Archive:CAPITAL Act

**THE UNIVERSAL TRIUMVIRATE CREATING AIDE FOR PRIVATE INVESTMENT BY TREASURY ALLOCATED LOANS (CAPITAL) ACT**
 **3.19.13 | 6.9.13**
Nathan Maine, Chief Historian, Sophomore Executive
Minor Executive and Head of the Treasury Andrew Hester

**A Law** to provide government loans to businesses so that the economy may be stimulated and so that broader access to loans may be granted to those within the Triumvirate.

**Section 1: Amount Provided For Loans**

The Triumvirate Department of the Treasury shall, each trimester, be able to grant 250 tri for use in loans to businesses
**Section 2: Loan Grant**

A business may request a loan by submitting a form or contacting the Head of the Treasury or any under the Head of the Treasury who the Head of the Treasury or Executive Branch appoints. This form/contact must include name of the institution filing for a loan and the probable use and plan for the loan if granted. If the Head of the Treasury (or any under the Head of the Treasury who the Head of the Treasury or Executive Branch appoints), or the Executive Branch over them, believes that the loan is a valid use of government funds (considering solely potential risk, time, credit rate of the business, amount, previous loan records, and use), they may grant a loan not exceeding 100 tri to the business.
**Section 2.1: Rate**
The Head of the Treasury (or any under the Head of the Treasury who the Head of the Treasury or Executive Branch appoints) or any shall negotiate and dictate the rate on the loan with the respective applicant. The decision of rate shall not be based on any personal prejudice and should only consider potential risk, time, credit rate of the business, amount, previous loan records, and use.
No rate shall be lower than 2% and no rate shall be higher than 50%
**Section 2.2: Payback Period**
A loan must be paid back to the Treasury within six months at the set rate.

**Section 3: Credit Rate**

The Department of the Treasury shall manage and document all credit rates for businesses within the Triumvirate.
**Section 3.1: All Credit Rates**
The following credit rates shall be utilized: 0 – 1,000. All businesses shall begin with a credit rate of 500. No credit rate shall ever exceed or 1,000 or fall below 0.
**Section 3.2: Raise in Credit Rate**
In the event where a business successfully pays back a loan to the Department of the Treasury, their credit rate shall be determined via this equation-
Previous rate + Amount x Rate of loan
**Section 3.3: Degrade in Credit Rate**
In the event where a business fails to pay back a loan to the Department of the Treasury, their credit rate shall be determined via this equation-
Previous rate - Amount x Rate of loan
**Section 4: Failure to Pay**

In an event where a business fails to pay back a loan to the Department of the Treasury, besides a decline in credit score, they may be brought up in criminal court for failure to do so (in which case it shall qualify as a Class I Misdemeanor), or, if they must file for bankruptcy, may do so.
The Head of the Treasury (or any under the Head of the Treasury who the Head of the Treasury or Executive Branch appoints) may otherwise have some discretion in terms of allowing a potential extension (not greater than three months) or making a deal for the liquidation of all or some business assets to give to the government should both parties be willing and able. A decline in credit score is not negotiable or alterable.
**Section 5: Renewal**

Sections 1 and 2 must be renewed once the Triumvirate has achieved at least 100 active citizens and ten businesses worth ∇50 or more. If those two sections are not renewed by both the Executive and Administrative Branches, they shall be removed and the Department of the Treasury shall cease loaning operations.
**Section 5.1: Outstanding Loans**
If, at the time this law is terminated, all outstanding loans shall remain in effect and any/all plans for repaying failed loans and consequences for current loans shall remain the same. This shall extend to until all activity derived from this law has been fulfilled.