[Code of Federal Regulations]
[Title 25, Volume 1]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 25CFR103.40]

[Page 318]
 
                            TITLE 25--INDIANS
 
     CHAPTER I--BUREAU OF INDIAN AFFAIRS, DEPARTMENT OF THE INTERIOR
 
PART 103--LOAN GUARANTY, INSURANCE, AND INTEREST SUBSIDY--Table of Contents
 
                  Subpart G--Default and Payment by BIA
 
Sec. 103.40  Will BIA make exceptions to its criteria for denying payment?

    (a) BIA will not reduce or deny payment solely on the basis of 
Secs. 103.39(c) or (e) when the lender making the claim for loss:
    (1) Is a person to whom a previous lender transferred the loan under 
Secs. 103.28 or 103.29 before maturity for value;
    (2) Notified BIA of its acquisition of the loan interest as required 
by Secs. 103.28 or 103.29;
    (3) Had no involvement in or knowledge of the actions or 
circumstances that would have allowed BIA to reduce or deny payment to a 
previous lender; and
    (4) Has not itself violated the standards set forth in 
Secs. 103.39(c) or (e).
    (b) If BIA makes payment to a lender under this section, it may seek 
reimbursement from the previous lender or lenders who contributed to the 
loss by violating Secs. 103.39(c) or (e).