S.E.C. charges 71 municipal bond issuers for misleading investors

The Securities and Exchange Commission has leveled charges against 71 municipal bond issuers for misleading investors with offering documents containing materially false statements or omissions about their compliance with continuing disclosure obligations. The actions have been brought against municipalities in Hawaii and Minnesota as well as Ohio.The action covers a wide range of other issuers and entities, including the Ohio State University, the city of Memphis, the town of Hilton Head Island, South Carolina, and the Delaware Transportation Authority, according to the SEC.

All of the entities involved settled with the SEC without admitting or denying the SEC’s findings, the agency said.

Settlements in the cases require the parties to reform their policies, procedures and staff training related to continuing disclosure obligations and to update past filings, among other things, the SEC said.

Jeffrey Newman represents whistleblowers.