SEC Deadline for Municipal Self-Reporting of Potential Violations

    View Author November 2014
    The Division of Enforcement of the Securities and Exchange Commission (SEC) announced on March 10, 2014 a voluntary self-reporting program for issuers and underwriters of misstatements made in an official statement for a municipal bond issue concerning prior compliance with continuing disclosure obligations.  This program is called the “MCDC Initiative.”  To participate in the MCDC Initiative and be eligible for the standard settlement terms, municipalities must self-report potential violations by December 1, 2014. This past summer, the Division of Local Government Services issued a notice alerting New Jersey municipalities to this program.