[Federal Register Volume 61, Number 229 (Tuesday, November 26, 1996)]
[Notices]
[Pages 60129-60130]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-30175]
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SECURITIES AND EXCHANGE COMMISSION
Submission for OMB Review; Comment Request
Upon Written Request, Copies Available From: Securities and
Exchange Commission, Office of Filings and Information Services,
Washington, DC 20549.
Approval of Existing Collection
Rule 10b-17, SEC File No. 270-427, OMB Control No. 3235--new.
Rule 11a1-1(T), SEC File No. 270-428, OMB Control No. 3235--new.
Rule 15c2-7, SEC File No. 270-420, OMB Control No. 3235--new.
Notice is hereby given that pursuant to the Paperwork Reduction Act
of 1955 (44 U.S.C. 3501 et seq.), the Securities and Exchange
Commission (``Commission'') has submitted to the Office of Management
and Budget requests for approval of existing collections of
information:
Rule 10b-17 (17 CFR 240.10b-17) requires any issuer of a class of
securities publicly traded by the use of any means or instrumentality
of interstate commerce or of the mails or of any facility of any
national securities exchange to give notice of the following actions
relating to such class of securities: (1) A dividend; (2) a stock
split; or (3) a rights or other subscription offering. Notice shall be:
given to the National Association of Securities Dealers, Inc.; in
accordance with the procedures of the national securities exchange upon
which the securities are registered; or may be waived by the
Commission.
There are approximately 1,900 respondents that require an aggregate
total of 3,800 hours to comply with this rule. Each of these
approximately 1,900 issuers makes an estimated 2 annual responses, for
an aggregate of 3,800 responses per year. Each response takes
approximately 1 hour to complete. Thus, the total compliance burden per
year is 3,800 burden hours. The approximate cost per hour is $100,
resulting in a total cost of compliance for the respondents of $380,000
(3,800 hours @ $100).
Rule 11a1-1(T) (17 CFR 240.11a1-1(T)) provides that an exchange
member's proprietary order may be executed on the exchange of which the
trader is a member, if, among other things: (1) The member discloses
that a bid or offer for its account is for its account to any member
with whom such bid or offer is placed or to whom it is communicated;
(2) any such member through whom that bid or offer is communicated
discloses to others participating in effecting the order that it is for
the account of a member; and (3) immediately before executing the
order, a member (other than a specialist in such security) presenting
any order for the account of a member on the exchange clearly announces
or otherwise indicates to the specialist and to other members then
present that he is presenting an order for the account of a member.
There are approximately 1,000 respondents that require an aggregate
total of 333 hours to comply with this rule. Each of these
approximately 1,000 respondents makes an estimated 20 annual responses,
for an aggregate of 20,000 responses per year. Each response takes
approximately 1 minute to complete. Thus, the total compliance burden
per year is 333 hours (20,000 minutes/60 minutes per hour=333 hours).
The approximate cost per hour is $100, resulting in a total cost of
compliance for the respondents of $33,333 (333 hours @ $100).
Rule 15c2-7 (17 CFR 240.15c2-7) renders it unlawful for a broker-
dealer to furnish a quotation for a security to an inter-dealer-
quotation-system unless certain conditions are met: (a) The appearing
broker-dealer discloses whether the quote is on behalf of another
broker-dealer, and if so, the
[[Page 60130]]
identity of such other broker-dealer; (b) the appearing broker-dealer
discloses whether the quotation is submitted pursuant to any other
arrangement between or among broker-dealers; (c) every broker-dealer
who enters into any arrangement by which two or more broker-dealers
submit quotations with respect to a particular security must inform all
other broker-dealers of the existence of such an arrangement and the
identity of the parties thereto; and (d) the quotation system must be
one which makes it a general practice to differentiate between
correspondent arrangements and all other arrangements, and which
discloses the identities of all other broker-dealers where that
information is required to be supplied to the quotation system. The
purpose of the rule is to ensure that an inter-dealer-quotation-system
clearly reveals where two or more quotations in different names for a
particular security represent a single quotation or where one broker-
dealer appears as a correspondent of another.
The rule requires the relevant information to be disclosed for each
quotation submitted to an inter-dealer-quotation-system. Each
registered market maker on an inter-dealer-quotation-system is required
to disclose any correspondent broker-dealers for a particular security
at the time the market maker initially registers with the inter-dealer-
quotation-system as a market maker for such security. After the market
maker's initial disclosure, the information is disclosed automatically
through such market maker's electronic submission of a quotation to the
inter-dealer-quotation-system. An aggregate total of approximately 20
of these initial disclosures are made per year. Each such initial
disclosure takes approximately 1 minute to complete. Thus, the total
compliance burden per year is approximately 20 minutes (0.33 burden
hours).
General comments regarding the estimated burden hours should be
directed to the Desk Officer for the Securities and Exchange Commission
at the address below. Any comments concerning the accuracy of the
estimated average burden hours for compliance with Commission rules and
forms should be directed to Michael E. Bartell, Associate Executive
Director, Office of Information Technology, Securities and Exchange
Commission, 450 Fifth Street, N.W., Washington, D.C. 20549 and Desk
Officer for the Securities and Exchange Commission, Office of
Information and Regulatory Affairs, Office of Management and Budget,
Room 3208, New Executive Office Building, Washington, D.C. 20503.
Dated: November 19, 1996.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 96-30175 Filed 11-25-96; 8:45 am]
BILLING CODE 8010-01-M
