[Federal Register Volume 63, Number 238 (Friday, December 11, 1998)]
[Notices]
[Page 68493]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-32959]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-40752; File No. SR-DTC-98-23]
Self-Regulatory Organizations; The Depository Trust Company;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change
Relating to Fees
December 7, 1998.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on November 16, 1998, 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
primarily by DTC. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
I. Self-Regulatory Organization's Statement of the Terms of
Substance of the Proposed Rule Change
The proposed rule change amends DTC's service fee schedule to
establish a fee for transactions processed through DTC's two-way link
with Deutsche Borse Clearing AG (``DBC'').\2\
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, DTC included statements
concerning the purpose of and basis for the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. DTC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of such
statements.\3\
(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
The purpose of the proposed rule change, which became effective for
services provided on or after November 17, 1998, is to establish a new
surcharge designed to recover DTC's costs to implement an enhanced two-
way link with DBC from DTC participants whose transactions are
processed through the link. DTC proposes to make the following revision
to its service fee schedule:
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Service Present fee Proposed fee
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IX. Automated Deliver Orders:
A surcharge for each None............... $3.65
item delivered or received
through the DTC/DBC link
facility.
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DTC believes that the proposed rule change is consistent with the
requirements of Section 17A of the Act \4\ and the rules and
regulations thereunder because fees will more equitably be allocated
among DTC participants.
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\1\ 15 U.S.C. 78s(b)(1).
\2\ See Exchange Act Release No. 40660 (November 10, 1998), 63
FR 64135 (order approving DTC's proposal to establish a two-way link
with DBC).
\3\ The Commission has modified the text of the summaries
prepared by DTC.
\4\ 15 U.S.C. 78q-1.
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(B) Self-Regulatory Organization's Statement on Burden on Competition
DTC does not believe that the proposed rule change will impose any
burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act.
(C) Self-Regulatory Organization's Statement on Comments on the
Proposed Rule Change Received from Members, Participants or Others
Comments on the proposed rule change were neither solicited nor
received.
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)(ii) of the Act \5\ and pursuant to Rule 19b-4(e)(2) \6\
thereunder because the proposal establishes or changes a due, fee, or
other charge imposed by DTC. At any time within sixty days of the
filing of the proposed rule change, the Commission may summarily
abrogate 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.
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\5\ 15 U.S.C. 78s(b)(3)(A)(ii).
\6\ 17 CFR 240.19b-4(e)(2).
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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. Persons making written submissions
should file six copies thereof with the Secretary, Securities and
Exchange Commission, 450 Fifth Street, N.W., Washington, D.C. 20549.
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 inspection and copying in the
Commission's Public Reference Section, 450 Fifth Street, N.W.,
Washington, D.C. 20549. Copies of such filing also will be available
for inspection and copying at the principal office of DTC. All
submissions should refer to File No. SR-DTC-98-23 and should be
submitted by January 4, 1999.
For the Commission by the Division of Market Regulation,
pursuant to delegated authority.\7\
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\7\ CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 98-32959 Filed 12-10-98; 8:45 am]
BILLING CODE 8010-01-M
