Ka Wai Ola - Office of Hawaiian Affairs, Volume 12, Number 12, 1 December 1995 — Bad loan fund debts written off [ARTICLE]

Bad loan fund debts written off

The Administration for Native American commissioner Gary Kimble has authorized the write-off of 23 severely delinquent

loans from OHA's Native Hawaiian Revolving Loan Fund. The businesses were deemed to be either bankrupt or with no hope of recovery . 1Jie write-offs get the loans off the program's books, allowing its portfolio to reduce its delinquency ratio. The practice is eommon among banks and other private financial institutions who do not want to have non-performing loans reflected in their loan records. The bad loans were written off against the accrued interest of the program, not the principle.