Self-Regulatory Organizations; American Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Eliminate Rule 891 Relating to Transfer Agents, 62145-62146 [E5-5970]
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Federal Register / Vol. 70, No. 208 / Friday, October 28, 2005 / Notices
For the Nuclear Regulatory Commission
James P. Dwyer,
Chief, Commercial and R&D Branch, Division
of Nuclear Materials Safety, Region I.
[FR Doc. E5–5978 Filed 10–27–05; 8:45 am]
BILLING CODE 7590–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–52633; File No. SR–Amex–
2005–093]
Self-Regulatory Organizations;
American Stock Exchange LLC; Notice
of Filing and Immediate Effectiveness
of Proposed Rule Change To Eliminate
Rule 891 Relating to Transfer Agents
October 18, 2005.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 notice is hereby given that on
September 19, 2005, American Stock
Exchange LLC (‘‘Amex’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change described in Items I, II, and III
below, which items have been prepared
primarily by Amex. Amex has
designated the proposed rule change as
constituting a stated policy, practice, or
interpretation with respect to the
meaning, administration, or
enforcement of an existing rule,
pursuant to Section 19(b)(3)(A)(i) of the
Act,2 which renders the proposal
effective upon filing with the
Commission. 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 purpose of the proposed rule
change is to eliminate Amex’s Rule 891
relating to obsolete transfer agent
requirements.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
Amex 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. Amex has prepared
summaries, set forth in sections (A), (B),
1 15
2 15
U.S.C. 78s(b)(1).
U.S.C. 78s(b)(3)(A)(i).
VerDate Aug<31>2005
18:15 Oct 27, 2005
Jkt 208001
and (C) below, of the most significant
aspects of these statements.3
(A) Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
On March 17, 2000, Amex amended
its Company Guide to eliminate the
qualification of transfer agents,
registrars, and bond trustees.4 Amex
believed that the Commission’s rules
governing transfer agents made Amex’s
rules unnecessary or inappropriate.
However, at that time Amex did not
eliminate transfer agent requirements in
its rules.
The purpose of this filing is to
conform Amex’s rules to the changes
made to the Company Guide. Rule 891
of Amex’s rules currently lists the
requirements to qualify as a transfer
agent for securities listed on Amex,
which includes among other things a
requirement to maintain office facilities
that are located south of Chambers
Street in the Borough of Manhattan, City
of New York, that allow the issuer to
receive and redeliver securities. In light
of the amendments to the Company
Guide, Amex has determined that Rule
891 is obsolete and no longer in use and
proposes to eliminate that Rule 891.
Section 6(b)(5) of the Exchange Act
requires the Amex rules be designed to
prevent fraudulent and manipulative
acts and practices, to promote just and
equitable principles of trade, to foster
cooperation and coordination with
persons engaged in regulating, clearing,
settling, processing information with
respect to, and facilitating transactions
in securities, to remove impediments to
and perfect the mechanism of a free and
open market and a national market
system, and in general, to protect
investors and the public interest. Amex
believes the proposed rule change is
consistent with Section 6(b) of the
Exchange Act 5 in general and furthers
the objectives of Section 6(b)(5) of the
Act 6 and the rules and regulations
thereunder because it makes consistent
the requirements of the Company Guide
with the requirements in Amex rules
and further clarifies the compliance
obligations of transfer agents acting for
issuers listed on Amex.
3 The Commission has modified the text of the
summaries prepared by the Amex.
4 Securities Exchange Act Release No. 42539
(March 17, 2000); 65 FR 15672 (March 23, 2000);
[File No. SR–Amex–99–39].
5 15 U.S.C. 78s(b).
6 15 U.S.C. 78s(b)(5).
PO 00000
Frm 00056
Fmt 4703
Sfmt 4703
62145
(B) Self-Regulatory Organization’s
Statement on Burden on Competition
Amex 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 written comments relating to the
proposed rule change have been
solicited or received. Amex will notify
the Commission of any written
comments received by Amex.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become
effective upon filing pursuant to Section
19(b)(3)(A)(i) of the Act 7 and Rule 19b–
4(f)(1) 8 thereunder because it
constitutes a stated policy, practice, or
interpretation with respect to the
meaning, administration, or
enforcement of an existing rule. At any
time within sixty 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.
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:
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–Amex–2005–093 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–Amex–2005–093. This file
number should be included on the
7 15
8 17
E:\FR\FM\28OCN1.SGM
U.S.C. 78s(b)(3)(A)(i).
CFR 240.19b–4(f)(1).
28OCN1
62146
Federal Register / Vol. 70, No. 208 / Friday, October 28, 2005 / Notices
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
Section, 100 F Street, NE., Washington,
DC 20549. Copies of such filings also
will be available for inspection and
copying at the principal office of Amex
and on Amex’s Web site, https://
www.amex.com. 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–Amex–
2005–093 and should be submitted on
or before November 18, 2005.
For the Commission by the Division of
Market Regulation, pursuant to delegated
authority.9
Jonathan G. Katz,
Secretary.
[FR Doc. E5–5970 Filed 10–27–05; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–52649; File No. SR–Amex–
2005–063]
Self-Regulatory Organizations;
American Stock Exchange LLC; Order
Approving Proposed Rule Change
Relating to the Elimination of Position
and Exercise Limits on NDX Options
October 21, 2005.
I. Introduction
On June 9, 2005, the American Stock
Exchange LLC (‘‘Amex’’ or ‘‘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
9 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
1 15
VerDate Aug<31>2005
18:15 Oct 27, 2005
Jkt 208001
change to eliminate position and
exercise limits for options on the
Nasdaq 100 Index (‘‘NDX’’). The
Commission published the proposed
rule change for comment in the Federal
Register on August 26, 2005.3 The
Commission received no comments on
the proposal. This order approves the
proposed rule change.
II. Description of the Proposal
The Amex proposes to amend its rules
to eliminate position and exercise limits
for options on the NDX. In connection
with this change, options on the NDX
would be subject to specific reporting
requirements and additional margin
provisions imposed by the Amex with
respect to options on the Major Market
Index (‘‘XMI’’) and the Institutional
Index (‘‘XII’’), the two broad-based
index options that, under the
Exchange’s current rules, are not subject
to position and exercise limits.4
The Exchange noted that in approving
the elimination of position limits for
XMI and XII options, the Commission
considered the enormous capitalization
of each of these indexes and the deep
and liquid markets for the securities
underlying each index significantly
reduced concerns of market
manipulation or disruption in the
underlying markets.5 The Amex noted
that the market capitalization of NDX, as
of June 1, 2005, was $1.86 trillion and
the average daily trading volume
(‘‘ADTV’’), in the aggregate, for the
component securities of the NDX, for
the period from January 1, 2005 through
May 31, 2005 was 425.8 million shares.
For the same period, the ADTV for
options on the NDX was 45,820
contracts.
The Exchange also stated that in the
XMI/XII Permanent Approval Order, the
Commission noted that the financial
requirements imposed by both the
Exchange and the Commission serve to
address any concerns that an Exchange
member or its customer(s) may try to
maintain an inordinately large
unhedged position in XMI/XII options.
The Amex noted that these same
financial requirements would apply
equally to NDX options. The Exchange
further noted that it has the authority to
impose additional margin upon
accounts maintaining underhedged
3 Securities Exchange Act Release No. 52312
(August 22, 2005), 70 FR 50431 (‘‘Notice’’).
4 According to the Amex, options on the XII are
no longer listed and traded on the Exchange.
5 See Securities Exchange Act Release No. 46393
(August 21, 2002), 67 FR 55289 (August 28, 2002)
(order granting permanent approval to the
elimination of position and exercise limits on the
Major Market index and the Institutional Index)
(‘‘XMI/XII Permanent Approval Order’’).
PO 00000
Frm 00057
Fmt 4703
Sfmt 4703
positions, and is further able to monitor
accounts to determine when such action
is warranted. As noted in the
Exchange’s rules, the clearing firm
carrying such an account would be
subject to capital charges under Rule
15c3–1 under the Act 6 to the extent of
any resulting margin deficiency.7
The Amex indicated that the
Commission, in the XMI/XII Permanent
Approval Order, relied substantially on
the Exchange’s ability to provide
surveillance and reporting safeguards to
detect and deter trading abuses arising
from the elimination of position and
exercise limits on XMI and XII options.
The Exchange represents that it
monitors the trading in NDX options in
the same manner as trading in XMI
options and that the current Amex
surveillance procedures are adequate to
continue monitoring NDX options. In
addition, the Exchange intends to
impose a reporting requirement on
Amex members (other than Amex
specialists and registered options
traders) or member organizations who
trade NDX options. This reporting
requirement, which is currently
imposed on members who trade XMI
options, would require members or
member organizations who maintain in
excess of 100,000 NDX option contracts
on the same side of the market, for their
own accounts or for the account of
customers, to report information as to
whether the positions are hedged and
provide documentation as to how such
contracts are hedged, in a manner and
form required by the Exchange’s
Regulation Department. The Exchange
also would be permitted to specify other
reporting requirements, as well as the
limit at which the reporting requirement
may be triggered.8
Finally, the Amex proposes to amend
Exchange rules relating to the trading of
FLEX broad-based index options to
eliminate position and exercise limits
on FLEX NDX options, and to adopt for
NDX FLEX options the same 100,000
contract reporting requirement and
additional margin provisions that apply
for XMI FLEX options.
The Exchange believes that
eliminating position and exercise limits
6 17
CFR 240.15c3–1.
Commentary .03 to Amex Rule 904C.
Clarified as per telephone conversation between Ira
Brandriss, Special Counsel, and Theodore Venuti,
Attorney, Division of Market Regulation,
Commission, and Jeffery P. Burns, Associate
General Counsel, Amex, on August 16, 2005.
8 Pursuant to Amex Rule 906, as referenced in
Amex Rule 906C(a). Telephone conversation
between Ira Brandriss, Special Counsel, and
Theodore Venuti, Attorney, Division of Market
Regulation, Commission, and Jeffery P. Burns,
Associate General Counsel, Amex, on August 18,
2005.
7 See
E:\FR\FM\28OCN1.SGM
28OCN1
]]>Agencies
[Federal Register Volume 70, Number 208 (Friday, October 28, 2005)]
[Notices]
[Pages 62145-62146]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E5-5970]
=======================================================================
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-52633; File No. SR-Amex-2005-093]
Self-Regulatory Organizations; American Stock Exchange LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Eliminate Rule 891 Relating to Transfer Agents
October 18, 2005.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on September 19, 2005,
American Stock Exchange LLC (``Amex'') filed with the Securities and
Exchange Commission (``Commission'') the proposed rule change described
in Items I, II, and III below, which items have been prepared primarily
by Amex. Amex has designated the proposed rule change as constituting a
stated policy, practice, or interpretation with respect to the meaning,
administration, or enforcement of an existing rule, pursuant to Section
19(b)(3)(A)(i) of the Act,\2\ which renders the proposal effective upon
filing with the Commission. 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\ 15 U.S.C. 78s(b)(3)(A)(i).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The purpose of the proposed rule change is to eliminate Amex's Rule
891 relating to obsolete transfer agent requirements.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, Amex 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. Amex has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of these
statements.\3\
---------------------------------------------------------------------------
\3\ The Commission has modified the text of the summaries
prepared by the Amex.
---------------------------------------------------------------------------
(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
On March 17, 2000, Amex amended its Company Guide to eliminate the
qualification of transfer agents, registrars, and bond trustees.\4\
Amex believed that the Commission's rules governing transfer agents
made Amex's rules unnecessary or inappropriate. However, at that time
Amex did not eliminate transfer agent requirements in its rules.
---------------------------------------------------------------------------
\4\ Securities Exchange Act Release No. 42539 (March 17, 2000);
65 FR 15672 (March 23, 2000); [File No. SR-Amex-99-39].
---------------------------------------------------------------------------
The purpose of this filing is to conform Amex's rules to the
changes made to the Company Guide. Rule 891 of Amex's rules currently
lists the requirements to qualify as a transfer agent for securities
listed on Amex, which includes among other things a requirement to
maintain office facilities that are located south of Chambers Street in
the Borough of Manhattan, City of New York, that allow the issuer to
receive and redeliver securities. In light of the amendments to the
Company Guide, Amex has determined that Rule 891 is obsolete and no
longer in use and proposes to eliminate that Rule 891.
Section 6(b)(5) of the Exchange Act requires the Amex rules be
designed to prevent fraudulent and manipulative acts and practices, to
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and facilitating
transactions in securities, to remove impediments to and perfect the
mechanism of a free and open market and a national market system, and
in general, to protect investors and the public interest. Amex believes
the proposed rule change is consistent with Section 6(b) of the
Exchange Act \5\ in general and furthers the objectives of Section
6(b)(5) of the Act \6\ and the rules and regulations thereunder because
it makes consistent the requirements of the Company Guide with the
requirements in Amex rules and further clarifies the compliance
obligations of transfer agents acting for issuers listed on Amex.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78s(b).
\6\ 15 U.S.C. 78s(b)(5).
---------------------------------------------------------------------------
(B) Self-Regulatory Organization's Statement on Burden on Competition
Amex 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 written comments relating to the proposed rule change have been
solicited or received. Amex will notify the Commission of any written
comments received by Amex.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change has become effective upon filing pursuant
to Section 19(b)(3)(A)(i) of the Act \7\ and Rule 19b-4(f)(1) \8\
thereunder because it constitutes a stated policy, practice, or
interpretation with respect to the meaning, administration, or
enforcement of an existing rule. At any time within sixty 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.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78s(b)(3)(A)(i).
\8\ 17 CFR 240.19b-4(f)(1).
---------------------------------------------------------------------------
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:
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-Amex-2005-093 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-Amex-2005-093. This
file number should be included on the
[[Page 62146]]
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 Section, 100 F Street, NE., Washington, DC 20549. Copies of
such filings also will be available for inspection and copying at the
principal office of Amex and on Amex's Web site, https://www.amex.com.
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-Amex-2005-093
and should be submitted on or before November 18, 2005.
---------------------------------------------------------------------------
\9\ 17 CFR 200.30-3(a)(12).
For the Commission by the Division of Market Regulation,
pursuant to delegated authority.\9\
Jonathan G. Katz,
Secretary.
[FR Doc. E5-5970 Filed 10-27-05; 8:45 am]
BILLING CODE 8010-01-P
