The I# chord is a so called incomplete dominant. (V7(b9) with no root).
Alternative IVIiiV progression. (VI is dominant to ii).
IIb is a substitute for V.
Example: If the 5th is removed from E7 (V) the remaining tones are: EG#D
The tones in a Bb7(b5) (IIb): BbDFbAb (Eller BbDEG#)
In addition to the added tone Bb the tones are all the same as in E7.
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