[Code of Federal Regulations]
[Title 7, Volume 11]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1788.4]

[Page 1120]
 
                          TITLE 7--AGRICULTURE
 
    CHAPTER XVII--RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE
 
PART 1788--RUS FIDELITY AND INSURANCE REQUIREMENTS FOR ELECTRIC AND TELECOMMUNICATIONS BORROWERS--Table of Contents
 
               Subpart A--Borrower Insurance Requirements
 
Sec. 1788.4  Disclosure of irregularities and illegal acts.

    (a) Borrowers must immediately report, in writing, all 
irregularities and all indications or instances of illegal acts in its 
operations, whether material or not, to RUS and the Office of the 
Inspector General (OIG). See 7 CFR 1773.9(c)(3) for OIG addresses. The 
reporting requirements for borrowers are the same as those for CPA's set 
forth in Sec. 1773.9
    (b) Borrowers are required to make full disclosure to the bonding 
company of the dishonest or fraudulent acts.