[Code of Federal Regulations]
[Title 34, Volume 3]
[Revised as of July 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 34CFR674.17]

[Page 576]
 
                           TITLE 34--EDUCATION
 
 CHAPTER VI--OFFICE OF POSTSECONDARY EDUCATION, DEPARTMENT OF EDUCATION
 
PART 674_FEDERAL PERKINS LOAN PROGRAM--Table of Contents
 
                      Subpart A_General Provisions
 
Sec. 674.17  Federal interest in allocated funds--transfer of Fund.

    (a) If an institution responsible for a Federal Perkins Loan fund 
closes or no longer wants to participate in the program, the Secretary 
directs the institution to take one of the following steps to protect 
the outstanding loans and the Federal interest in that Fund:
    (1) A capital distribution of the liquid assets of the Fund 
according to section 466(c) of the Act.
    (2) The assignment of the outstanding loans to the United States.
    (b) An institution that assigns outstanding loans under this 
paragraph relinquishes its interest in those loans.

(Authority: 20 U.S.C. 1087cc, 1087ff), and (1087hh)

[52 FR 45747, Dec. 1, 1987, as amended at 59 FR 61415, Nov. 30, 1994; 60 
FR 61814, Dec. 1, 1995; 67 FR 67076, Nov. 1, 2002]