Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Regulatory Services Agreements, 30213-30214 [E6-7997]

Download as PDF Federal Register / Vol. 71, No. 101 / Thursday, May 25, 2006 / 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–NYSE–2005–90 on the subject line. Paper Comments cchase on PROD1PC60 with NOTICES • Send paper comments in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549–1090. SECURITIES AND EXCHANGE COMMISSION [Release No. 34–53831; File No. SR–Phlx– 2006–26] Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Regulatory Services Agreements May 18, 2006. 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 April 28, 2006, the Philadelphia Stock Exchange, All submissions should refer to File Inc. (‘‘Exchange’’ or ‘‘Phlx’’) filed with Number SR–NYSE–2005–90. This file the Securities and Exchange number should be included on the Commission (‘‘Commission’’) the subject line if e-mail is used. To help the proposed rule change as described in Commission process and review your Items I and II below, which Items have comments more efficiently, please use been prepared by the Exchange. The only one method. The Commission will Exchange filed the proposed rule change post all comments on the Commission’s as a ‘‘non-controversial’’ rule change Internet Web site (https://www.sec.gov/ under Rule 19b–4(f)(6) under the Act,3 rules/sro.shtml). Copies of the which rendered the proposal effective submission, all subsequent upon filing with the Commission. The amendments, all written statements Commission is publishing this notice to with respect to the proposed rule solicit comments on the proposed rule change that are filed with the change from interested persons. Commission, and all written I. Self-Regulatory Organization’s communications relating to the Statement of the Terms of Substance of proposed rule change between the the Proposed Rule Change Commission and any person, other than The Exchange proposes to adopt a those that may be withheld from the rule concerning regulatory services public in accordance with the agreements (‘‘RSAs’’), in which the provisions of 5 U.S.C. 552, will be Exchange would contract with another available for inspection and copying in self-regulatory organization (‘‘SRO’’) for the Commission’s Public Reference the performance of certain of the Section, 100 F Street, NE., Washington, Exchange’s regulatory functions. The DC 20549. Copies of such filing also will text of the proposed rule change is be available for inspection and copying available on the Phlx’s Web site, https:// at the principal office of the NYSE. All www.phlx.com, at the Phlx’s Office of comments received will be posted the Secretary, and at the Commission’s without change; the Commission does Public Reference Room. not edit personal identifying II. Self-Regulatory Organization’s information from submissions. You Statement of the Purpose of, and should submit only information that you wish to make available publicly. All Statutory Basis for, the Proposed Rule Change submissions should refer to File In its filing with the Commission, the Number SR–NYSE–2005–90 and should be submitted on or before June 15, 2006. Exchange included statements concerning the purpose of, and basis for, For the Commission, by the Division of the proposed rule change and discussed Market Regulation, pursuant to delegated any comments it received on the 8 authority. proposed rule change. The text of these Nancy M. Morris, statements may be examined at the Secretary. places specified in Item IV below. The [FR Doc. E6–8053 Filed 5–24–06; 8:45 am] Exchange has prepared summaries, set forth in Sections A, B, and C below, of BILLING CODE 8010–01–P 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 enhance the Phlx’s ability to carry out its regulatory obligations under the Act by clarifying the Phlx’s ability to contract with another SRO for regulatory services. Under any RSA with another SRO, the Phlx would remain an SRO registered under Section 6 of the Act 4 and therefore would continue to have statutory authority and responsibility for enforcing compliance by its members, and persons associated with its members, with the Act, the rules thereunder, and the rules of the Exchange. This rule change would have immediate applicability with respect to an RSA between the Phlx, the Chicago Board Options Exchange, Incorporated (‘‘CBOE’’), and other options markets participating in the proposed Options Regulatory Surveillance Authority national market system plan (‘‘ORSA’’). The Phlx has determined that to best discharge its SRO responsibilities, it will contract with CBOE, which is subject to Commission oversight pursuant to Sections 6 and 19 of the Act,5 for CBOE to provide certain regulatory services to the Phlx, as set forth in the ORSA RSA. In performing services under the ORSA RSA, CBOE will be operating pursuant to the statutory SRO responsibilities of the Phlx under Sections 6 and 19, as well as performing for itself its own SRO responsibilities. The proposed rule change specifically states that any action taken by another SRO, or its employees or authorized agents, operating on behalf of the Phlx pursuant to an RSA with the Exchange (e.g., CBOE under the ORSA RSA) will be deemed an action taken by the Exchange. The Phlx will retain ultimate responsibility for performance of its SRO duties under the RSA, and the proposed rule change states that the Exchange shall retain ultimate legal responsibility for and control of its SRO responsibilities. 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with Section 6(b) of the Act 6 in general, and furthers the objectives of Sections 1 15 CFR 200.30–3(a)(12). VerDate Aug<31>2005 16:42 May 24, 2006 Jkt 208001 4 15 2 17 8 17 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 17 CFR 240.19b–4(f)(6). 5 15 PO 00000 Frm 00101 Fmt 4703 U.S.C. 78f. U.S.C. 78f and 15 U.S.C. 78s. 6 15 U.S.C. 78f(b). Sfmt 4703 30213 E:\FR\FM\25MYN1.SGM 25MYN1 30214 Federal Register / Vol. 71, No. 101 / Thursday, May 25, 2006 / Notices 6(b)(1), 6(b)(6) and 6(b)(7) of the Act 7 in particular, in that it will enhance the ability of the Exchange to enforce compliance by its members and persons associated with its members with the provisions of the Act, the rules and regulations thereunder, and the rules of the Exchange; it will help ensure that members and persons associated with members are appropriately disciplined for violations of the Act, the rules and regulations thereunder, and the rules of the Exchange; and it will provide a fair procedure for the disciplining of members and persons associated with members. B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange 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. The Exchange has neither solicited nor received written comments on the proposed rule change. cchase on PROD1PC60 with NOTICES III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the proposed rule change: (i) Does not significantly affect the protection of investors or the public interest; (ii) does not impose any significant burden on competition; and (iii) by its terms, does not become operative for 30 days after the date of filing, or such shorter time as the Commission may designate, if consistent with the protection of investors and the public interest, the proposed rule change has become effective pursuant to Section 19(b)(3)(A) of the Act 8 and subparagraph (f)(6) of Rule 19b–4 thereunder.9 The Exchange has requested that the Commission waive the 30-day operative delay period for ‘‘non-controversial’’ proposals and make the proposed rule change effective and operative upon filing. The Commission hereby grants the request. The Commission believes that waiver of the 30-day operative delay is consistent with the protection of investors and the public interest. In this regard, the Commission believes that the proposal should be implemented without delay because of its immediate applicability 7 15 U.S.C. 78f(b)(1); 15 U.S.C. 78f(b)(6); and 15 U.S.C. 78f(b)(7). 8 15 U.S.C. 78s(b)(3)(A). 9 17 CFR 240.19b–4(f)(6). 16:42 May 24, 2006 Jkt 208001 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 Exchange. 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–Phlx–2006–26 and should be submitted on or before June 15, 2006. 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: For the Commission, by the Division of Market Regulation, pursuant to delegated authority.12 Nancy M. Morris, Secretary. [FR Doc. E6–7997 Filed 5–24–06; 8:45 am] 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–Phlx–2006–26 on the subject line. C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants or Others VerDate Aug<31>2005 with respect to the RSA among the Phlx, CBOE and the other ORSA participants.10 For this reason, the Commission designates the proposal to be effective and operative upon filing with the Commission.11 At any time within 60 days of the filing of the 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 the furtherance of the purposes of the Act. Paper Comments • Send paper comments in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, 100 F Street, NE., Washington, DC 20549–1090. All submissions should refer to File Number SR–Phlx–2006–26. 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 10 The Commission notes that the proposed rule change is based on a similar rule of the Boston Stock Exchange, Inc. See Securities Exchange Act Release No. 53436 (March 7, 2006), 71 FR 13194 (March 14, 2006) (SR–BSE–2006–08). 11 For the purposes only of accelerating the operative date of this proposal, the Commission has considered the proposed rule’s impact on efficiency, competition and capital formation. 15 U.S.C. 78c(f). PO 00000 Frm 00102 Fmt 4703 Sfmt 4703 BILLING CODE 8010–01–P DEPARTMENT OF STATE [Public Notice 5419] Bureau of Educational and Cultural Affairs (ECA) Request for Grant Proposals: EducationUSA Advising Program for Students and Scholars from the Middle East and North Africa Announcement Type: Cooperative Agreement. Funding Opportunity Number: ECA/ A/S/A–07–09. Catalog of Federal Domestic Assistance Number: 00.000. Key Dates: Application Deadline: August 18, 2006. Executive Summary: The Educational Information and Resources Branch (ECA/A/S/A), Office of Global Educational Programs, of the Bureau of Educational and Cultural Affairs, announces an open competition to administer EducationUSA advising centers in the Middle East and North Africa. Public and private non-profit U.S. organizations meeting the provisions described in Internal Revenue Code section 26 U.S.C. 501(c)(3) may submit proposals to offer overseas educational advising, orientation, and information services for international students and scholars in one or more of twelve locations in the Middle East and North Africa. Organizations wishing to apply for this cooperative agreement must either currently have offices in the countries covered by this agreement, or include a detailed plan in their proposal for establishing such a presence by January 12 17 E:\FR\FM\25MYN1.SGM CFR 200.30–3(a)(12). 25MYN1

Agencies

[Federal Register Volume 71, Number 101 (Thursday, May 25, 2006)]
[Notices]
[Pages 30213-30214]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-7997]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-53831; File No. SR-Phlx-2006-26]


Self-Regulatory Organizations; Philadelphia Stock Exchange, Inc.; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Relating to Regulatory Services Agreements

 May 18, 2006.
    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 April 28, 2006, the Philadelphia Stock Exchange, Inc. (``Exchange'' 
or ``Phlx'') 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 Exchange. The Exchange 
filed the proposed rule change as a ``non-controversial'' rule change 
under Rule 19b-4(f)(6) under the Act,\3\ which rendered the proposal 
effective upon filing with the Commission. The Commission is publishing 
this notice to solicit comments on the proposed rule change from 
interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to adopt a rule concerning regulatory 
services agreements (``RSAs''), in which the Exchange would contract 
with another self-regulatory organization (``SRO'') for the performance 
of certain of the Exchange's regulatory functions. The text of the 
proposed rule change is available on the Phlx's Web site,  https://
www.phlx.com, at the Phlx's Office of the Secretary, and at the 
Commission's Public Reference Room.

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 Exchange 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 Exchange 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 enhance the Phlx's 
ability to carry out its regulatory obligations under the Act by 
clarifying the Phlx's ability to contract with another SRO for 
regulatory services. Under any RSA with another SRO, the Phlx would 
remain an SRO registered under Section 6 of the Act \4\ and therefore 
would continue to have statutory authority and responsibility for 
enforcing compliance by its members, and persons associated with its 
members, with the Act, the rules thereunder, and the rules of the 
Exchange.
---------------------------------------------------------------------------

    \4\ 15 U.S.C. 78f.
---------------------------------------------------------------------------

    This rule change would have immediate applicability with respect to 
an RSA between the Phlx, the Chicago Board Options Exchange, 
Incorporated (``CBOE''), and other options markets participating in the 
proposed Options Regulatory Surveillance Authority national market 
system plan (``ORSA''). The Phlx has determined that to best discharge 
its SRO responsibilities, it will contract with CBOE, which is subject 
to Commission oversight pursuant to Sections 6 and 19 of the Act,\5\ 
for CBOE to provide certain regulatory services to the Phlx, as set 
forth in the ORSA RSA. In performing services under the ORSA RSA, CBOE 
will be operating pursuant to the statutory SRO responsibilities of the 
Phlx under Sections 6 and 19, as well as performing for itself its own 
SRO responsibilities. The proposed rule change specifically states that 
any action taken by another SRO, or its employees or authorized agents, 
operating on behalf of the Phlx pursuant to an RSA with the Exchange 
(e.g., CBOE under the ORSA RSA) will be deemed an action taken by the 
Exchange. The Phlx will retain ultimate responsibility for performance 
of its SRO duties under the RSA, and the proposed rule change states 
that the Exchange shall retain ultimate legal responsibility for and 
control of its SRO responsibilities.
---------------------------------------------------------------------------

    \5\ 15 U.S.C. 78f and 15 U.S.C. 78s.
---------------------------------------------------------------------------

2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with Section 6(b) of the Act \6\ in general, and furthers the 
objectives of Sections

[[Page 30214]]

6(b)(1), 6(b)(6) and 6(b)(7) of the Act \7\ in particular, in that it 
will enhance the ability of the Exchange to enforce compliance by its 
members and persons associated with its members with the provisions of 
the Act, the rules and regulations thereunder, and the rules of the 
Exchange; it will help ensure that members and persons associated with 
members are appropriately disciplined for violations of the Act, the 
rules and regulations thereunder, and the rules of the Exchange; and it 
will provide a fair procedure for the disciplining of members and 
persons associated with members.
---------------------------------------------------------------------------

    \6\ 15 U.S.C. 78f(b).
    \7\ 15 U.S.C. 78f(b)(1); 15 U.S.C. 78f(b)(6); and 15 U.S.C. 
78f(b)(7).
---------------------------------------------------------------------------

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange 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

    The Exchange has neither solicited nor received written comments on 
the proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Because the proposed rule change: (i) Does not significantly affect 
the protection of investors or the public interest; (ii) does not 
impose any significant burden on competition; and (iii) by its terms, 
does not become operative for 30 days after the date of filing, or such 
shorter time as the Commission may designate, if consistent with the 
protection of investors and the public interest, the proposed rule 
change has become effective pursuant to Section 19(b)(3)(A) of the Act 
\8\ and subparagraph (f)(6) of Rule 19b-4 thereunder.\9\ The Exchange 
has requested that the Commission waive the 30-day operative delay 
period for ``non-controversial'' proposals and make the proposed rule 
change effective and operative upon filing. The Commission hereby 
grants the request. The Commission believes that waiver of the 30-day 
operative delay is consistent with the protection of investors and the 
public interest. In this regard, the Commission believes that the 
proposal should be implemented without delay because of its immediate 
applicability with respect to the RSA among the Phlx, CBOE and the 
other ORSA participants.\10\ For this reason, the Commission designates 
the proposal to be effective and operative upon filing with the 
Commission.\11\
---------------------------------------------------------------------------

    \8\ 15 U.S.C. 78s(b)(3)(A).
    \9\ 17 CFR 240.19b-4(f)(6).
    \10\ The Commission notes that the proposed rule change is based 
on a similar rule of the Boston Stock Exchange, Inc. See Securities 
Exchange Act Release No. 53436 (March 7, 2006), 71 FR 13194 (March 
14, 2006) (SR-BSE-2006-08).
    \11\ For the purposes only of accelerating the operative date of 
this proposal, the Commission has considered the proposed rule's 
impact on efficiency, competition and capital formation. 15 U.S.C. 
78c(f).
---------------------------------------------------------------------------

    At any time within 60 days of the filing of the 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 the 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 rule-comments@sec.gov. Please include 
File Number SR-Phlx-2006-26 on the subject line.

Paper Comments

     Send paper comments in triplicate to Nancy M. Morris, 
Secretary, Securities and Exchange Commission, 100 F Street, NE., 
Washington, DC 20549-1090.

All submissions should refer to File Number SR-Phlx-2006-26. 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 Exchange. 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-Phlx-2006-26 and should be submitted on or before June 
15, 2006.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\12\
---------------------------------------------------------------------------

    \12\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Nancy M. Morris,
Secretary.
 [FR Doc. E6-7997 Filed 5-24-06; 8:45 am]
BILLING CODE 8010-01-P
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