Judge Says Miami Misled Investors.

• Position: Brief Article

A federal administrative judge has ruled that the City of Miami misled investors about its poor financial health so that it could sell $116 million in bonds for a sewer project, a land deal, and employee pensions. The judge chastised city leaders for their deception during the 1995 bond sale and ordered that it never happen again, or else1 they would face possible civil fines in federal court. The judge said that top city administrators violated antifraud provisions by saying that Miami was operating under a balanced budget in fiscal year 1995. In reality, the judge said, the city knew there was a $12 million...