[Federal Register Volume 64, Number 101 (Wednesday, May 26, 1999)]
[Notices]
[Pages 28540-28541]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-13301]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-41419; File No. SR-DTC-99-09]
Self-Regulatory Organizations; The Depository Trust Company;
Notice of Filing and Immediate Effectiveness of a Proposed Rule Change
Relating To Fees and Charges
May 18, 1999.
Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on April 1, 1999 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.
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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 revises the fees associated with DTC's fee
schedule for DTC's transfer agent drop service (``TAD service'').
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 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. DTC 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 DTC.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
DTC's TAD service provides transfer agents located outside of New
York City with a central location within Manhattan for the receipt of
securities from banks, broker-dealers, depositories, and
shareholders.\3\ The proposed rule change increases the monthly service
fee for DTC's TAD service from $500 to $1000 effective May 3, 1999. DTC
continually strives to align its service fees with estimated service
costs, and this revision is a part of that effort.
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\3\ For a more detailed description of the TAD service, refer to
Securities Exchange Act Relase No. 37562 (August 13, 1996), 61 FR
43283 [File No. SR-DTC-96-09] (order approving proposed rule
change).
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DTC believes that the proposed rule change is consistent with
Section 17A(b)(3)(D) of the Act \4\ and the rules and regulations
thereunder because it will more equitably allocate fees among DTC's
participants and the other parties that use DTC's TAD service.
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\4\ 15 U.S.C. 78q-1(b)(3)(D).
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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
No comments on the proposed rule change were solicited or 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(f)(2) \6\
promulgated thereunder because the proposal changes a due, fee, or
other charge imposed by DTC. 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
necesary 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(f)(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, 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
[[Page 28541]]
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 20549-0609.
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-98-09 and should be submitted by June 16, 1999.
For the Commission by the Divivision 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. 99-13301 Filed 5-25-99; 8:45 am]
BILLING CODE 8010-01-M
