WASHINGTON — A federal judge ruled that the Securities and Exchange Commission's fraud case against Miami, Fla. and its former budget director can continue in civil court, denying both defendants' motions to dismiss.

U.S. District Judge Cecilia Altonaga issued her rulings Dec. 27 in the U.S. District Court for the Southern District of Florida.Miami and ex-budget director Michael Boudreaux are contesting an SEC suit that charges the city with securities fraud for making "numerous material misrepresentations and omissions to investors" in 2009 bond offering documents, The suit charges Boudreaux with orchestrating misleading interfund transfers designed to mask a deficit in the city's general fund.

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