Section 4-909.1 - Powers of Department - Program loans secured by cooperative interest.
§ 4-909.1. Powers of Department - Program loans secured by cooperative interest.
(a) In general.- If a Program loan to a member of a cooperative housing corporation is secured by a security interest in the member's cooperative interest, the Department may:
(1) foreclose on the security interest or otherwise enforce the security interest as permitted under Title 9 of the Commercial Law Article;
(2) take possession of the premises in lieu of foreclosure;
(3) obtain and enforce deficiency judgments;
(4) transfer the cooperative interest;
(5) allow assumption of the security agreement; and
(6) contract with private loan servicers to perform on behalf of the Department any functions the private loan servicers ordinarily perform.
(b) Board of Public Works approval or execution not required.- Without approval or execution by the Board of Public Works, the Department may:
(1) assign a security interest for value;
(2) release a security interest when paid;
(3) foreclose on a security interest;
(4) take possession of the premises in lieu of foreclosure; or
(5) transfer a cooperative interest after acquisition.
[2008, ch. 485.]