City of Columbia violated municipal bond obligations

Published: Aug. 26, 2016 at 2:45 AM EDT
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COLUMBIA, SC (WIS) - The City of Columbia was one of 71 municipal issuers in violation of municipal bond offerings.

The actions were brought under the Municipalities Continuing Disclosure Cooperation Initiative, a voluntary self-reporting program targeting material misstatements and omissions in municipal bond offering documents, according to a statement from the U.S. Securities and Exchange Commission on Wednesday.

Hilton Head was also listed as a violator in South Carolina.

The SEC found that from 2011 to 2014, the 71 issuers and obligated persons sold municipal bonds using offering documents that contained materially false statements or omissions about their compliance with continuing disclosure obligations.

The parties settled the actions without admitting or denying the findings and agreed to cease and desist from future violations. Pursuant to the terms of the initiative, they also agreed to establish appropriate policies, procedures, and training regarding continuing disclosure obligations; comply with existing continuing disclosure undertakings, including updating past delinquent filings, disclose the settlement in future offering documents, and cooperate with any subsequent investigations by the SEC, according to a settlement agreement.

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