Impermissible uses of loan proceeds.
Effective Apr 14, 201945 SDR 31Source: 17 SDR 141, effective March 25, 1991; 25 SDR 95, effective January 20, 1999; 45 SDR 31, effective September 13, 2018; SL 2019, ch 235, § 37 and 38, effective April 14, 2019. | General Authority: SDCL 1 -53-30 . | Law Implemented: SDCL 1-53-24 , 1-53-29 .
The loan proceeds may not be used for the following purposes;
- (1) Purchase, construction, or renovation of a personal dwelling;
- (2) Establishment of or participation in a line of credit;
- (3) Paying off a creditor in excess value of the collateral;
- (4) Farm machinery, except as needed for the project;
- (5) Refinancing preexisting and carry-over debt except as provided by this chapter, making past-due payments on land or equipment, paying delinquent taxes, or paying interest on outstanding debt; and
- (6) Start-up costs, inventory, and working capital.
Source: 17 SDR 141, effective March 25, 1991; 25 SDR 95, effective January 20, 1999; 45 SDR 31, effective September 13, 2018; SL 2019, ch 235, § 37 and 38, effective April 14, 2019.
General Authority: SDCL 1 -53-30 .
Law Implemented: SDCL 1-53-24 , 1-53-29 .
Prior versions effective: 2018-09-13, 1999-01-20.