The logon page does not run under the DLL, the Logon2 does. You would not add the <#Status> tag for logon because they have not signed in yet. When they fail to sign in with a wrong password or username, the system displays the logon2.html under the ILLiad.dll and also sends a message the patron can see as to what the issue is, For example, a message like:
Login failed. Please check your username and password before trying again.