114 STAT. 3014 PUBLIC LAW 106-569—DEC. 27, 2000 SEC. 704. PROJECT ACCOUNTING RECORDS AND PRACTICES. Section 515 of the Housing Act of 1949 (42 U.S.C. 1485) is amended by striking subsection (z) and inserting the following new subsections: "(z) ACCOUNTING AND RECORDKEEPING REQUIREMENTS.— "(1) ACCOUNTING STANDARDS.— The Secretary shall require that borrowers in programs authorized by this section maintain accounting records in accordance with generally accepted accounting principles for all projects that receive funds from loans made or guaranteed by the Secretary under this section. " (2) RECORD RETENTION REQUIREMENTS. —The Secretary shall require that borrowers in programs authorized by this section retain for a period of not less than 6 years and make available to the Secretary in a manner determined by the Secretary, all records required to be maintained under this subsection and other records identified by the Secretary in applicable regulations. "(aa) DOUBLE DAMAGES FOR UNAUTHORIZED USE OF HOUSING PROJECTS ASSETS AND INCOME.— "(1) ACTION TO RECOVER ASSETS OR INCOME. — "(A) IN GENERAL.— The Secretary may request the Attorney General to bring an action in a United States district court to recover any assets or income used by any person in violation of the provisions of a loan made or guaranteed by the Secretary under this section or in violation of any applicable statute or regulation. "(B) IMPROPER DOCUMENTATION.— For purposes of this subsection, a use of assets or income in violation of the applicable loan, loan guarantee, statute, or regulation shall include any use for which the documentation in the books and accounts does not establish that the use was made for a reasonable operating expense or necessary repair of the project or for which the documentation has not been maintained in accordance with the requirements of the Secretary and in reasonable condition for proper audit. " (C) DEFINITION.—For the purposes of this subsection, the term 'person' means— "(i) any individual or entity that borrows funds in accordance with programs authorized by this section; "(ii) any individual or entity holding 25 percent or more interest of any entity that borrows funds in accordance with programs authorized by this section; and "(iii) any officer, director, or partner of an entity that borrows funds in accordance with programs authorized by this section. " (2) AMOUNT RECOVERABLE. — "(A) IN GENERAL.—In any judgment favorable to the United States entered under this subsection, the Attorney General may recover double the value of the assets and income of the project that the court determines to have been used in violation of the provisions of a loan made or guaranteed by the Secretary under this section or any applicable statute or regulation, plus all costs related to the action, including reasonable attorney and auditing fees. "(B) APPLICATION OF RECOVERED FUNDS.—Notwithstanding any other provision of law, the Secretary may
�
