PARRIS N. GLENDENING, Governor                             Ch. 120

(1)     The Department shall place with the lender a 5-year certificate of
deposit in the amount of the loan, at a rate 3 percent below the lender's prevailing rate
for equivalent deposits at the time of the deposit; and

(2)     The lender will agree to approve the applicant's loan application at a
fixed interest rate which shall be at least 3 percent below its then customary rate for
similar loans, for a term of at least 5 years, and upon such other terms and conditions its
the Department shall approve. The lender must also agree not to assign or sell the loan to
any other lender so long as the linked deposit is in effect. The lender must also agree not
to charge the borrower more than a total of 1 percent of the principal amount of the loan
for origination, placement, or discount fees or other charges as additional compensation
for the loan.

(b)     On receiving a linked deposit from the Department, the lender shall carry out
the loan commitment to the applicant.

(c)     At the conclusion of the deposit term or at an earlier time as the loan to the
applicant is repaid or otherwise terminated, the deposit shall revert to the Fund, and the
rate of the loan shall return to the prevailing rate, as provided in the loan commitment.

5-607.

(a)     The Department and the State shall have the immunity from liability
described under § 5-366 of the Courts and Judicial Proceedings Article.

(b)     A delay in payment or default by an eligible business does not affect the
deposit agreement between the lender and the Department.

5-608.

If, at any time, the amount of money in the Fund exceeds the amount that the
Department considers necessary currently to meet its obligations under this subtitle, the
Department shall deposit the excess money with the State Treasurer, who shall invest the
money in the manner provided for by law.

5-609.

A person who is convicted of knowingly making a false statement in connection with
linked deposit financing under this subtitle shall be guilty of a misdemeanor and subject
to a fine of not more than $10,000, 1 year imprisonment, or both.

5-610.

The Department may adopt regulations to implement this program.

Subtitle [4.] 7. Maryland Industrial Land Act.
[5-401.] 5-701.

This subtitle may be cited as the "Maryland Industrial Land Act".

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