§ 10-487
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/md/human-services/10-487A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§10–487.
(a)A transfer of or lien on the property of a provider is voidable if the transfer or lien is:
(1)made or created within 4 months before the issuance of a show–cause order under this subtitle;
(2)made or created with the intent to give a creditor a preference or to enable the creditor to obtain a greater percentage of the debt than another creditor of the same class; and
(3)accepted by the creditor having reasonable cause to believe that the preference will occur.
(b)Each director, officer, employee, stockholder, member, subscriber, and any other person acting on behalf of a provider that is concerned in a voidable transfer under subsection
(a)of this section and each person that, as a result of the voidable transfer, receives any property of the provider or benefits from the voidable transfer:
(1)is personally liable; and
(2)shall account to the Secretary.
(c)The Secretary as receiver in a delinquency proceeding may:
(1)avoid a transfer of or lien on the property of a provider that a creditor, stockholder, subscriber, or member of the provider might have avoided; and
(2)recover the transferred property or its value from the person that received it unless that person was a bona fide holder for value before the date of issuance of a show–cause order under this subtitle.