[Federal Register Volume 63, Number 75 (Monday, April 20, 1998)]
[Notices]
[Pages 19544-19545]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-10342]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-39850; File No. SR-DCC-98-02]
Self-Regulatory Organizations; Delta Clearing Corp.; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change Relating to
the Authorization of Tullet & Tokyo Securities, Inc. To Participate as
a Broker for Over-the-Counter U.S. Treasury Options Trades
April 10, 1998.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (``Act''), notice is hereby given that on March 6, 1998, Delta
Clearing Corp. (``DCC'') 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
DCC. 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 proposed rule change notifies the Commission that Tullet &
Tokyo Securities, Inc. (``Tullet'') has been authorized by DDC to
participate as a broker in the over-the-counter system (``system'')
operated for options on U.S. treasury securities.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, DCC 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. DCC has prepared summaries, set forth in sections (A),
(B),
[[Page 19545]]
and (C) below, of the most significant aspect of such statements.\2\
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\2\ The Commission has modified the text of the summaries
prepared by DCC.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
Pursuant to the Procedures for Clearing of Securities and Financial
Instrument Transactions (``Combined Procedures''),\3\ multiple brokers
may participate in the system operated by DCC and new brokers may be
authorized by DCC to participate in the system. DCC has authorized
Tullet, which is currently an authorized broker in the system for
repurchase agreement (``repo'') and reverse repo trades, to participate
as a broker in the system operated for options on U.S. treasury
securities.
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\3\ Securities Exchange Act Release No. 39236 (October 14, 1997)
62 FR 54661 [File No. SR-DCC-97-04] (order approving the Combined
Procedures).
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DCC 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 facilitates the prompt and accurate
clearance and settlement of securities transactions.
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\4\ 15 U.S.C. 78q-1.
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(B) Self-Regulatory Organization's Statement on Burden on Competition
DCC does not believe that the proposed rule change will impose any
burden on competition that is not necessary or appropriate in
furtherance of the purpose of the Act.
(C) Self-Regulatory Organization's Statement on Comments on the
Proposed Rule Change Received From Members, Participants or Others
Comments 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)(iii) \5\ of the Act and pursuant to Rule 19b-4(e)(4) \6\
promulgated thereunder because the proposal effects a change in an
existing service of a registered clearing agency that does not
adversely affect the safeguarding of securities or funds in the custody
or control of the clearing agency or for which it is responsible and
does not significantly affect the respective rights or obligations of
the filing of the clearing agency or persons using the service. 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)(iii).
\6\ 17 CFR 240.19b-4(e)(5).
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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, 350 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 DCC. All
submissions should refer to File No. SR-DCC-98-02 and should be
submitted by May 11, 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. 98-10342 Filed 4-17-98; 8:45 am]
BILLING CODE 8010-01-M
