81 FR 71774 - Self-Regulatory Organizations; The Depository Trust Company; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Clarify Certain Rules Provisions Relating to Pledges
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 81, Issue 201 (October 18, 2016)
Federal Register Volume 81, Issue 201 (October 18, 2016)
| Page Range | 71774-71776 | |
| FR Document | 2016-25087 |
[Federal Register Volume 81, Number 201 (Tuesday, October 18, 2016)] [Notices] [Pages 71774-71776] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2016-25087] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-79088; File No. SR-DTC-2016-009] Self-Regulatory Organizations; The Depository Trust Company; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Clarify Certain Rules Provisions Relating to Pledges October 12, 2016. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4,\2\ notice is hereby given that on October 3, 2016, The Depository Trust Company (``DTC'') filed with the Securities and Exchange Commission (``Commission'') the proposed rule change as described in Items I, II and III below, which Items have been prepared by DTC. DTC filed the proposed rule change pursuant to Section 19(b)(3)(A) of the Act \3\ and Rule 19b-4(f)(4) thereunder.\4\ The proposed rule change was effective upon filing with the Commission. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. --------------------------------------------------------------------------- \1\ 15 U.S.C. 78s(b)(1). \2\ 17 CFR 240.19b-4. \3\ 15 U.S.C. 78s(b)(3)(A). \4\ 17 CFR 240.19b-4(f)(4). --------------------------------------------------------------------------- I. Clearing Agency's Statement of the Terms of Substance of the Proposed Rule Change The proposed rule change consists of modifications to the DTC Rules, By-laws and Organization Certificate (``Rules'') \5\ in order to clarify certain provisions relating to DTC's Pledge services, as described in greater detail below.\6\ --------------------------------------------------------------------------- \5\ Available at http://www.dtcc.com/~/media/Files/Downloads/ legal/rules/dtc_rules.pdf. \6\ Capitalized terms not defined herein are defined in the Rules, supra note 5. --------------------------------------------------------------------------- II. Clearing Agency's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, the clearing agency included statements concerning the purpose of and basis for the proposed rule change and discussed any comments it received on the proposed rule change. The text of these statements may be examined at the places specified in Item IV below. The clearing agency has prepared summaries, set forth in sections A, B, and C below, of the most significant aspects of such statements. (A) Clearing Agency's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose Delivery or Pledge of Securities at DTC DTC holds Eligible Securities on behalf of its Participants and reflects the transfer of interests in those securities by computerized book entry. There are two fundamental types of book-entry transfer under the Rules: Delivery and Pledge. A Delivery or a Pledge may be made (i) free of payment, where no funds are transferred through DTC, or (ii) versus payment through DTC net funds settlement in the ordinary course of business. The clarifying amendments in the proposed rule change relate to Pledges. A Participant may instruct DTC to Deliver Securities from its Account to the Account of another Participant, in which case ownership of the Securities is transferred to the Receiver. Alternatively, a Participant (in this context, a Pledgor) that is granting a [[Page 71775]] security interest in the Securities may instruct DTC to Pledge those Securities to the Pledgee Account of its counterparty (the Pledgee), in which case a security interest may be transferred.\7\ The Pledgor continues to own the Securities, subject to the Pledge, and the Pledgee may Release the Pledged Securities to the Pledgor. The Rules further provide that the Pledgee may exercise control of the Pledged Securities by instructing DTC to transfer the Pledged Securities to its Participant Account (if it is a Participant) or to the Account of another Participant, in either case, without the further consent of the Pledgor.\8\ --------------------------------------------------------------------------- \7\ The interest transferred is, however, only a security interest if the Pledgor and Pledgee have an agreement outside of DTC that constitutes a security agreement under applicable law and as to which the other requirements for attachment and enforceability of a security interest have been satisfied. See, e.g., N.Y. U.C.C. Law Sec. 9-203. \8\ By giving such an instruction to the Corporation, the Pledgee represents that it is acting in accordance with applicable law and agreements. Rule 9(B), Section 1, supra note 5. Typically, a Pledgee would take this step only in the event of a default of its Pledgor under the outside agreements governing the Pledge. --------------------------------------------------------------------------- As noted above, the characterization of any Pledge depends on agreements between the Pledgor and the Pledgee made outside of DTC. DTC does not inquire into the terms and conditions of those agreements but affords its Participants the means to Pledge the Securities by book- entry and, thereby, to perfect any properly created security interest with Control.\9\ --------------------------------------------------------------------------- \9\ See, e.g., N.Y. U.C.C. Law Sec. 8-106 and Sec. 9-106. --------------------------------------------------------------------------- The Rules around Pledges were originally drafted primarily for bank loan transactions, where the Pledgee at DTC was typically a bank, lending to the counterparty Participant/Pledgor against inventory of the Participant held at DTC. If the Pledgee was also a Participant, it might receive the Pledge Versus Payment and fund the loan through DTC net funds settlement. This is rare, however, and most Pledges are made free of payment, against funding outside of DTC. However, the Rules were not intended to be limited to this scenario; for instance, the definition of Pledgee prior to this proposed rule change allows for Pledgees that are not only banks.\10\ DTC also offers Pledge services for transactions that are not bank loans, to Pledgees that are not banks. For example, Participants writing an option to buy or sell securities on an options exchange may pledge securities to the Options Clearing Corporation (``OCC'') \11\ to collateralize that option. For this purpose, Participants may pledge the underlying securities to the Pledgee Account of OCC at DTC.\12\ --------------------------------------------------------------------------- \10\ Pursuant to Rule 1 and Rule 2, Section 3, supra note 5, a Pledgee may be a bank, trust company or other person approved by DTC that enters into an agreement with DTC that is satisfactory to DTC. \11\ OCC is the sole clearing organization for all securities options exchanges, also servicing certain futures markets in the U.S., and is registered as a clearing agency with the Commission and as a derivatives clearing organization with the Commodity Futures Trading Commission. See The Options Clearing Corporation Disclosure Framework for Financial Market Infrastructures (January 31, 2016) available at http://www.optionsclearing.com/components/docs/risk-management/pfmi-disclosures.pdf, at 6. \12\ See DTC Settlement Service Guide (``Guide'') available at http://www.dtcc.com/~/media/Files/Downloads/legal/service-guides/ Settlement.pdf., at 9. --------------------------------------------------------------------------- In recognition of the various types of financing or collateral transactions for which a Pledge may be used, this proposed rule change would delete specific references to banks or loans, clarify that other types of financial institutions may be Pledgees, and make conforming changes to selected provisions relating to these matters.\13\ --------------------------------------------------------------------------- \13\ Note that a Pledgee may but need not be a Participant, if it satisfies the further conditions of the Rules, supra note 10. A Pledgee that is not a Participant may not receive a Pledge Versus Payment. Rule 2, Section 3, supra note 5. --------------------------------------------------------------------------- Proposed Rule Changes The proposed rule change would modify Rule 1 (Definitions) and Rule 2 (Participants and Pledgees) to clarify that the Rules do not require (i) an entity to be a bank or to have engaged in a loan transaction with a Participant in order to qualify as a Pledgee, nor do the Rules require (ii) that Securities underlying a Pledge need to be pledged in connection with a loan. In addition, the definition of Pledgee would be updated to expressly include broker-dealers. Although the definition already allows types of entities other than banks to be Pledgees, the change should eliminate any ambiguity for this group of financial institutions that are already a permitted type of Participant pursuant to Rule 3 (Participants Qualifications). In addition, pursuant to the proposed rule change, the Rules would be revised for other technical and clarifying changes to: (i) Clarify in Rule 1 that the terms Collateral and Collateral Monitor are used in the context of the obligations of Participants and that the underlying computations and recording of Collateral and Collateral Monitor relate to the applicable Business Day on which they occur; (ii) Clarify in Rule 1 that the term Collateral Value is used with respect to the Collateral of a Participant and that computations of Collateral Value relate to the applicable Business Day on which they occur; (iii) Clarify in Rule 1 that an instruction from a Participant or Pledgee to the Corporation with respect to a Release of a Security credited to a Securities Account constitutes an Entitlement Order (in addition to a Delivery, Pledge or Withdrawal constituting Entitlement Orders as is already stated therein); (iv) Delete a reference in the Rule 1 definition of Free Delivery that a Free Delivery is made as provided in Rule 9(A) (Transactions in Securities and Money Payments) because Free Deliveries by their nature do not involve money payments through DTC's system; (v) Clarify in the Rule 1 definition of Free Pledge that a Free Pledge is made as provided in Rule 9(B) (in addition to Section 3 of Rule 2 and as specified in the Procedures) since Rule 9(B) applies to instructions to DTC to effect a Delivery, Pledge, Release or Withdrawal of Securities; (vi) Specify in the Rule 1 definition of Free Release the section number (i.e., Section 3) of Rule 2 (in addition to Rule 9(B) and the Procedures as already referenced therein) under which the definition of Free Release is provided for rather than stating a general reference to Rule 2 in this regard; (vii) Clarify the definition of Lender in Rule 1 consistent with the Rules generally to include that other lenders in addition to banks may extend credit to DTC for purposes authorized by the Rules; (viii) Clarify clause (2) of the definition of Pledge in Rule 1 to eliminate any ambiguity as to the scope of clause (2) by adding the words ``including for purposes of Rule 4(A)'' and the words ``or providing for'' a security interest, so that there can be no doubt that clause (2) also applies to Rule 4(A) of the DTC Rules and that a ``Pledge'' on the books of DTC is not limited to the creation of a security interest but may also provide for a security interest consistent with applicable law; (ix) Clarify the text of the definition of Pledged Security in Rule 1 to (a) simply state that the term Pledged Security means a Deposited Security which is the subject of a Pledge, rather than stating that the term means a Deposited Security which is the subject of a Free Pledge or Pledge Versus Payment, and (b) delete descriptive language relating to Pledges that is redundant to the meaning of the term Pledge as set forth in Rule 1; (x) Add language to the definition of Limited Participant in Rule 1 in order to eliminate a potential ambiguity and [[Page 71776]] state that the term Limited Participant does not include a Pledgee; \14\ --------------------------------------------------------------------------- \14\ Although a Pledgee must sign an agreement with DTC and is bound by the Rules, a Pledgee need not be a Participant (although a Participant may also be a Pledgee), supra note 13. --------------------------------------------------------------------------- (xi) Clarify in Section 2 of Rule 2 that a Pledgee (in addition to a Participant) that utilizes the services of DTC for another Person does so as principal so far as the rights of DTC, and other Participants and Pledgees are concerned; (xii) Clarify text in Section 3 of Rule 2 that a Pledge relates to Deposited Securities rather than Securities in general; and (xiii) Conform text in Rule 1 and Rule 2 for readability, grammar and usage. Implementation The proposed rule change would become effective upon filing with the Commission. 2. Statutory Basis Section 17A(b)(3)(F) \15\ of the Act requires that the rules of the clearing agency be designed, inter alia, to promote the prompt and accurate clearance and settlement of securities transactions. DTC believes the proposed rule change is consistent with this provision because the proposed rule change consists of technical changes to the texts of the Rules as described above that would provide enhanced clarity with respect to the Participants that may use, and transactions that may be submitted through, DTC Pledge services. Therefore, by clarifying for Participants the types of transactions they may submit for processing through DTC Pledge services, the proposed rule change would promote the prompt and accurate clearance and settlement of securities transactions. --------------------------------------------------------------------------- \15\ 15 U.S.C. 78q-1(b)(3)(F). --------------------------------------------------------------------------- (B) Clearing Agency's Statement on Burden on Competition DTC does not believe that the proposed rule change would have any impact or impose any burden on competition because it merely makes technical and clarifying changes to the Rules that do not impact the rights or obligations of Participants. (C) Clearing Agency's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others DTC has not received or solicited any written comments relating to this proposal. DTC will notify the Commission of any written comments received by DTC. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change has become effective pursuant to Section 19(b)(3)(A) \16\ of the Act and paragraph (f) of Rule 19b-4 \17\ thereunder. At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. --------------------------------------------------------------------------- \16\ 15 U.S.C. 78s(b)(3)(A). \17\ 17 CFR 240.19b-4(f). --------------------------------------------------------------------------- IV. Solicitation of Comments Interested persons are invited to submit written data, views, and arguments concerning the foregoing, including whether the proposed rule change is consistent with the Act. Comments may be submitted by any of the following methods: Electronic CommentsUse the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or Send an email to [email protected]. Please include File Number SR-DTC-2016-009 on the subject line. Paper Comments Send paper comments in triplicate to Secretary, Securities and Exchange Commission, 100 F Street NE., Washington, DC 20549. All submissions should refer to File Number SR-DTC-2016-009. This file number should be included on the subject line if email is used. To help the Commission process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for Web site viewing and printing in the Commission's Public Reference Room, 100 F Street NE., Washington, DC 20549 on official business days between the hours of 10:00 a.m. and 3:00 p.m. Copies of the filing also will be available for inspection and copying at the principal office of DTC and on DTCC's Web site (http://dtcc.com/legal/sec-rule-filings.aspx). All comments received will be posted without change; the Commission does not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR-DTC-2016-009 and should be submitted on or before November 8, 2016. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\18\ --------------------------------------------------------------------------- \18\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Robert W. Errett, Deputy Secretary. [FR Doc. 2016-25087 Filed 10-17-16; 8:45 am] BILLING CODE 8011-01-P
![71774 Federal Register / Vol. 81, No. 201 / Tuesday, October 18, 2016 / Notices
appropriate in furtherance of the comments more efficiently, please use have been prepared by DTC. DTC filed
purposes of the Act because the only one method. The Commission will the proposed rule change pursuant to
proposed changes only affect trading on post all comments on the Commission’s Section 19(b)(3)(A) of the Act 3 and Rule
CBOE. To the extent that the proposed Internet Web site (http://www.sec.gov/ 19b–4(f)(4) thereunder.4 The proposed
changes make CBOE a more attractive rules/sro.shtml). Copies of the rule change was effective upon filing
marketplace for market participants at submission, all subsequent with the Commission. The Commission
other exchanges, such market amendments, all written statements is publishing this notice to solicit
participants are welcome to become with respect to the proposed rule comments on the proposed rule change
CBOE market participants. change that are filed with the from interested persons.
Commission, and all written
C. Self-Regulatory Organization’s I. Clearing Agency’s Statement of the
communications relating to the
Statement on Comments on the Terms of Substance of the Proposed
proposed rule change between the
Proposed Rule Change Received From Rule Change
Commission and any person, other than
Members, Participants, or Others those that may be withheld from the The proposed rule change consists of
The Exchange neither solicited nor public in accordance with the modifications to the DTC Rules, By-laws
received comments on the proposed provisions of 5 U.S.C. 552, will be and Organization Certificate (‘‘Rules’’) 5
rule change. available for Web site viewing and in order to clarify certain provisions
printing in the Commission’s Public relating to DTC’s Pledge services, as
III. Date of Effectiveness of the described in greater detail below.6
Reference Room, 100 F Street NE.,
Proposed Rule Change and Timing for
Washington, DC 20549 on official II. Clearing Agency’s Statement of the
Commission Action business days between the hours of Purpose of, and Statutory Basis for, the
The foregoing rule change has become 10:00 a.m. and 3:00 p.m. Copies of the Proposed Rule Change
effective pursuant to Section 19(b)(3)(A) filing also will be available for
of the Act 11 and paragraph (f) of Rule inspection and copying at the principal In its filing with the Commission, the
19b–4 12 thereunder. At any time within office of the Exchange. All comments clearing agency included statements
60 days of the filing of the proposed rule received will be posted without change; concerning the purpose of and basis for
change, the Commission summarily may the Commission does not edit personal the proposed rule change and discussed
temporarily suspend such rule change if identifying information from any comments it received on the
it appears to the Commission that such submissions. You should submit only proposed rule change. The text of these
action is necessary or appropriate in the information that you wish to make statements may be examined at the
public interest, for the protection of available publicly. All submissions places specified in Item IV below. The
investors, or otherwise in furtherance of should refer to File Number SR–CBOE– clearing agency has prepared
the purposes of the Act. If the 2016–072 and should be submitted on summaries, set forth in sections A, B,
Commission takes such action, the or before November 8, 2016. and C below, of the most significant
Commission will institute proceedings aspects of such statements.
For the Commission, by the Division of
to determine whether the proposed rule Trading and Markets, pursuant to delegated (A) Clearing Agency’s Statement of the
change should be approved or authority.13 Purpose of, and Statutory Basis for, the
disapproved. Robert W. Errett, Proposed Rule Change
IV. Solicitation of Comments Deputy Secretary.
1. Purpose
[FR Doc. 2016–25085 Filed 10–17–16; 8:45 am]
Interested persons are invited to Delivery or Pledge of Securities at DTC
BILLING CODE 8011–01–P
submit written data, views, and
DTC holds Eligible Securities on
arguments concerning the foregoing,
behalf of its Participants and reflects the
including whether the proposed rule SECURITIES AND EXCHANGE transfer of interests in those securities
change is consistent with the Act. COMMISSION by computerized book entry. There are
Comments may be submitted by any of
[Release No. 34–79088; File No. SR–DTC– two fundamental types of book-entry
the following methods:
2016–009] transfer under the Rules: Delivery and
Electronic Comments Pledge. A Delivery or a Pledge may be
• Use the Commission’s Internet Self-Regulatory Organizations; The made (i) free of payment, where no
Depository Trust Company; Notice of funds are transferred through DTC, or
comment form (http://www.sec.gov/
Filing and Immediate Effectiveness of (ii) versus payment through DTC net
rules/sro.shtml); or
• Send an email to rule-comments@ a Proposed Rule Change To Clarify funds settlement in the ordinary course
sec.gov. Please include File Number SR– Certain Rules Provisions Relating to of business. The clarifying amendments
CBOE–2016–072 on the subject line. Pledges in the proposed rule change relate to
Pledges.
Paper Comments October 12, 2016.
A Participant may instruct DTC to
Pursuant to Section 19(b)(1) of the Deliver Securities from its Account to
• Send paper comments in triplicate Securities Exchange Act of 1934
to Secretary, Securities and Exchange the Account of another Participant, in
(‘‘Act’’) 1 and Rule 19b–4,2 notice is
Commission, 100 F Street NE., which case ownership of the Securities
hereby given that on October 3, 2016,
Washington, DC 20549–1090. is transferred to the Receiver.
The Depository Trust Company (‘‘DTC’’)
All submissions should refer to File Alternatively, a Participant (in this
filed with the Securities and Exchange
context, a Pledgor) that is granting a
Lhorne on DSK30JT082PROD with NOTICES
Number SR–CBOE–2016–072. This file Commission (‘‘Commission’’) the
number should be included on the proposed rule change as described in 3 15 U.S.C. 78s(b)(3)(A).
subject line if email is used. To help the Items I, II and III below, which Items 4 17 CFR 240.19b–4(f)(4).
Commission process and review your 5 Available at http://www.dtcc.com/∼/media/
13 17 CFR 200.30–3(a)(12). Files/Downloads/legal/rules/dtc_rules.pdf.
11 15 U.S.C. 78s(b)(3)(A). 1 15 U.S.C. 78s(b)(1). 6 Capitalized terms not defined herein are defined
12 17 CFR 240.19b–4(f). 2 17 CFR 240.19b–4. in the Rules, supra note 5.
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![71776 Federal Register / Vol. 81, No. 201 / Tuesday, October 18, 2016 / Notices
state that the term Limited Participant III. Date of Effectiveness of the filing also will be available for
does not include a Pledgee; 14 Proposed Rule Change and Timing for inspection and copying at the principal
(xi) Clarify in Section 2 of Rule 2 that Commission Action office of DTC and on DTCC’s Web site
a Pledgee (in addition to a Participant) The foregoing rule change has become (http://dtcc.com/legal/sec-rule-
that utilizes the services of DTC for effective pursuant to Section filings.aspx). All comments received
another Person does so as principal so 19(b)(3)(A) 16 of the Act and paragraph will be posted without change; the
far as the rights of DTC, and other (f) of Rule 19b–4 17 thereunder. At any Commission does not edit personal
Participants and Pledgees are time within 60 days of the filing of the identifying information from
concerned; proposed rule change, the Commission submissions. You should submit only
(xii) Clarify text in Section 3 of Rule summarily may temporarily suspend information that you wish to make
2 that a Pledge relates to Deposited such rule change if it appears to the available publicly. All submissions
Securities rather than Securities in Commission that such action is should refer to File Number SR–DTC–
general; and necessary or appropriate in the public 2016–009 and should be submitted on
(xiii) Conform text in Rule 1 and Rule interest, for the protection of investors, or before November 8, 2016.
2 for readability, grammar and usage. or otherwise in furtherance of the For the Commission, by the Division of
Implementation purposes of the Act. Trading and Markets, pursuant to delegated
authority.18
The proposed rule change would IV. Solicitation of Comments
Robert W. Errett,
become effective upon filing with the Interested persons are invited to Deputy Secretary.
Commission. submit written data, views, and [FR Doc. 2016–25087 Filed 10–17–16; 8:45 am]
arguments concerning the foregoing,
2. Statutory Basis including whether the proposed rule
BILLING CODE 8011–01–P
Section 17A(b)(3)(F) 15 of the Act change is consistent with the Act.
requires that the rules of the clearing Comments may be submitted by any of SECURITIES AND EXCHANGE
agency be designed, inter alia, to the following methods: COMMISSION
promote the prompt and accurate Electronic Comments
clearance and settlement of securities [Release No. 34–79087; File No. SR-Phlx-
transactions. DTC believes the proposed • Use the Commission’s Internet 2016–86]
rule change is consistent with this comment form (http://www.sec.gov/
rules/sro.shtml); or Self-Regulatory Organizations;
provision because the proposed rule NASDAQ PHLX LLC; Notice of
change consists of technical changes to • Send an email to rule-comments@
sec.gov. Please include File Number SR– Designation of a Longer Period for
the texts of the Rules as described above Commission Action on Proposed Rule
that would provide enhanced clarity DTC–2016–009 on the subject line.
Change To Delete or Amend Rule
with respect to the Participants that may Paper Comments Language Relating to Specialists and
use, and transactions that may be
• Send paper comments in triplicate Registered Options Traders
submitted through, DTC Pledge services. to Secretary, Securities and Exchange
Therefore, by clarifying for Participants Commission, 100 F Street NE.,
October 12, 2016.
the types of transactions they may Washington, DC 20549. On August 12, 2016, NASDAQ PHLX
submit for processing through DTC LLC (‘‘Exchange’’ or ‘‘Phlx’’) filed with
All submissions should refer to File the Securities and Exchange
Pledge services, the proposed rule
Number SR–DTC–2016–009. This file
change would promote the prompt and Commission (‘‘SEC’’ or ‘‘Commission’’),
number should be included on the
accurate clearance and settlement of pursuant to Section 19(b)(1) of the
subject line if email is used. To help the
securities transactions. Securities Exchange Act of 1934
Commission process and review your
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2 a
(B) Clearing Agency’s Statement on comments more efficiently, please use
proposed rule change to delete or
Burden on Competition only one method. The Commission will
amend rule language relating to
post all comments on the Commission’s
DTC does not believe that the specialists and Registered Options
Internet Web site (http://www.sec.gov/
proposed rule change would have any Traders (‘‘ROTs’’). The proposed rule
rules/sro.shtml). Copies of the
impact or impose any burden on change was published for comment in
submission, all subsequent
competition because it merely makes the Federal Register on August 31,
amendments, all written statements
technical and clarifying changes to the 2016.3 The Commission received no
with respect to the proposed rule
Rules that do not impact the rights or comment letters on the proposed rule
change that are filed with the
obligations of Participants. change.
Commission, and all written
Section 19(b)(2) of the Act 4 provides
(C) Clearing Agency’s Statement on communications relating to the
that, within 45 days of the publication
Comments on the Proposed Rule proposed rule change between the
of notice of the filing of a proposed rule
Change Received From Members, Commission and any person, other than
change, or within such longer period up
Participants, or Others those that may be withheld from the
to 90 days as the Commission may
DTC has not received or solicited any public in accordance with the
designate if it finds such longer period
written comments relating to this provisions of 5 U.S.C. 552, will be
to be appropriate and publishes its
proposal. DTC will notify the available for Web site viewing and
reasons for so finding or as to which the
Commission of any written comments printing in the Commission’s Public
self-regulatory organization consents,
Lhorne on DSK30JT082PROD with NOTICES
received by DTC. Reference Room, 100 F Street NE.,
Washington, DC 20549 on official 18 17 CFR 200.30–3(a)(12).
14 Although
business days between the hours of 1 15 U.S.C. 78s(b)(1).
a Pledgee must sign an agreement
with DTC and is bound by the Rules, a Pledgee 10:00 a.m. and 3:00 p.m. Copies of the 2 17 CFR 240.19b–4.
need not be a Participant (although a Participant 3 See Securities Exchange Act Release No. 78680
may also be a Pledgee), supra note 13. 16 15 U.S.C. 78s(b)(3)(A). (August 25, 2016), 80 FR 60110.
15 15 U.S.C. 78q–1(b)(3)(F). 17 17 CFR 240.19b–4(f). 4 15 U.S.C. 78s(b)(2).
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Document Created: 2016-10-17 23:52:14
Document Modified: 2016-10-17 23:52:14
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| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
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