Misrepresentation and scheme or device.

(a) A dairy operation shall be ineligible for the MILC program if FSA determines that it knowingly: (1) Adopted a scheme or device that tends to defeat the purpose of this program; (2) Made any fraudulent representation; or (3) Misrepresented any fact affecting a determination under this program. CCC will take steps deemed necessary to protect the interests of the government. (b) Any funds disbursed to a producer or operation engaged in a misrepresentation, scheme, or device, shall be refunded to CCC. The remedies provided in this subpart shall be in addition to other civil, criminal, or administrative remedies which may apply.