§ 1808.613. Negative covenants of Eligible CDFI.
113 words·~1 min read·
/us/cfr/t12/s§ 1808.613·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The Eligible CDFI will covenant in Bond Loan documents that it will comply with certain negative covenants, as required by the CDFI Fund including, but not limited to, that it will:
(a)Not incur or issue additional long-term or short-term debt to the extent that the incurrence of such additional debt would violate the specific financial covenants of such Eligible CDFI under the Bond Loan; and
(b)Not permit liens on all or any part of the Bond Loan collateral, except as permitted pursuant to the Bond Loan documents, and only then to the extent consistent with the applicable laws and regulations governing the Bond Loan and as approved by the CDFI Fund.