§209-28  Purpose of loans.  (a) Commercial loans may be made for the following purposes:  to purchaseinventory, equipment, and machinery; to construct, repair, or restorebuildings; to provide operating funds; and to refinance outstanding businessloans on equipment and buildings; provided that the loans shall be used torehabilitate the business of the disaster victim as nearly as possible to itspredisaster level; and provided further that the loans shall not be used tobegin a business substantially different from the one the disaster victim wasengaged in before the state disaster.  Business concerns which were nonownersof buildings before the state disaster shall not be precluded from obtainingbuilding loans under this part.

(b)  Personal loans may be made for the purposeof meeting necessary expenses or to satisfy serious needs of individuals andfamilies including reciprocal beneficiaries which arose as an immediate anddirect result of a disaster. [L 1961, c 189, §14; Supp, §98P-14; HRS §209-28;am L 1976, c 205, §1(2); am L 1997, c 383, §37]