83 FR 22307 - Submission for OMB Review; Comment Request

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 83, Issue 93 (May 14, 2018)

Page Range		22307-22308
FR Document		2018-10147
Federal Register, Volume 83 Issue 93 (Monday, May 14, 2018)
[Federal Register Volume 83, Number 93 (Monday, May 14, 2018)]
[Notices]
[Pages 22307-22308]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-10147]


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SECURITIES AND EXCHANGE COMMISSION

[SEC File No. 270-141, OMB Control No. 3235-0249]


Submission for OMB Review; Comment Request

Upon Written Request, Copies Available from: Securities and Exchange 
Commission, Office of FOIA Services, 100 F Street NE, Washington, DC 
20549-2736.

Extension:
    Rule 12f-3

    Notice is hereby given that pursuant to the Paperwork Reduction Act 
of 1995 (``PRA'') (44 U.S.C. 3501 et seq.), the Securities and Exchange 
Commission (``Commission'') has submitted to the Office of Management 
and Budget (``OMB'') a request for approval of extension of the 
previously approved collection of information provided for in Rule 12f-
3 (17 CFR 240.12f-3), under the Securities Exchange Act of 1934 
(``Act'') (15 U.S.C. 78a et seq.).
    Rule 12f-3 (``Rule''), which was originally adopted in 1955 
pursuant to Sections 12(f) and 23(a) of the Act, and as further 
modified in 1995, sets forth the requirements to submit an application 
to the Commission for termination or suspension of unlisted trading 
privileges in a security, as contemplated under Section 12(f)(4) of the 
Act. In addition to requiring that one copy of the application be filed 
with the Commission, the Rule requires that the application contain 
specified information. Under the Rule, an application to suspend or 
terminate unlisted trading privileges must provide, among other things, 
the name of the applicant; a brief statement of the applicant's 
interest in the question of termination or suspension of such unlisted 
trading privileges; the title of the security; the name of the issuer; 
certain information regarding the size of the class of security, the 
public trading volume and price history in the security for specified 
time periods on the subject exchange and a statement indicating that 
the applicant has provided a copy of such application to the exchange 
from which the suspension or termination of unlisted trading privileges 
are sought, and to any other exchange on which the security is listed 
or admitted to unlisted trading privileges.
    The information required to be included in applications submitted 
pursuant to Rule 12f-3, is intended to provide the Commission with 
sufficient information to make the necessary findings under the Act to 
terminate or suspend by order the unlisted trading privileges granted a 
security on a national securities exchange. Without the Rule, the 
Commission would be unable to fulfill these statutory responsibilities.
    The burden of complying with Rule 12f-3 arises when a potential 
respondent, having a demonstrable bona fide interest in the question of 
termination or suspension of the unlisted trading privileges of a 
security, determines to seek such termination or suspension. The staff 
estimates that each such application to terminate or suspend unlisted 
trading privileges

[[Page 22308]]

requires approximately one hour to complete. Thus each potential 
respondent would incur on average one burden hour in complying with the 
Rule.
    The Commission staff estimates that there could be as many as 18 
responses annually for an aggregate burden for all respondents of 18 
hours. Each respondent's related internal cost of compliance for Rule 
12f-3 would be $221.00, or, the cost of one hour of professional work 
of a paralegal needed to complete the application. The total annual 
cost of compliance for all potential respondents, therefore, is 
$3,978.00 (18 responses x $221.00/response).
    Compliance with the application requirements of Rule 12f-3 is 
mandatory, though the filing of such applications is undertaken 
voluntarily. Rule 12f-3 does not have a record retention requirement 
per se. However, responses made pursuant to Rule 12f-3 are subject to 
the recordkeeping requirements of Rules 17a-3 and 17a-4 of the Act. 
Information received in response to Rule 12f-3 shall not be kept 
confidential; the information collected is public information.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information under the PRA unless it 
displays a currently valid OMB control number.
    The public may view background documentation for this information 
collection at the following website: www.reginfo.gov. Comments should 
be directed to: (i) Desk Officer for the Securities and Exchange 
Commission, Office of Information and Regulatory Affairs, Office of 
Management and Budget, Room 10102, New Executive Office Building, 
Washington, DC 20503, or by sending an email to: 
[email protected]; and (ii) Pamela Dyson, Director/Chief 
Information Officer, Securities and Exchange Commission, c/o Remi 
Pavlik-Simon, 100 F Street NE, Washington, DC 20549 or send an email 
to: [email protected]. Comments must be submitted to OMB within 30 
days of this notice.

    Dated: May 8, 2018.
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2018-10147 Filed 5-11-18; 8:45 am]
 BILLING CODE 8011-01-P
Federal Register / Vol. 83, No. 93 / Monday, May 14, 2018 / Notices 22307

information agreements are stored at the The Commission staff estimates that Notice is hereby given that pursuant
fund group level and estimates that the total hour burden for rule 22c–2 is to the Paperwork Reduction Act of 1995
there are currently approximately 850 29,687.67 hours at a cost of (‘‘PRA’’) (44 U.S.C. 3501 et seq.), the
fund groups.20 Commission staff $11,817,056.50.25 Responses provided Securities and Exchange Commission
understands that information-sharing to the Commission will be accorded the (‘‘Commission’’) has submitted to the
agreements are generally included as same level of confidentiality accorded to Office of Management and Budget
addendums to distribution agreements other responses provided to the (‘‘OMB’’) a request for approval of
between funds and their intermediaries, Commission in the context of its extension of the previously approved
and that these agreements would be examination and oversight program. collection of information provided for in
stored as required by the rule as a matter Responses provided in the context of Rule 12f–3 (17 CFR 240.12f–3), under
of ordinary business practice. Therefore, the Commission’s examination and the Securities Exchange Act of 1934
Commission staff estimates that oversight program are generally kept (‘‘Act’’) (15 U.S.C. 78a et seq.).
maintaining records of information- confidential. Complying with the Rule 12f–3 (‘‘Rule’’), which was
sharing agreements requires 10 minutes information collections of rule 22c–2 is originally adopted in 1955 pursuant to
of time spent by a general clerk (at a rate mandatory for funds that redeem their Sections 12(f) and 23(a) of the Act, and
of $59 per hour) 21 per fund, each year. shares within 7 days of purchase. An as further modified in 1995, sets forth
Accordingly, Commission staff agency may not conduct or sponsor, and the requirements to submit an
estimates that all funds will incur a person is not required to respond to application to the Commission for
141.67 hours at a cost of $8358.53 22 in a collection of information unless it termination or suspension of unlisted
complying with the recordkeeping displays a currently valid control trading privileges in a security, as
requirement of rule 22c–2(a)(3). number. contemplated under Section 12(f)(4) of
The public may view the background the Act. In addition to requiring that one
Therefore, Commission staff estimates
documentation for this information copy of the application be filed with the
that to comply with the information
collection at the following website, Commission, the Rule requires that the
sharing agreement requirements of rule application contain specified
22c–2(a)(2) and (3), it requires a total of www.reginfo.gov. Comments should be
directed to: (i) Desk Officer for the information. Under the Rule, an
29,141.67 hours at a cost of application to suspend or terminate
$11,403,358.53.23 Securities and Exchange Commission,
Office of Information and Regulatory unlisted trading privileges must
The Commission staff estimates that Affairs, Office of Management and provide, among other things, the name
on average, each fund group requests Budget, Room 10102, New Executive of the applicant; a brief statement of the
shareholder information once a week, Office Building, Washington, DC 20503, applicant’s interest in the question of
and gives instructions regarding the or by sending an email to: Shagufta_ termination or suspension of such
restriction of shareholder trades every Ahmed@omb.eop.gov; and (ii) Pamela unlisted trading privileges; the title of
day, for a total of 417 responses related Dyson, Director/Chief Information the security; the name of the issuer;
to information sharing systems per fund Officer, Securities and Exchange certain information regarding the size of
group each year, and a total 354,450 Commission, c/o Remi Pavlik-Simon, the class of security, the public trading
responses for all fund groups 100 F Street NE, Washington, DC 20549 volume and price history in the security
annually.24 In addition, as described or send an email to: PRA_Mailbox@ for specified time periods on the subject
above, the staff estimates that funds sec.gov. Comments must be submitted to exchange and a statement indicating
make 42 responses related to board OMB within 30 days of this notice. that the applicant has provided a copy
determinations, 2550 responses related of such application to the exchange
to new intermediaries of existing fund Dated: May 8, 2018. from which the suspension or
groups, 4700 responses related to new Eduardo A. Aleman, termination of unlisted trading
fund group information sharing Assistant Secretary. privileges are sought, and to any other
agreements, and 850 responses related [FR Doc. 2018–10146 Filed 5–11–18; 8:45 am] exchange on which the security is listed
to recordkeeping, for a total of 8142 BILLING CODE 8011–01–P or admitted to unlisted trading
responses related to the other privileges.
requirements of rule 22c–2. Therefore, The information required to be
the Commission staff estimates that the SECURITIES AND EXCHANGE included in applications submitted
total number of responses is 362,592 COMMISSION pursuant to Rule 12f–3, is intended to
(354,450 + 8142 = 362,592). provide the Commission with sufficient
[SEC File No. 270–141, OMB Control No.
3235–0249] information to make the necessary
20 ICI, 2017 Investment Company Fact Book at Fig findings under the Act to terminate or
1.8 (2017) (https://www.ici.org/research/stats/ Submission for OMB Review; suspend by order the unlisted trading
factbook). Comment Request privileges granted a security on a
21 The $59 per hour figure for a general clerk is
national securities exchange. Without
derived from SIFMA’s Office Salaries in the Upon Written Request, Copies Available
Securities Industry 2013 modified to account for an
the Rule, the Commission would be
1800-hour work-year and inflation, and multiplied
from: Securities and Exchange unable to fulfill these statutory
by 2.93 to account for bonuses, firm size, employee Commission, Office of FOIA Services, responsibilities.
benefits, and overhead. 100 F Street NE, Washington, DC The burden of complying with Rule
22 This estimate is based on the following
20549–2736. 12f–3 arises when a potential
calculations: (10 minutes × 850 fund groups = 8500
minutes); (8500 minutes/60 = 141.67 hours); Extension: respondent, having a demonstrable bona
amozie on DSK3GDR082PROD with NOTICES

(141.67 hours × $59 = $8358.53). Rule 12f–3 fide interest in the question of
23 This estimate is based on the following termination or suspension of the
calculations: (10,200 hours + 18,800 hours + 141.67 25 This estimate is based on the following unlisted trading privileges of a security,
hours = 29,141.67 hours); ($3,998,400 + $7,369,600 calculations: (546 hours (board determination) + determines to seek such termination or
+ $8358.53 = $11,403,358.53). 29,141.67 hours (information sharing agreements) =
24 This estimate is based on the following 29,687.67 total hours); ($440,706 (board
suspension. The staff estimates that
calculations: (52 + 365 = 417); (417 × 850 fund determination) + $11,376,350.53 (information each such application to terminate or
groups = 354,450). sharing agreements) = $11,817,056.50). suspend unlisted trading privileges

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Document Created: 2018-05-12 01:11:36
Document Modified: 2018-05-12 01:11:36
Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
FR Citation		83 FR 22307