt that is owned by a loan packager, broker, or referral agent or its affiliates.
Source
7 CFR § 5001.3
Scoping language
The following definitions are applicable to the capitalized terms used in this part.