Fines and Penalties

To the extent that a company providing materials and services for the project contained herein takes more tax benefits in terms of unpledged business privilege or excise taxes than the actual value of the materials or services contributed to the project authorized herein, that company shall be required to pay all interest and penalties applicable under Guam law and the Internal Revenue Code for failure to pay taxes, in addition to payment of the actual taxes due. To the extent that any individual, officer, director, or other person having interest in a company providing materials or services for the project contained herein knowingly and willfully causes such company to take more tax benefits in terms of business privilege or excise taxes than the actual value of the material or services contributed to the project, such individual shall be guilty of a felony in the third degree punishable by a fine of not less than Five Thousand Dollars ($5,000), or one

(1)year in prison, or both. CH. 77 SPECIAL PROJECTS AND ACTIVITIES OF THE GUAM ECONOMIC DEVELOPMENT AUTHORITY ARTICLE 13 TAX CREDITS FOR CONTRIBUTORS TO THE DESIGN AND CONSTRUCTION OF THE GUAM NATIONAL TENNIS FEDERATION FACILITIES