The SEC filed its first action against a state, charging
New Jersey with fraud in connection with multiple offerings of municipal bonds
dating back to 2001. In the Matter of State of New Jersey , Adm. Proc.
File No. 3-14009 (Aug. 18, 2010).
The Order for Proceedings alleges fraud in violation...
New Jersey became the first state ever charged by the SEC
for violations of the federal securities laws. They gave up without a fight and
agreed to settle the case, without admitting or denying the SEC's findings.
This matter involves the sale of over $26 billion in
The SEC charged the State of Illinois with misleading
investors when selling about $2.2 billion in municipal bonds over a four year
period beginning in 2005. The proceeding alleges violations of Securities Act
Sections 17(a)(2) and (3). In the wake of substantial remedial steps initiated
by the State...
WASHINGTON, D.C. - (Mealey's) The Securities and Exchange
Commission and the City of Harrisburg, Pa., have agreed to a cease-and-desist
order preventing the city from continuing its violation of federal securities
laws in connection with statements it made both publicly and in financial documents...
Recently, the SEC settled with the City of Harrisburg (City)
over violations of Rule 10b-5 in connection with material misstatements and omissions
made by the City in its public statements and financial information, during a
This settlement underscores the increased focus by...
The SEC brought another action against a City for
inadequate disclosure in connection with a municipal bond offering. In the
Matter of the City of South Miami, Florida, Adm. Proc. File No. 3-15329
(May 22, 2013). The action centers on a bond offering initiated in 2002 to
finance a public parking...
The SEC settled its first action under the Municipalities Continuing Disclosure Cooperation Initiative, launched on March 10, 2014. Under the Initiative the Enforcement Division agreed to recommend settlement on favorable, standardized terms for issuers and underwriters who self-report or were already...
The SEC’s nationwide review of municipal bond disclosures yielded another enforcement action, this time against the state of Kansas. The Order centers on claims that the state failed to disclose its huge unfunded pension liabilities. In the Matter of The State of Kansas, Adm. Proc. File No. 3-16009...