SEC Accuses Miami of Misleading Investors in Muni Bond Offerings

Bloomberg reports:

The U.S. Securities and Exchange Commission accused the city of Miami and its former budget director with securities fraud related to several municipal bond offerings. The city and Michael Boudreaux made materially false and misleading statements and omissions about interfund transfers in three 2009 bond offerings totaling $153.5 million, the SEC said in a statement today. Boudreaux orchestrated the transfers to mask growing deficits in the city’s general fund, the SEC said.