Sec. 26.10.12.12. False Statements

A. A person may not knowingly make or cause any false statement or report to be made:

(1) In any application or other document furnished to the Department in connection with a loan; or

(2) For the purpose of influencing the action of the Department on an application for financial assistance, or for the purpose of influencing any action of the Department affecting financial assistance, whether assistance may have already been extended.

B. A person who violates any provision of this regulation is subject to applicable criminal penalties, including the penalties set forth in Environment Article, §4-501, Annotated Code of Maryland.

C. An applicant is subject to immediate acceleration of a loan, who knowingly makes or causes to be made any material misstatement of fact, whether in the nature of an understatement or overstatement of financial condition, or any other fact material to the Department's action, in any statement or report in or regarding an application or loan processing form for a loan or affecting a loan already made.