§ 410-l. Foreclosures and judgments. 1. In any foreclosure action
the commissioner shall be made a party defendant. He shall take all
steps necessary to protect the interests of the public therein and no
costs shall be awarded against him. Foreclosures shall not be decreed
unless the court to which application is made shall be satisfied that
the interests of the lienholder or holders cannot be adequately assured
except by the sale of the property. In any such proceeding, the court
shall be authorized to appoint the commissioner as receiver of the
property, or to grant such other and further relief as may be reasonable
and proper.

2. Notwithstanding the foregoing provisions of this section, wherever
it shall appear that the agency shall have loaned on a mortgage which is
a first lien upon any such property, such agency shall have all the
remedies available to a mortgagee under the laws of the state of New
York, free from any restrictions contained in this section, except that
the commissioner shall be made a party defendant and that the
commissioner shall take all steps necessary to protect the interests of
the public and no costs shall be awarded against him.

3. In the event of a judgment against an eligible borrower in any
action not pertaining to the collection of a mortgage indebtedness,
there shall be no sale of any of the real property of such eligible
borrower except upon sixty days' written notice to the commissioner and
the agency. Upon receipt of such notice the commissioner and the agency
shall take such steps as in their judgment may be necessary to protect
the rights of all parties.