§ 121.6. Denial of eligibility for financial assistance.

 (a)  To be eligible for a State higher education grant, a student applicant or recipient shall have and maintain satisfactory character. In determining whether an applicant or recipient has satisfactory character, the Agency may consider, among other factors, convictions of any of the following offenses:

   (1)  A criminal offense which under the laws of the United States or any state constitutes a felony.

   (2)  A criminal offense which under the laws of the Commonwealth constitutes murder of the first degree, felony of the first degree, felony of the second degree, felony of the third degree, misdemeanor of the first degree, misdemeanor of the second degree or misdemeanor of the third degree.

   (3)  A violation of section 13 of The Controlled Substance, Drug, Device and Cosmetic Act (35 P. S. §  780-113), except for section 13(a)(31) (35 P. S. §  780-113(a)(31)) thereof.

 (b)  If a State grant applicant is incarcerated, which shall be interpreted to mean confinement in a prison but to exclude residence in a ‘‘halfway house’’ under a so-called prerelease program, the applicant will not be eligible for State grant aid until the applicant has been released from incarceration.

 (c)  An applicant for any form of financial assistance may be denied eligibility if the Agency determines that the applicant or another member of the applicant’s family upon whom the applicant depends for support has submitted fraudulent information to the Agency.

 (d)  An applicant for any form of financial assistance may be denied eligibility if the Agency determines that the applicant has used educational loan funds for other than educational purposes.

 (e)  Eligibility for financial assistance may be denied to a person who owes a refund in a grant program as described in the Higher Education Act of 1965, act of November 8, 1965 (Pub.L. No. 89-329, 79 Stat. 1219), or on a State higher education grant.

 (f)  Nothing in this section limits the freedom of a student to verbal or other lawful expression of individual views or opinions.

 (g)  A student denied financial assistance under this section shall be afforded full recourse through an appeal to the Committee on Appeals, the Board and the courts to seek reinstatement of assistance if the assistance is determined to have been improperly denied.

   The provisions of this §  121.6 amended under section 4 of the act of August 7, 1963 (P. L. 549, No. 290) (24 P. S. §  5104); section 1 of the act of January 25, 1966 (P. L. 1546, No. 541) (24 P. S. §  5151); the act of July 18, 1974 (P. L. 483, No. 174) (24 P. S. § §  5181—5189); the act of July 1, 1988 (P. L. 1259, No. 155) (24 P. S. § §  5191—5197); and the act of June 26, 1992 (P. L. 322, No. 64) (24 P. S. § §  5198.1—5198.7).

   The provisions of this §  121.6 adopted March 24, 1972, effective March 25, 1972, 2 Pa.B. 506; amended November 10, 1978, effective November 11, 1978, 8 Pa.B. 3086; amended March 28, 1980, effective March 29, 1980, 10 Pa.B. 1385; amended September 21, 1984, effective September 22, 1984, 14 Pa.B. 3426; amended June 9, 1989, effective June 10, 1989, 19 Pa.B. 2428; amended July 12, 1996, effective July 13, 1996, 26 Pa.B. 3321. Immediately preceding text appears at serial pages (138267) to (138269).

   This section cited in 22 Pa. Code §  121.151 (relating to application of existing Agency regulations); 22 Pa. Code §  121.201 (relating to application of existing Agency regulations); 22 Pa. Code §  121.302 (relating to application of existing Agency regulations); and 22 Pa. Code §  121.401 (relating to application of existing agency regulations).