Sec. 2306.125.  COURT ACTIONS.  (a)  The department may institute a judicial action or proceeding against a housing sponsor receiving a loan or owning a housing development under this chapter to:
(1)  enforce this chapter;
(2)  enforce the terms and provisions of an agreement or contract between the department and the recipient of a loan under this chapter, including provisions regarding rental or carrying charges and income limits as applied to tenants or occupants;
(3)  foreclose its mortgage;  or
(4)  protect:
(A)  the public interest;
(B)  individuals and families of low and very low income or families of moderate income;
(C)  stockholders;  or
(D)  creditors of the sponsor.
(b)  In an action or proceeding under this section, the department may apply for the appointment of a trustee or receiver to assume the management and operation of the affairs of a housing sponsor.
(c)  The department, through its designated agent, may accept appointment as trustee or receiver of a housing sponsor when appointed by a court of competent jurisdiction.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.