Section 955. Payments by mortgage investing institutions; receipts

1. A
  mortgage investing institution which receives moneys  from  a  mortgagor
  for  deposit  into a real property tax escrow account shall be liable to
  such mortgagor, upon failure to pay such taxes, for the  amount  of  the
  taxes plus penalties and interest imposed thereon.
    2. A mortgage investing institution may pay the taxes due on more than
  one   parcel   by  a  single  instrument,  provided  the  instrument  is
  accompanied by a detailed list of the  specific  parcels  to  which  the
  instrument  is  to be applied, each parcel identification number and the
  amount of tax to be paid with respect to each parcel. If the face  value
  of  the  instrument  is  at least equal to the total intended payment as
  indicated by such list, but the total intended payment  does  not  equal
  the  total  amount of taxes actually due on the parcels on the list, the
  collecting officer shall accept the instrument and record  as  paid  the
  taxes  due  on  each parcel for which the amount offered as set forth in
  such list is at least equal to the amount due on such parcel.  The  lien
  on  each  remaining  parcel  on  such  list  shall  not be discharged or
  diminished by the acceptance of such instrument. The collecting  officer
  shall  forthwith  advise the mortgage investing institution or its agent
  that the taxes  on  the  remaining  parcels  remain  unpaid,  and  shall
  identify  the  parcels  on  the list upon which taxes remain unpaid. The
  amount of the tender which has not been applied to the payment of  taxes
  shall be either retained to be applied toward tax payments or refunded.
    3.  No  later than three weeks after a tax has been paid by a mortgage
  investing institution pursuant to this  title,  the  collecting  officer
  shall  deliver  or  mail  a  receipt  to the mortgagor for whom the real
  property tax escrow account is maintained.  Each such receipt  shall  be
  in  the same format as a statement of taxes, except that the word "Paid"
  (or an equivalent word or words)  and  the  date  of  payment  shall  be
  clearly  displayed  thereon.    The  receipt  may  also  display, if the
  collecting  officer  so  elects,  the  name,  title  and  signature  (or
  initials) of the collecting officer or of the authorized subordinate who
  received the payment.
    4.  Notwithstanding  the  provisions of any other law to the contrary,
  and except in a school district, if a mortgage investing institution has
  failed to pay the taxes of its mortgagor by the date the warrant of  the
  collecting  officer  expires,  the  collecting officer shall provide the
  name  of  such  mortgage  investing  institution  with  the  return   of
  delinquent  taxes  delivered  to the public official charged by law with
  the duty of enforcing the collecting of delinquent real property  taxes.
  Thereafter,  whenever  such officer publishes a notice pertaining to the
  enforcement of delinquent taxes against a parcel listed on such  return,
  and  the  name  of  the  mortgagor  is included therein, the name of the
  mortgage investing institution shall also be included.