(a) Loan money will not be disbursed to a borrower until
- (1) the director is satisfied that the borrower has complied with all conditions imposed by the board for loan money to be disbursed;
- (2) the director is satisfied that the borrower has provided all information requested by the board or staff;
- (3) all instruments have been executed and the borrower has complied with all provisions in those instruments required for closing; and
- (4) the loan has been closed.
- (b) After board approval, the director may cease disbursement of loan money if the director determines that the collateral is in jeopardy.
- (c) All expenses incurred by the director in processing and closing a loan will be deducted from the loan proceeds except for those expenses paid in advance by the borrower.
- (d) Except as otherwise authorized by the board, the director shall disburse money under a loan agreement based on an invoice or other document that justifies payment.
- (e) Loan money must be disbursed within one year after the date of closing or the money is no longer available to the borrower.
(Eff. 12/1/84, Register 92; am 10/27/2002, Register 164)
Authority: AS 03.09.040, AS 03.10.020, AS 03.10.030, AS 03.10.050