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§ 1366. —  Termination of payments for noncompliance with law or diversion of funds.



[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
  January 24, 2002 and December 19, 2002]
[CITE: 15USC1366]

 
                      TITLE 15--COMMERCE AND TRADE
 
                  CHAPTER 37--STATE TECHNICAL SERVICES
 
Sec. 1366. Termination of payments for noncompliance with law or 
        diversion of funds
        
    Whenever the Secretary, after reasonable notice and opportunity for 
hearing to any designated agency or participating institution receiving 
funds under this chapter finds that--
        (a) the agency or institution is not complying substantially 
    with provisions of this chapter, with the regulations promulgated by 
    the Secretary, or with the approved annual technical services 
    program; or
        (b) any funds paid to the agency or institution under the 
    provisions of this chapter have been lost, misapplied, or otherwise 
    diverted from the purposes for which they were paid or furnished--

the Secretary shall notify such agency or institution that no further 
payments will be made under the provisions of this chapter until he is 
satisfied that there is substantial compliance or the diversion has been 
corrected or, if compliance or correction is impossible, until such 
agency or institution repays or arranges for the repayment of Federal 
funds which have been diverted or improperly expended.

(Pub. L. 89-182, Sec. 16, Sept. 14, 1965, 79 Stat. 684.)

                  Section Referred to in Other Sections

    This section is referred to in section 1367 of this title.



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