§ 1470.36 - Misrepresentation and scheme or device.

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If NRCS determines that an applicant intentionally misrepresented any fact affecting a CSP determination, the application will be determined ineligible immediately.

A participant who is determined to have erroneously represented any fact affecting a program determination made in accordance with this part will not be entitled to contract payments and must refund to NRCS all payments, plus interest determined in accordance with 7 CFR part 1403.

A participant will refund to NRCS all payments, plus interest determined in accordance with 7 CFR part 1403, received by such participant with respect to all CSP contracts if they are determined to have:

Adopted any scheme or device that tends to defeat the purpose of the program;

Made any fraudulent representation;

Adopted any scheme or device for the purpose of depriving any tenant or sharecropper of the payments to which such person would otherwise be entitled under the program; or

Misrepresented any fact affecting a program determination.

Participants determined to have committed actions identified in paragraph (c) of this section will have their interest in all CSP contracts terminated.