Bankruptcy

CHICAGO — The managers of the bondholder-owned St. Louis convention center hotel complex presented a more upbeat revenue forecast for the facilities in a financial update last week, according to a new investor notice.

WASHINGTON — The Securities and Exchange Commission is considering holding five field hearings between September and January as part of a nationwide inquiry on the municipal market that is expected to lead to recommendations for statutory and regulatory changes to better protect investors.

CHICAGO — A Wisconsin Supreme Court decision overturning the state diversion of $200 million from a medical malpractice fund will force a new round of budget cuts, Gov. Jim Doyle’s administration said Tuesday.

Securities and Exchange Commission chairman Mary Schapiro told lawmakers Tuesday that the agency needs to hire 800 people to implement provisions in the financial regulatory reform legislation that President Obama is expected to sign into law today.

BRADENTON, Fla. — The Securities and Exchange Commission is seeking a summary judgment against former Jefferson County, Ala., commissioner Larry Langford on three counts of violating the federal Securities Act.

CHICAGO — Lawyers for former Illinois Gov. Rod Blagojevich and his older brother Robert launched their defense Monday against allegations the ex-governor sought to use his official powers to personally profit and build his campaign coffers.

A receiver appointed by Rhode Island to take over the city of Central Falls’ operations moved quickly on his first day Monday, relieving its mayor of his duties and firing an official.

The Securities and Exchange Commission is soliciting public comments through Aug. 9 on a Municipal Securities Rulemaking Board proposal to change its EMMA site to reflect new materiality standards for continuing disclosures as well as changes to a list of event-based disclosures that borrowers may voluntarily submit to the system.

WASHINGTON — Rep. Mike Thompson, D-Calif., and 29 other members of Congress have introduced legislation that would prevent Fannie Mae and Freddie Mac from stifling state programs that allow localities to sell bonds to finance energy-efficient ­upgrades made by ­homeowners.

CHICAGO — Even with a water rate increase expected to boost revenues, the Xenia Rural Water District still faces possible insolvency as its revenues can’t keep up with repayment of its $140 million of debt, according to a new Iowa state auditor’s report.

The Financial Industry Regulatory Authority fined three firms a total of $92,500, mostly for municipal bond rule violations, and barred a former principal of a firm from the market for falsifying investment statements for a widow to make it look like she owned muni bonds when she did not.

CHICAGO — A federal court ruling that lets the Lac du Flambeau tribe off the hook for repayment of $46.6 million of tribal gaming revenue bonds could harm the municipal market as a whole because the ruling undercuts investor rights in bond indentures and confidence in disclosure, the National Federation of Municipal Analysts warns.

BRADENTON, Fla. — Based on settlements recommended by the Securities and Exchange Commission, a federal judge in Alabama has issued permanent injunctions prohibiting future violations of securities laws by Montgomery bond dealer William Blount and his firm, Blount Parrish & Co., and local lobbyist Al LaPierre.

WASHINGTON — Former Southwest Securities Inc. banker John F. Kendrick has agreed to pay a civil penalty of $10,000 to settle Securities and Exchange Commission charges that he willfully violated, and caused the firm to violate, Rule G-37 by making significant political contributions to Massachusetts Treasurer Timothy Cahill.

WASHINGTON — The Senate voted 60 to 39 Thursday to approve sweeping changes to the financial regulatory system that will significantly alter the landscape of municipal securities regulation.

A Harrisburg official who has been advocating a potential bankruptcy filing for Pennsylvania’s capital city released an alternative plan Wednesday that involves bondholders taking a potential cut on the $282 million of incinerator debt owed them.

WASHINGTON — Blank Rome LLP has hired three new attorneys for its lobbying shop who are experienced in representing sovereign and municipal governments.

WASHINGTON — California Attorney General Jerry Brown is suing mortgage titans Fannie Mae and Freddie Mac as well as their regulator, the Federal Housing Finance Agency, for effectively killing programs that allow the state’s localities to issue bonds to finance energy-efficient upgrades made by homeowners.

WASHINGTON — Municipal bond analysts worry that issuers increasingly are drawing on bond insurance to temporarily pay for debt service without disclosing the action to investors.

CHICAGO — New procurement rules aimed at curbing pay to play in contracts awarded by Illinois, its agencies, and its public universities could dampen the flow of creative financing ideas from the public finance community, some market participants believe.