The House Business Committee introduced RS32195 change 1 on Feb. 7, a draft resolution designed to give financial institutions a limited legal mechanism to temporarily hold transactions when they have reason to suspect fraud targeting seniors or vulnerable adults.

Representative Jeff Ehlers, District 21, Meridian, the sponsor, said the proposal is aimed at preventing financial fraud among “senior citizens aged 65 and older and vulnerable adults.” He described the tool as allowing institutions to “place a hold on it. They can do an initial investigation, and then we give them a little time to work with law enforcement agencies, Department of Finance, and others to do a full investigation.”

During committee discussion, Representative Marmon asked why statute is needed if financial institutions could adopt internal policies to protect customers. Ehlers replied the statute provides legal protection to institutions and reduces the risk that a customer will be upset if a transaction is held: “This allows, the financial institutions to ensure it is in law and that they're protected because it is in law.”

Representative Goody (substituting for Representative Wheeler) moved to introduce RS32195 change 1; the motion was approved by voice vote and the chair announced the motion carried. The committee did not hold a public hearing on the resolution at the Feb. 7 meeting.