Article: Nevada County, Calif., spurns SEC offer to end fraud case.(US Securities and Exchange Commission, securities fraud)

Nevada County, Calif., has formally rejected an SEC offer to settle allegations of securities fraud, setting the stage for an all-or nothing battle with the commission's enforcement division staff.

The county's lead attorney in the matter said yesterday that he contacted the Securities and Exchange Commission staff in San Francisco late Monday to decline to accept an administrative "cease and desist" order that would have ended the federal investigation.

George O'Connell, a partner with the Sacramento law firm Downey Brand Seymour & Rohwer, said county officials strongly believe they did nothing wrong. Accepting an administrative order, O'Connell said, could ...

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