Regulations Governing Arts and Cultural Procurements by Juridical Persons or Groups in Receipt of Government Grants Article 12

Where the following occur regarding a juridical person or group that has received funding to engage in procurement related to culture and the arts, the funding organization shall, depending on the severity of the infraction, rescind, cancel, or penalize in part or in whole the funding award. Where funding has already been remitted, a written administrative penalty may be levied and a demand for repayment within a specified time given. Where funds are not remanded within the given time, the case may be transferred for administrative actions addressing:1. Funding goals as in Article 4 not being met, or where the funding organization has otherwise ruled;2. Recusal as addressed in Paragraph 1 and 2 of Article 9 not being abided by;3. Information not being provided as per Article 10;4. The provisions of the preceding article not being met, and where the funding recipient evades, obstructs, or refuses the inspection or review of the funding organization.Funding-related regulations shall state clearly the reasons to be given for the cancellation or rescinding of funding as per the preceding Article.