[Federal Register Volume 61, Number 109 (Wednesday, June 5, 1996)]
[Notices]
[Pages 28628-28629]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-14017]
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SECURITIES AND EXCHANGE COMMISSION
Proposed Collection; Comment Request
Upon Written Request, Copies Available From: Securities and
Exchange Commission, Office of Filings and Information Services,
Washington, DC 20549.
Extension
Rule 17a-22--SEC File No. 270-202; OMB Control No. 3235-0196.
Rule 17Ab2-1 and Form CA-1--SEC File No. 270-203; OMB Control No.
3235-0195.
Rule 17Ac3-1(a) and Form TA-W--SEC File No. 270-96; OMB Control No.
3235-0151.
Notice is hereby given that pursuant to the Paperwork Reduction Act
of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange
Commission (``Commission'') is publishing the following summaries of
collections for public comment.
Rule 17a-22, which was adopted pursuant to section 17A of the
Securities Exchange Act of 1934 (``Act''), requires all registered
clearing agencies to file with the Commission three copies of all
materials they issue or make generally available to their participants
or other entities with whom they have a significant relationship. The
filings with the Commission must be made within ten days after the
materials are issued, and when the Commission is not the appropriate
regulatory agency, the clearing agency must file one copy of the
material with its appropriate regulatory agency. The Commission is
responsible for overseeing clearing agencies and uses the information
filed pursuant to Rule 17a-22 to determine whether a clearing agency is
implementing procedural or policy changes. The information filed aides
the Commission in determining whether such changes are consistent with
the purposes of Section 17A of the Act. Also, the Commission uses the
information to determine whether a clearing agency has changed its
rules without reporting the actual or prospective change to the
Commission as required under Section 19(b) of the Act.
The respondents to Rule 17a-22 generally are registered clearing
agencies.\1\ The frequency of filings made by clearing agencies
pursuant to Rule 17a-22 varies, but on average there are approximately
200 filings per year per clearing agency. Because the filings consist
of materials that have been prepared for widespread distribution, the
additional cost to the clearing agencies associated with submitting
copies to the Commission is relatively small. The Commission staff
estimates that the cost of compliance with Rule 17a-22 to all
registered clearing agencies is approximately $3500. This represents
one dollar per filing in postage, or a total of $2800. The remaining
$700 (or 20% of the total cost of compliance) is the estimated cost of
additional printing, envelopes, and other administrative expenses.
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\1\ Respondents include temporarily registered clearing
agencies. Respondents also may include clearing agencies granted
exemptions from the registration requirements of Section 17A,
conditioned upon compliance with Rule 17a-22.
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Rule 17Ab2-1 and Form CA-1 require clearing agencies to register
with the Commission and to meet certain requirements with regard to,
among other things, a clearing agency's organization, capacities, and
rules. The information is collected from the clearing agency upon the
initial application for registration on Form CA-1. Thereafter,
information is collected by amendment to the initial Form CA-1 when a
material change in circumstances necessitates modification of the
information previously provided to the Commission.
The Commission uses the information disclosed on Form CA-1 to (i)
determine whether an applicant meets the standards for registration set
forth in Section 17A of the Act, (ii) enforce compliance with the Act's
registration requirement, and (iii) provide information about specific
registered clearing agencies for compliance and investigatory purposes.
Without Rule 17Ab2-1, the Commission could not perform these duties as
statutorily required.
There are currently thirteen registered clearing agencies and one
clearing agency that has been granted an exemption from registration.
The Commission staff estimates that each initial Form CA-1 requires
approximately 130 hours to complete and submit for approval. Hours
required for amendments to Form CA-1 that must be submitted to the
Commission in connection with material changes to the
[[Page 28629]]
initial Form CA-1 can vary, depending upon the nature and extent of the
amendment. Since the Commission only receives an average of one
submission per year, the aggregate annual burden associated with
compliance with Rule 17Ab2-1 and Form CA-1 is 130 hours. Based upon the
staff's experience, the average cost to clearing agencies of preparing
and filing the initial Form CA-1 is estimated to be $15,000.
Subsection (c)(3)(C) of Section 17A of the Act authorizes transfer
agents registered with an appropriate regulatory agency (``ARA'') to
withdraw from registration by filing with the ARA a written notice of
withdrawal and by agreeing to such terms and conditions as the ARA
deems necessary or appropriate in the public interest, for the
protection of investors, or in furtherance of the purposes of Section
17A.
In order to implement Section 17A(c)(3)(C) of the Act the
Commission, on September 1, 1977, promulgated Rule 17Ac3-1(a) and
accompanying Form TA-W. Rule 17Ac3-1(a) provides that notice of
withdrawal from registration as a transfer agent with the Commission
shall be filed on Form TA-W. Form TA-W requires the withdrawing
transfer agent to provide the Commission with certain information,
including: (1) The locations where transfer agent activities are or
were performed; (2) the reasons for ceasing the performance of such
activities; (3) disclosure of unsatisfied judgments or liens; and (4)
information regarding successor transfer agents.
The Commission uses the information disclosed on Form TA-W to
determine whether the registered transfer agent applying for withdrawal
from registration as a transfer agent should be allowed to deregister
and, if so, whether the Commission should attach to the granting of the
application any terms or conditions necessary or appropriate in the
public interest, for the protection of investors, or in furtherance of
the purposes of Section 17A of the Act. Without Rule 17Ac3-1(a) and
Form TA-W, transfer agents registered with the Commission would not
have a means for voluntary deregistration when necessary or appropriate
to do so.
Respondents file approximately thirty Form TA-Ws with the
Commission annually. The filing of a Form TA-W occurs only once, when a
transfer agent is seeking deregistration. In view of the ready
availability of the information requested by Form TA-W, its short and
simple presentation, and the Commission's experience with the Form, we
estimate that approximately one-half hour is required to complete Form
TA-W, including clerical time. Thus, the total burden of fifteen hours
of preparation for all transfer agents seeking deregistration in any
one year is negligible.
The Commission estimates a cost of approximately $30 for each half
hour required to complete a Form TA-W. Therefore, based upon a total of
fifteen hours, transfer agents spend approximately $900 each year to
complete thirty Form TA-Ws.
Written comments are invited on: (a) Whether the proposed
collection of information is necessary for the proper performance of
the functions of the agency, including whether the information shall
have practical utility; (b) the accuracy of the agency's estimate of
the burden of the proposed collection of information; (c) ways to
enhance the quality, utility, and clarity of the information to be
collected; and (d) ways to minimize the burden of the collection of
information on respondents, including through the use of automated
collection techniques or other forms of information technology.
Consideration will be given to comments and suggestions submitted in
writing within 60 days of this publication.
Direct your written comments to Michael E. Bartell, Associate
Executive Director, Office of Information Technology, Securities and
Exchange Commission, 450 5th Street NW., Washington, DC 20549.
Dated: May 23, 1996.
Jonathan G. Katz,
Secretary.
[FR Doc. 96-14017 Filed 6-4-96; 8:45 am]
BILLING CODE 8010-01-M
