PUBLIC LAW 102-550—OCT. 28, 1992 106 STAT. 3741 determination of the Secretary, to cover expenses and probable losses. The Secretary shall deposit any fees collected under this subsection in the Indian Housing Loan Guarantee Fund established under subsection (i). (e) LIABILITY UNDER GUARANTEE.—The liability under a guarantee provided under this section shall decrease or increase on a pro rata basis according to any decrease or increase in the amount of the impaid obligation under the provisions of the loan agreement. (0 TRANSFER AND ASSUMPTION.— Notwithstanding any other provision of law, any loan guaranteed under this section, including the security given for the loan, may be sold or assigned by the lender to any financial institution subject to examination and supervision by an agency of the Federal Government or of any State or the District of Columbia. (g) DISQUALIFICATION OF LENDERS AND CIVIL MONEY PENALTIES. — (1) IN GENERAL.—If the Secretary determines that any lender or holder of a guarantee certificate under subsection (c) has failed to maintain adequate accounting records, to adequately service loans guaranteed under this section, to exercise proper credit or underwriting judgment, or has engaged in practices otherwise detrimental to the interest of a borrower or the United States, the Secretary may— (A) refuse, either temporarily or permanently, to guarantee any further loans made by such lender or holder; (B) bar such lender or holder from acquiring additional loans guaranteed under this section; and (C) reqmre that such lender or holder assume not less than 10 percent of any loss on further loans made or held by the lender or holder that are guaranteed under this section. (2) CIVIL MONEY PENALTIES FOR INTENTIONAL VIOLATIONS. — If the Secretary determines that any lender or holder of a guarantee certificate under subsection (c) has intentionally failed to maintain adequate accounting records, to adequately service loans guaranteed under this section, or to exercise proper credit or underwriting judgment, the Secretary may impose a civil money penalty on such lender or holder in the manner and amount provided under section 536 of the National Housing Act with respect to mortgagees and lenders under such Act. (3) PAYMENT ON LOANS MADE IN GOOD FAITH.— Notwithstanding paragraphs (1) and (2), the Secretary may not refuse to pay pursuant to a valid guarantee on loans of a lender or holder barred under this subsection if the loans were previously made in good faith. (h) PAYMENT UNDER GUARANTEE.— (1) LENDER OPTIONS.— (A) IN GENERAL.— In the event of default by the borrower on a loan guaranteed under this section, the holder of the guarantee certificate shall provide written notice of the default to the Secretary. Upon providing such notice, the holder of the guarantee certificate shall be entitled to payment under the guarantee (subject to the provisions of this section) and may proceed to obtain payment in one of the following manners:
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