SEC Settles Illinois Enforcement Action; Cites Importance of Disclosure Controls and Procedures
On March 11, 2013, the Securities and Exchange Commission (the “SEC”), in an administrative proceeding, accepted a settlement offer made by the State of Illinois (the “State”) and entered a cease-and-desist order (the “Order”) against the State. The SEC concluded that the State had acted negligently, in violation of Sections 17(a)(2) and 17(a)(3) of the Securities Act of 1933 (the “Securities Act”). The Order concerned disclosures relating to the State’s pension liabilities in official statements and preliminary official statements used for numerous bond offerings in the 2005-2009 period. The bonds being offered were general obligation bonds, backed by the full faith and credit of the State. The Order stated that “the State omitted to disclose . . . material information regarding the structural underfunding of its pension systems and the resulting risks to the State’s financial condition.”
Also of Interest
- Hawkins Elects Alexis Harrington to Partner
Hawkins Delafield & Wood LLP is pleased to announce the election of Alexis Harrington to the partnership, effective January 1, 2019.
- Hawkins Counsel to the 2018 Northeast Deal of the Year
The Authority’s transaction marks the 20th Deal of the Year transaction that Hawkins has participated in the last 16 years.
- Rule 15c2-12 Compliance Alert
This edition of the Hawkins Advisory is a compliance alert, supplementing the Hawkins Advisory regarding Rule 15c2-12 that is dated August 22, 2018.
- Hawkins Attorneys Featured at Bond Attorneys’ Workshop
Four Hawkins attorneys will serve on panels at the National Association of Bond Lawyers 43rd annual Bond Attorneys’ Workshop which will be held September 26-28, 2018 in Chicago.