Article: California county argues against SEC fraud charges.(Nevada County, California)

In a case with wide-ranging implications for municipal finance, Nevada County, Calif., has submitted a 150-page Wells response to the Securities and Exchange Commission defending itself against threatened securities fraud charges.

Throughout the strongly worded document, obtained under the California Public Records Act, the county raises the issue of whether municipalities can rely on the advice and expertise of underwriters, bond lawyers, and financial advisers in preparing bond offering documents.

Nevada County also questions the motives of the SEC in pursuing the small northern California issuer.

An affidavit included in the Wells response by Robert ...

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