P.R. Laws tit. 23, § 8005
The Agricultural and Commercial Development and Credit Corporation of Puerto Rico, is hereby authorized to borrow money up to the maximum amount of one million dollars ($1,000,000), for the purpose of establishing a line of credit or collateral for the granting of loans, guarantees, incentives or any other financial assistance to artisans, for the establishment, operation, extension or improvement of shops for the production, creation and manufacture of artisanry. It may also grant financial assistance and loans to artisans for the purchase of equipment and working tools needed for the production of their works. To such ends, “equipment” shall be understood as that which is used to expedite the production processes, but, under no circumstances may such equipment substitute the handcrafting of the artisan’s work or product. “Tool” shall likewise be understood to be any tool used by the artisan, manually, and which is used in finishing his products and/or works.
Within the Credits Program, priority shall be given to the need for technological and design innovations as well as to the promotion and opening of new markets. The Corporation shall establish the Credits Program in consultation with the Director of the Artisanry Development Program, who shall also have the responsibility of certifying the artisanry applicants to said Corporation.
The Corporation may grant loans to the artisan sector, subject to the following requirements:
(a) Charge the legal interest rate prevailing in the market or a lower interest rate pursuant to the financial resources of the artisan.
(b) Establish the terms for the payment of said loan.
(c) Grant extensions for the payment of capital and interest.
(d) Determine the nature and worth of the collateral required to grant a loan, if any.
No loan shall be granted unless there is a reasonable expectation, based on the facts and conditions of each case, that the person to whom it is to be granted will repay the amount of the loan in due course.
The Agricultural and Commercial Development and Credit Corporation of Puerto Rico shall exercise the supervision it deems suitable in those cases where it provides venture capital for the operation of artisanry workshops.
History —Aug. 11, 1995, No. 166, § 6.