HB 1593: Fraud prevention. - Indiana

Enrolled House Bill (H) → House Bill (S) · 5 edits

MODERATE

This bill updates definitions and requirements for business entity filings in Indiana to improve fraud prevention and identity verification. It adds a new definition for 'contact address' and modifies how 'principal office' is defined for certain entities. The bill also strengthens identity verification requirements when someone files a biennial report on behalf of another person.

Scope change

The bill applies to business entities filing with the Indiana Secretary of State, specifically affecting domestic filing entities and those subject to commercial mail receiving agency regulations.

DEFINITION

Added a new definition for 'contact address' that includes residence addresses of governing persons or customer addresses for commercial mail receiving agencies.

Modified the definition of 'principal office' to reference the new 'contact address' definition for entities subject to commercial mail receiving agency regulations.

REQUIREMENT

Strengthened identity verification requirements for persons submitting biennial reports on behalf of others, requiring reasonable steps including manual verification, software, or third-party services.

Added specific document types that must be obtained for identity verification, including state-issued driver's licenses, identification cards, or passports.

TIMELINE

Set the effective date for all changes to January 1, 2026.

Engrossed House Bill (H) → Enrolled House Bill (H) · 6 edits · Apr 16, 2025

MODERATE

This bill updates Indiana's business entity laws to strengthen fraud prevention by requiring identity verification when someone files reports on behalf of another person. It also clarifies definitions for 'contact address' and 'principal office' and allows entities to apply for reinstatement after five years of administrative dissolution.

Scope change

The bill applies to all business entities filing with the Indiana Secretary of State, particularly those submitting biennial reports on behalf of others.

REQUIREMENT

New requirement that anyone submitting a biennial report for another person must verify the other person's identity using government-issued identification documents.

Submitters of biennial reports must provide verification information to the Secretary of State upon request.

Requires biennial reports to include specific information about directors, officers, and executive offices for corporations and nonprofit corporations.

DEFINITION

Added new definition for 'contact address' as the residence address of a governing person or customer address for commercial mail receiving agencies.

Modified 'principal office' definition to specify that for entities subject to IC 23-0.5-8-4, it means the entity's contact address.

ELIGIBILITY

Allows domestic filing entities to apply for reinstatement more than five years after administrative dissolution if they explain the reason and intended future activities.

Introduced House Bill (H) → Engrossed House Bill (H) · 5 edits · Mar 27, 2025

MODERATE

HB 1593 was amended to strengthen fraud prevention measures for biennial report submissions and expand reinstatement options for dissolved entities. The bill now requires more robust identity verification steps and adds requirements for commercial mail receiving agencies, while also updating the effective date from July 1, 2025 to January 1, 2026.

Scope change

The bill's scope expanded to include specific requirements for commercial mail receiving agencies and modified the verification process for biennial report submissions from simple identity verification to requiring reasonable steps including manual verification or third-party services.

REQUIREMENT

Changed identity verification requirements for biennial report submissions from a simple verification obligation to requiring 'reasonable steps' including manual verification, software, or third-party background checks.

Added new requirements for persons operating commercial mail receiving agencies to verify customer identities when submitting entity filings.

TIMELINE

Changed the effective date of the bill from July 1, 2025 to January 1, 2026.

ELIGIBILITY

Modified reinstatement requirements for administratively dissolved entities to allow applications more than five years after dissolution if the entity describes the reason for reinstatement and intended future activities.

DEFINITION

Added a new definition for 'contact address' that includes the address of a customer of a commercial mail receiving agency with a valid USPS agreement.

Fraud prevention.

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