Bill > HB5229

This bill updates laws concerning the filing of fraudulent financing statements, which are official documents used to secure loans. It clarifies that knowingly filing a false record that is not authorized, contains material falsehoods, or is groundless, with the intent to harass or defraud, is a crime. First offenses are misdemeanors with fines or jail time, while subsequent offenses are felonies with imprisonment. Individuals harmed by such filings can sue for damages, attorney fees, and court costs. The bill also establishes a process where a debtor can file an affidavit with the Secretary of State if they believe a record was filed fraudulently, requiring notice to secured parties and allowing the Secretary of State to investigate and potentially reject or terminate the record, with provisions for judicial review and reinstatement. The Secretary of State is granted investigative powers, including issuing subpoenas, and the Attorney General will provide assistance. Importantly, the bill exempts regulated financial institutions from these provisions, though the Secretary of State can still request documentation to verify their status.

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http://www.wvlegislature.gov/Bill_Status/Bills_history.cfm?input=5229&year=2026&sessiontype=RS&btype=bill