[Federal Register Volume 62, Number 247 (Wednesday, December 24, 1997)]
[Notices]
[Pages 67422-67423]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-33527]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-39449; File No. SR-MBSCC-97-08]
Self-Regulatory Organizations; MBS Clearing Corporation; Notice
of Filing and Immediate Effectiveness of Proposed Rule Change Relating
to the Electronic Pool Notification Service's Fee Schedule
December 15, 1997.
Pursuant to Section 19(b)(1)\1\ of the Securities Exchange Act of
1934 (``Act''), notice is hereby given that on October 22, 1997, the
MBS Clearing Corporation (``MBSCC'') 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 MBSCC. The Commission is publishing this notice to solicit
comments from interested persons on the proposed rule change.
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\1\ 15 U.S.C. 78s(b)(1).
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I. Self-Regulatory Organization's Statement of the Terms of
Substance of the Proposed Rule Change
The text of the proposed rule change consists of modifications to
the Electronic Pool Notification (``EPN'') schedule of charges, which
is attached as Exhibit A to the filing.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, MBSCC 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. MBSCC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of such
statements.\2\
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\2\ The Commission has modified the text of the summaries
prepared by MBSCC.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
MBSCC currently assesses message processing fees as reflected in
the EPN Schedule of Charges. MBSCC assesses
[[Page 67423]]
``On Send'' fees of $.25/million current face from 8:00 a.m. to 1:00
p.m. and $1.25/million current face from 3:00 p.m. to 5:00 p.m. MBSCC
also assesses a message processing ``On Receive'' fee of $.50/million
current face 8:00 a.m. to 1:00 p.m. MBSCC does not charge a message
processing On Receive fee from 3:00 p.m. to 5:00.
On occasion, MBSCC may open the EPN service before 8:00 a.m. or
close it after 5:00 p.m. to accommodate the processing needs of its
participants.\3\ When this happens, MBSCC does not charge higher fees
for the additional usage. The proposed rule change codifies this
practice by amending the EPN Schedule of Charges to reflect that the
``On Send'' fee will be $.25/million from the opening of business to
1:00 p.m. and $1.25/million from 3:00 p.m. to the close of business.
The proposed rule change also amends fees to reflect that the EPN ``On
Receive'' fee will be $.50/million from the opening of business to 1:00
p.m. and no charges from 3:00 p.m. to the close of business. As a
result, MBSCC's schedule of charges now reflects that message
processing fees will not be altered when the normal hours of operation
for the EPN service are extended. MBSCC 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 it will promote
the prompt and accurate clearance and settlement of securities
transactions.
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\3\ Conversation between Richard Paley, Associate Counsel,
MBSCC, and Jeffrey Mooney, Attorney, Division of Market Regulation,
Commission (November 6, 1997).
\4\ 15 U.S.C. 78q-1.
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(B) Self-Regulatory Organization's Statement on Burden on Competition
MBSCC does not believe that the proposed rule change will impact or
impose a burden on competition.
(C) Self-Regulatory Organization's Statement on Comments on the
Proposed Rule Change Received From Members, Participants or Others
No written comments have been solicited or received. MBSCC will
notify the Commission of any written comments received by MBSCC.
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)(i) of the Act \5\ and pursuant to Rule 19b-4(e)(1)\6\
promulgated thereunder because the proposal constitutes a stated
policy, practice, or interpretation with respect to the meaning,
administration, or enforcement of existing MBSCC rules. At any time
within sixty days of the filing of such 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)(i).
\6\ 17 CFR 240.19b-4(e)(1).
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IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing. Persons making written submissions
should file six copies thereof with the Secretary, Securities and
Exchange Commission, 450 Fifth Street, NW., Washington, DC 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, NW.,
Washington, DC 20549. Copies of such filing also will be available for
inspection and copying at the principal office of MBSCC. All
submissions should refer to File No. SR-MBSCC-97-08 and should be
submitted by January 14, 1998.
For the Commission by the Division of Market Regulation,
pursuant to delegated authority.\7\
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\7\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 97-33527 Filed 12-23-97; 8:45 am]
BILLING CODE 8010-01-M
