Self-Regulatory Organizations; Chicago Board Options Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of Proposed Rule Change to Permit a Limited Suspension of Exchange Membership Transactions to Allow for the Dissemination of Information Deemed Material to the Value of Exchange Memberships, 41464-41466 [E5-3831]
Download as PDF
41464
Federal Register / Vol. 70, No. 137 / Tuesday, July 19, 2005 / Notices
C.Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were solicited
or received with respect to the proposed
rule change.
IV. Commission’s Findings and Order
Granting Accelerated Approval of
Proposed Rule Change
After careful consideration, the
Commission finds that the proposed
rule change is consistent with the
requirements of the Act and the rules
III. Solicitation of Comments
and regulations thereunder, applicable
to a national securities exchange.10 In
Interested persons are invited to
particular, the Commission believes that
submit written data, views, and
the proposed rule change is consistent
arguments concerning the foregoing,
with Section 6(b)(5) of the Act,11 which
including whether the proposed rule
requires among other things, that the
change is consistent with the Act.
rules of the Exchange are designed to
Comments may be submitted by any of
promote just and equitable principles of
the following methods:
trade, to remove impediments to and
Electronic Comments
perfect the mechanism of a free and
• Use the Commission’s Internet
open market and a national market
comment form (https://www.sec.gov/
system, and, in general, to protect
rules/sro.shtml); or
investors and the public interest. The
• Send an e-mail to ruleCommission notes that the Preferred
comments@sec.gov. Please include File
DPM Program currently operates on a
Number SR–CBOE–2005–50 on the
one-year pilot basis.12 The proposal
subject line.
would increase the participation
entitlement percentage for a Preferred
Paper Comments
DPM when there are two or more
• Send paper comments in triplicate
Market-Makers also quoting at the
to Jonathan G. Katz, Secretary,
NBBO. Because the proposal would not
Securities and Exchange Commission,
increase the participation entitlement
100 F Street, NE., Washington, DC
beyond the currently acceptable
20549–9303.
threshold, the Commission does not
All submissions should refer to File
believe that the proposal will negatively
Number SR–CBOE–2005–50. This file
impact quote competition on the
number should be included on the
13
subject line if e-mail is used. To help the CBOE. In addition, the Commission
notes that it has approved similar
Commission process and review your
participation entitlements percentages
comments more efficiently, please use
only one method. The Commission will on other options exchanges.14
post all comments on the Commission’s
The CBOE has requested that the
Internet Web site (https://www.sec.gov/
Commission find good cause for
rules/sro.shtml). Copies of the
approving the proposed rule change
submission, all subsequent
prior to the thirtieth day after
amendments, all written statements
publication of notice thereof in the
with respect to the proposed rule
Federal Register. The Commission
change that are filed with the
believes that granting accelerated
Commission, and all written
approval of the proposal should allow
communications relating to the
the CBOE to immediately implement the
proposed rule change between the
participation entitlement percentage for
Commission and any person, other than a Preferred DPM similar to the
those that may be withheld from the
percentage already in place on the Phlx
public in accordance with the
and the ISE. Accordingly, the
provisions of 5 U.S.C. 552, will be
Commission finds good cause, pursuant
available for inspection and copying in
to Section 19(b)(2) of the Act,15 for
the Commission’s Public Reference
approving the proposed rule change
Section, 100 F Street, NE., Washington,
prior to the thirtieth day after the date
DC 20549. Copies of such filing also will of publication of notice thereof in the
be available for inspection and copying
Federal Register.
at the principal office of the CBOE. All
comments received will be posted
10 In approving this proposal, the Commission has
without change; the Commission does
considered its impact on efficiency, competition,
not edit personal identifying
and capital formation. 15 U.S.C. 78c(f).
11 15 U.S.C. 78f(b)(5).
information from submissions. You
12 See supra note 3. The CBOE subsequently
should submit only information that
you wish to make publicly available. All modified the amount of the participation
entitlement allocable to the Preferred Marketsubmissions should refer to File
Maker. See supra note 4.
Number SR–CBOE–2005–50 and should
13 See supra note 5.
14 See supra notes 5 and 6.
be submitted on or before August 9,
15 15 U.S.C. 78s(b)(2).
2005.
VerDate jul<14>2003
17:15 Jul 18, 2005
Jkt 205001
PO 00000
Frm 00096
Fmt 4703
Sfmt 4703
V. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,16 that the
proposed rule change (SR–CBOE–2005–
50) be, and hereby is, approved on an
accelerated basis.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.17
Jill M. Peterson,
Assistant Secretary.
[FR Doc. E5–3829 Filed 7–18–05; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–52019; File No. SR–CBOE–
2005–53]
Self-Regulatory Organizations;
Chicago Board Options Exchange,
Incorporated; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change to Permit a Limited
Suspension of Exchange Membership
Transactions to Allow for the
Dissemination of Information Deemed
Material to the Value of Exchange
Memberships
July 12, 2005.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2
notice is hereby given that on July 8,
2005, the Chicago Board Options
Exchange, Incorporated (‘‘CBOE’’ or
‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the CBOE. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested parties.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to amend
Exchange Rule 3.14—Sale and Transfer
of Membership, to permit the Exchange
to suspend membership purchase and
sale transactions for a limited period of
time to allow for the dissemination of
information deemed to be material to
the value of Exchange memberships.
Below is the text of the proposed rule
change. Proposed new language is
italicized.
*
*
*
*
*
16 15
U.S.C. 78s(b)(2).
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
17 17
E:\FR\FM\19JYN1.SGM
19JYN1
Federal Register / Vol. 70, No. 137 / Tuesday, July 19, 2005 / Notices
RULE 3.14—Sale and Transfer of
Membership
(a)–(d) Unchanged.
* * * Interpretations and Policies:
.01 In circumstances in which the
Board of Directors deems it necessary in
the interest of maintaining a fair and
orderly market in transferable Exchange
memberships, the Board may declare a
suspension of membership purchase
and sale transactions to allow for the
dissemination of information deemed to
be material to the value of Exchange
memberships. Any such suspension
shall be limited in duration to no longer
than one business day. During any such
suspension, any bid or offer previously
submitted to the Membership
Department in accordance with Rule
3.13(b) or Rule 3.14(a) may be
withdrawn by the submission to the
Membership Department of a written
revocation of the bid or offer. No new
bids or offers may be submitted during
any such suspension.
*
*
*
*
*
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
CBOE 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. The CBOE has
prepared summaries, set forth in
Sections A, B, and C below, of the most
significant aspects of such statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The purpose of the proposed rule
change is to allow for the temporary
suspension of Exchange membership
purchase and sale transactions in the
interest of maintaining a fair and orderly
market in transferable Exchange
memberships. Specifically, the proposal
would permit the Board of Directors to
suspend membership transactions for a
limited period of time to allow for the
dissemination of information deemed to
be material to the value of Exchange
memberships. During a temporary
suspension, any bid or offer to purchase
or sell a membership previously
submitted to the Exchange’s
Membership Department would be
permitted to be withdrawn through the
submission of a written revocation of
the bid or offer. No new bids or offers
VerDate jul<14>2003
17:15 Jul 18, 2005
Jkt 205001
would be permitted to be submitted
during a suspension. In addition, the
proposed rule provides that no
suspension would be permitted to last
more than one business day.
Currently, the Exchange has no rule in
place specifically authorizing the
Exchange to temporarily suspend
membership transactions. The Exchange
believes that having such a rule would
provide CBOE with the ability to allow
for material information relating to the
value of Exchange memberships to be
disseminated and absorbed by members
before additional seat transactions may
be consummated. This would permit the
Exchange to ensure that members
engaging in seat transactions have an
adequate opportunity to learn of the
information so that they are not at an
informational disadvantage and have
time to reassess their current bids and
offers in light of the new material
information. Having such a rule would
assist the Exchange in maintaining a fair
and orderly market in CBOE
memberships. The Exchange believes
one business day is a sufficient amount
of time to allow the seat market to
absorb any disseminated material
information.
2. Statutory Basis
The Exchange believes that having the
ability to declare a temporary
suspension of membership transactions
would serve to promote a fair and
orderly market for its memberships. For
this reason, the Exchange believes the
proposed rule change is consistent with
the Act and the rules and regulations
under the Act applicable to a national
securities exchange and, in particular,
the requirements of Section 6(b) 3 of the
Act. Specifically, the Exchange believes
the proposed rule change is consistent
with the requirements of Section
6(b)(5) 4 that the rules of an exchange be
designed to promote just and equitable
principles of trade, to prevent
fraudulent and manipulative acts and,
in general, to protect investors and the
public interest.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
CBOE does not believe that the
proposed rule change will impose any
burden on competition.
PO 00000
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were solicited
or received with respect to the proposed
rule change.
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)
of the Act 5 and subparagraph (f)(6) of
Rule 19b–4 6 thereunder because it does
not: (i) Significantly affect the
protection of investors or the public
interest; (ii) impose any significant
burden on competition; (iii) become
operative for 30 days from the date on
which it was filed, or such shorter time
as the Commission may designate; and
the Exchange has given the Commission
written notice of its intention to file the
proposed rule change at least five
business days prior to filing. At any
time within 60 days of the filing of such
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.
Under Rule 19b–4(f)(6)(iii) of the
Act,7 the proposal does not become
operative for 30 days after the date of its
filing, or such shorter time as the
Commission may designate if consistent
with the protection of investors and the
public interest. The Exchange has
requested the Commission to waive to
30-day operative delay. The
Commission, consistent with the
protection of investors and the public
interest, has determined to waive the
30-day operative date because such
waiver will permit the Exchange to
implement the rule without undue
delay.8
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.
Comments may be submitted by any of
the following methods:
5 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6).
7 17 CFR 240.19b–4(f)(6)(iii).
8 For purposes only of waiving the 30-day
operative period for this proposal, the Commission
has considered the proposed rule’s impact on
efficiency, competition, and capital formation. 15
U.S.C. 78c(f).
6 17
3 15
4 15
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
Frm 00097
Fmt 4703
Sfmt 4703
41465
E:\FR\FM\19JYN1.SGM
19JYN1
41466
Federal Register / Vol. 70, No. 137 / Tuesday, July 19, 2005 / Notices
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–CBOE–2005–53 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Jonathan G. Katz, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–9303.
All submissions should refer to File
Number SR–CBOE–2005–53. This file
number should be included on the
subject line if e-mail is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). 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
Room. Copies of such filing also will be
available for inspection and copying at
the principal office of the CBOE. All
comments received will be posted
without change; the Commission does
not edit personal identifying
information from submissions. You
should submit only information that
you wish to make available publicly. All
submissions should refer to File
Number SR–CBOE–2005–53 and should
be submitted on or before August 9,
2005.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.9
Jill M. Peterson,
Assistant Secretary.
[FR Doc. E5–3831 Filed 7–18–05; 8:45 am]
BILLING CODE 8010–01–P
9 17
CFR 200.30–3(a)(12).
VerDate jul<14>2003
17:15 Jul 18, 2005
Jkt 205001
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–52016; File No. SR–NYSE–
2005–29]
Self-Regulatory Organizations; New
York Stock Exchange, Inc; Order
Granting Approval of a Proposed Rule
Change To Remove Incorrect
Reference in Its Rule Relating to
Failure To Honor an Arbitration Award
July 12, 2005.
On April 25, 2005, the New York
Stock Exchange, Inc., (‘‘NYSE’’ or the
‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’), pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Act’’) 1 and Rule 19b–4
thereunder,2 a proposed rule change to
amend NYSE Rule 637. The proposed
rule change was published for comment
in the Federal Register on May 6, 2005.3
The Commission received one comment
on the proposal.4 On July 5, 2005, the
NYSE filed a response to the comment
letter.5 This order approves the
proposed rule change.
I. Description of Proposed Rule Change
Current NYSE Rule 637 provides that
Exchange members, allied members,
registered representatives, and member
organizations that fail to honor
arbitration awards of the NYSE, other
self-regulatory organizations, or the
American Arbitration Association are
‘‘subject to disciplinary proceedings in
accordance with NYSE Rule 476, NYSE
Rule 476A 6 or Article IX’’ of the NYSE
Constitution and Rules.
Although current NYSE Rule 637
specifies NYSE Rule 476A as a possible
U.S.C. 78s(b)(1).
CFR 240.19b–4.
1 See Securities Exchange Act Release No. 51622
(April 27, 2005), 70 FR 24146.
4 See letter from Robert S. Clemente to Jonathan
G. Katz, Secretary, Commission, dated May 13, 2005
(‘‘Clemente Letter’’).
5 See letter to Katherine A. England, Assistant
Director, Division of Market Regulation
(‘‘Division’’), Commission, from Mary Yeager,
Assistant Secretary, NYSE, dated July 5, 2005
(‘‘NYSE Response Letter’’).
6 6 NYSE Rule 476A provides that the Exchange
may impose a fine, not to exceed $5000, on any
member, member organization, allied member,
approved person, or registered or non-registered
employee of a member or member organization for
a minor violation of certain specified Exchange
rules. The NYSE represents that the purpose of the
NYSE Rule 476A procedure is to provide a
meaningful sanction for a rule violation when the
initiation of a disciplinary proceeding under NYSE
Rule 476 would be more costly and time consuming
than would be warranted given the minor nature of
the violation, or when the violation calls for a
stronger regulatory response than an admonition
letter would convey. The NYSE states that NYSE
Rule 476A preserves due process rights, identifies
those rule violations that may be the subject of
summary fines, and includes a schedule of fines.
PO 00000
1 15
2 17
Frm 00098
Fmt 4703
Sfmt 4703
vehicle for disciplinary action to
remedy violations of NYSE Rule 637,
NYSE Rule 637 was never added to
NYSE Rule 476A’s ‘‘List of Exchange
Rule Violations and Fines Applicable
Thereto Pursuant to NYSE Rule 476A.’’
This discrepancy could be eliminated
by adding NYSE Rule 637 to the list of
rules in NYSE Rule 476A. However, due
to the serious nature of any failure to
honor an arbitration award,7 the
Exchange’s management concluded that
violations of NYSE Rule 637 are not
properly remedied through the minor
fine provisions of NYSE Rule 476A.
Therefore, the discrepancy would be
more appropriately eliminated through
an amendment deleting NYSE Rule
637’s reference to NYSE Rule 476A.
II. Summary of Comment and NYSE’s
Response
The Commission received a comment
letter on the proposed rule change that
supported the adoption of the proposal.8
The commenter further suggested that
the NYSE propose another change to
NYSE Rule 637 to conform to NASD
Rule 9554 by extending the penalty of
disciplinary action to cover failure to
honor an arbitration award to any
settlement agreement in any dispute
submitted to the NYSE. In its response
to the comment, the NYSE maintained
that the amendment to NYSE Rule 637
suggested by the commenter is beyond
the scope of the proposed rule change.9
III. Discussion
The Commission has carefully
reviewed the proposed rule change, the
comment letter, and the NYSE’s
response and finds that the proposed
rule change is consistent with the
requirements of the Act and the rules
and regulations thereunder applicable to
a national securities exchange.10 In
particular, the Commission believes that
the proposed rule change is consistent
with Section 6(b)(6) of the Act 11
because it is designed to provide that
NYSE’s members and persons
associated with its members be
appropriately disciplined for violation
of Exchange rules.
The Exchange has proposed to delete
a cross-reference in NYSE Rule 637 that
states that a failure to honor an
arbitration award is punishable under
the Exchange’s minor rule violation
7 The NYSE represents that Exchange arbitration
awards rarely remain unsatisfied.
8 See Clemente Letter, supra note 4.
9 See NYSE Response Letter, supra note 5.
10 In approving this proposal, the Commission has
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
11 15 U.S.C. 78f(b)(6).
E:\FR\FM\19JYN1.SGM
19JYN1
Agencies
[Federal Register Volume 70, Number 137 (Tuesday, July 19, 2005)]
[Notices]
[Pages 41464-41466]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E5-3831]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-52019; File No. SR-CBOE-2005-53]
Self-Regulatory Organizations; Chicago Board Options Exchange,
Incorporated; Notice of Filing and Immediate Effectiveness of Proposed
Rule Change to Permit a Limited Suspension of Exchange Membership
Transactions to Allow for the Dissemination of Information Deemed
Material to the Value of Exchange Memberships
July 12, 2005.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on July 8, 2005, the Chicago Board Options Exchange, Incorporated
(``CBOE'' or ``Exchange'') filed with the Securities and Exchange
Commission (``Commission'') the proposed rule change as described in
Items I and II below, which Items have been prepared by the CBOE. The
Commission is publishing this notice to solicit comments on the
proposed rule change from interested parties.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amend Exchange Rule 3.14--Sale and
Transfer of Membership, to permit the Exchange to suspend membership
purchase and sale transactions for a limited period of time to allow
for the dissemination of information deemed to be material to the value
of Exchange memberships. Below is the text of the proposed rule change.
Proposed new language is italicized.
* * * * *
[[Page 41465]]
RULE 3.14--Sale and Transfer of Membership
(a)-(d) Unchanged.
* * * Interpretations and Policies:
.01 In circumstances in which the Board of Directors deems it
necessary in the interest of maintaining a fair and orderly market in
transferable Exchange memberships, the Board may declare a suspension
of membership purchase and sale transactions to allow for the
dissemination of information deemed to be material to the value of
Exchange memberships. Any such suspension shall be limited in duration
to no longer than one business day. During any such suspension, any bid
or offer previously submitted to the Membership Department in
accordance with Rule 3.13(b) or Rule 3.14(a) may be withdrawn by the
submission to the Membership Department of a written revocation of the
bid or offer. No new bids or offers may be submitted during any such
suspension.
* * * * *
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the CBOE 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. The CBOE has prepared summaries, set forth in Sections
A, B, and C below, of the most significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The purpose of the proposed rule change is to allow for the
temporary suspension of Exchange membership purchase and sale
transactions in the interest of maintaining a fair and orderly market
in transferable Exchange memberships. Specifically, the proposal would
permit the Board of Directors to suspend membership transactions for a
limited period of time to allow for the dissemination of information
deemed to be material to the value of Exchange memberships. During a
temporary suspension, any bid or offer to purchase or sell a membership
previously submitted to the Exchange's Membership Department would be
permitted to be withdrawn through the submission of a written
revocation of the bid or offer. No new bids or offers would be
permitted to be submitted during a suspension. In addition, the
proposed rule provides that no suspension would be permitted to last
more than one business day.
Currently, the Exchange has no rule in place specifically
authorizing the Exchange to temporarily suspend membership
transactions. The Exchange believes that having such a rule would
provide CBOE with the ability to allow for material information
relating to the value of Exchange memberships to be disseminated and
absorbed by members before additional seat transactions may be
consummated. This would permit the Exchange to ensure that members
engaging in seat transactions have an adequate opportunity to learn of
the information so that they are not at an informational disadvantage
and have time to reassess their current bids and offers in light of the
new material information. Having such a rule would assist the Exchange
in maintaining a fair and orderly market in CBOE memberships. The
Exchange believes one business day is a sufficient amount of time to
allow the seat market to absorb any disseminated material information.
2. Statutory Basis
The Exchange believes that having the ability to declare a
temporary suspension of membership transactions would serve to promote
a fair and orderly market for its memberships. For this reason, the
Exchange believes the proposed rule change is consistent with the Act
and the rules and regulations under the Act applicable to a national
securities exchange and, in particular, the requirements of Section
6(b) \3\ of the Act. Specifically, the Exchange believes the proposed
rule change is consistent with the requirements of Section 6(b)(5) \4\
that the rules of an exchange be designed to promote just and equitable
principles of trade, to prevent fraudulent and manipulative acts and,
in general, to protect investors and the public interest.
---------------------------------------------------------------------------
\3\ 15 U.S.C. 78f(b).
\4\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
CBOE does not believe that the proposed rule change will impose any
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 were solicited or received with respect to the
proposed rule change.
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) of the Act \5\ and subparagraph (f)(6) of Rule 19b-4 \6\
thereunder because it does not: (i) Significantly affect the protection
of investors or the public interest; (ii) impose any significant burden
on competition; (iii) become operative for 30 days from the date on
which it was filed, or such shorter time as the Commission may
designate; and the Exchange has given the Commission written notice of
its intention to file the proposed rule change at least five business
days prior to filing. At any time within 60 days of the filing of such
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.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78s(b)(3)(A).
\6\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------
Under Rule 19b-4(f)(6)(iii) of the Act,\7\ the proposal does not
become operative for 30 days after the date of its filing, or such
shorter time as the Commission may designate if consistent with the
protection of investors and the public interest. The Exchange has
requested the Commission to waive to 30-day operative delay. The
Commission, consistent with the protection of investors and the public
interest, has determined to waive the 30-day operative date because
such waiver will permit the Exchange to implement the rule without
undue delay.\8\
---------------------------------------------------------------------------
\7\ 17 CFR 240.19b-4(f)(6)(iii).
\8\ For purposes only of waiving the 30-day operative period for
this proposal, the Commission has considered the proposed rule's
impact on efficiency, competition, and capital formation. 15 U.S.C.
78c(f).
---------------------------------------------------------------------------
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. Comments may be submitted by any of
the following methods:
[[Page 41466]]
Electronic Comments
Use the Commission's Internet comment form (https://
www.sec.gov/rules/sro.shtml); or
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-CBOE-2005-53 on the subject line.
Paper Comments
Send paper comments in triplicate to Jonathan G. Katz,
Secretary, Securities and Exchange Commission, 100 F Street, NE.,
Washington, DC 20549-9303.
All submissions should refer to File Number SR-CBOE-2005-53. This
file number should be included on the subject line if e-mail is used.
To help the Commission process and review your comments more
efficiently, please use only one method. The Commission will post all
comments on the Commission's Internet Web site (https://www.sec.gov/
rules/sro.shtml). 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 Room. Copies of such
filing also will be available for inspection and copying at the
principal office of the CBOE. All comments received will be posted
without change; the Commission does not edit personal identifying
information from submissions. You should submit only information that
you wish to make available publicly. All submissions should refer to
File Number SR-CBOE-2005-53 and should be submitted on or before August
9, 2005.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\9\
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\9\ 17 CFR 200.30-3(a)(12).
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Jill M. Peterson,
Assistant Secretary.
[FR Doc. E5-3831 Filed 7-18-05; 8:45 am]
BILLING CODE 8010-01-P