New York Codes, Rules and Regulations
Title 21 - Miscellaneous
Chapter L - New York State Urban Development Corporation
Part 4235 - Job Retention And Defense Industry Working Capital Loan Program
Section 4235.6 - Eligible and ineligible uses of funds
Universal Citation: 21 NY Comp Codes Rules and Regs ยง 4235.6
Current through Register Vol. 46, No. 12, March 20, 2024
(a) Assistance from the loan fund for loan guarantees and working capital loans may be sought and used for working capital purposes.
(b) Assistance from the loan fund for loan guarantees and working capital loans shall not be used for any of the following purposes:
(1)
disbursements to eligible business owners, including any repayment or servicing
of loans or transfers from the owning entity of eligible businesses, stock
distributions or reductions of owner's equity in any manner or payment of
excessive salaries, as determined by the corporation in its sole
discretion;
(2) payment of any tax
arrearages;
(3) refinancing which
shall reduce the commitment of outside financial institutions to the eligible
business;
(4) the purchase of real
estate or machinery and equipment.
(c) Assistance from the loan fund for the grants may be used for any of the purposes set forth in section 4235.3(d) of this Part. However, the grants may not be used to pay for tax arrearages or penalties or employee benefit arrearages.
Disclaimer: These regulations may not be the most recent version. New York may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google
Privacy Policy and
Terms of Service apply.
