Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change Relating to Rule 10.1 (Disciplinary Jurisdiction), 39136-39138 [E6-10787]
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39136
Federal Register / Vol. 71, No. 132 / Tuesday, July 11, 2006 / Notices
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(1) A written application by a party
claiming to be aggrieved 5 by the DPM
transfer decision, or (2) a request for
review by any five Directors. The
Exchange notes that any member
aggrieved by a transfer proposal
decision can still seek a review of the
decision through the hearing and review
process provided for under Chapter XIX
of CBOE’s rules.6 In any such appeal
proceeding under Chapter XIX, the
decision regarding a transfer proposal
by the appropriate Exchange committee
under CBOE Rule 8.89 would be subject
to review by the CBOE Appeals
Committee. In addition, the Appeals
Committee decision in the matter would
be subject to review by the Board on its
own motion, or could be appealed to the
Board, pursuant to CBOE Rule 19.5. The
Exchange believes that the special
review process for transfer proposal
decisions in CBOE Rule 8.89(f) is no
longer necessary, given the more routine
nature of DPM transfers, and that the
elimination of the special process will
improve the overall efficiency of the
review process.7
The Commission finds that the
proposed rule change, as amended, is
consistent with the requirements of the
Act and the rules and regulations
thereunder applicable to a national
securities exchange, and, in particular,
with the requirements of section 6(b) of
the Act.8 In particular, the Commission
finds that the proposed rule change, as
amended, is consistent with section
6(b)(5) of the Act,9 which requires
among other things, that the rules of the
Exchange be designed to promote just
and equitable principles of trade, 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. Specifically, the
Commission believes it is consistent
with the Act for the Exchange to
eliminate the special review process for
DPM transfer proposal decisions, which
the Exchange believes could improve
efficiency of the review process for such
decisions. The Commission notes that
5 Under CBOE Rule 8.89, a person must be
‘‘aggrieved’’ as described in Chapter XIX of
Exchange Rules.
6 Chapter XIX of CBOE Rules governs the process
by which persons, including members, claiming to
be economically aggrieved by Exchange action may
seek a review of such a decision.
7 The Exchange also proposes to delete
Interpretation and Policy .02 of CBOE Rule 8.89,
which provided for the application of a transfer fee
on any DPM appointment transfer, because it
expired on June 30, 2004.
8 15 U.S.C. 78f(b). In approving this proposed rule
change, the Commission considered the proposed
rule’s impact on efficiency, competition, and capital
formation. 15 U.S.C. 78c(f).
9 15 U.S.C. 78f(b)(5).
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16:49 Jul 10, 2006
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such decisions would continue to be
subject to a hearing and review process
at the Exchange under Chapter XIX,
which provides for review by the
Appeals Committee and the Board. The
Commission also believes it is
consistent with the Act for CBOE to
remove, as a matter of housekeeping,
Interpretation and Policy .02 of CBOE
Rule 8.89 from its rules, as the provision
relating to a transfer fee has currently
expired.
It is therefore ordered, pursuant to
section 19(b)(2) of the Act,10 that the
proposed rule change (SR–CBOE–2006–
38) and Amendment No. 1 thereto be,
and hereby are, approved.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.11
Nancy M. Morris,
Secretary.
[FR Doc. E6–10788 Filed 7–10–06; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–54080; File No. SR–
NYSEArca–2006–27]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change Relating to Rule 10.1
(Disciplinary Jurisdiction)
June 30, 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 June 8,
2006, NYSE Arca, Inc. (‘‘Exchange’’ or
‘‘NYSE Arca’’) 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 ‘‘noncontroversial’’ 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.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange is proposing to amend
Rule 10.1 (Disciplinary Jurisdiction) in
PO 00000
10 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.
3 17 CFR 240.19b–4(f)(6).
11 17
Frm 00088
Fmt 4703
Sfmt 4703
the Rules of the Exchange and NYSE
Arca Equities, Inc. to create a
mechanism that would allow the
Exchange to contract with another selfregulatory organization (‘‘SRO’’) for the
performance of certain of the Exchange’s
regulatory functions. The text of the
proposed rule change is available on the
Exchange’s Web site, (https://
www.nyse.com), at the Exchange’s
principal office, 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 proposed rule change in the
Rules of the Exchange and NYSE Arca
Equities, Inc. would create a
mechanism 4 that would allow the
Exchange to contract with another SRO
for the performance of certain of the
Exchange’s regulatory functions. The
purpose of the proposed rule change is
to enhance the Exchange’s ability to
carry out its regulatory obligations
under the Act by providing the
Exchange the ability to contract with
another SRO for regulatory services.
Under any agreement for regulatory
services with another SRO, the
Exchange would remain an SRO
registered under section 6 of the Act 5
and, therefore, would continue to have
statutory authority and responsibility
for enforcing compliance by its
4 The Exchange states that, as a public company,
the Board of Directors of the Exchange is currently
authorized as part of its duties and responsibilities
to delegate authority to enter into these types of
agreements. For example, the Exchange states that
in March of 2006 it entered into a contract with
NYSE Regulation, Inc. to provide certain regulatory
services. The Exchange, however, recognizes that
current industry practice is to have the authority to
delegate this responsibility explicitly written in the
rules or constitution of an exchange. As such, the
Exchange states that it is voluntarily submitting the
instant filing to conform to current industry
practice.
5 15 U.S.C. 78f.
E:\FR\FM\11JYN1.SGM
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Federal Register / Vol. 71, No. 132 / Tuesday, July 11, 2006 / Notices
sroberts on PROD1PC70 with NOTICES
members, and persons associated with
its members, with the Act, the rules
thereunder, and the rules of the
Exchange.
This change in the Rules of the
Exchange and NYSE Arca Equities, Inc.
would have immediate applicability
with respect to a Regulatory Services
Agreement (‘‘RSA’’) between the
Exchange, the Chicago Board Options
Exchange, Incorporated (‘‘CBOE’’), and
other options markets participating in
the proposed Options Regulatory
Surveillance Authority national market
system plan. The Exchange has
determined that, to best discharge
certain of its SRO responsibilities, it
will contract with CBOE, which is
subject to Commission oversight
pursuant to sections 6 and 19 of the
Act,6 for CBOE to provide certain
regulatory services to the Exchange, as
set forth in the RSA between the
Exchange and CBOE. In performing
services under the RSA, CBOE will be
operating pursuant to the statutory SRO
responsibilities of the Exchange 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
Exchange pursuant to a regulatory
services agreement with the Exchange
(e.g., CBOE under the RSA) will be
deemed an action taken by the
Exchange. The Exchange will retain
ultimate responsibility for performance
of its SRO duties under the RSA, and
the proposed rule change states that the
Exchange will 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 7 in general, and
furthers the objectives of sections
6(b)(1),8 6(b)(6),9 and 6(b)(7) 10 in that it
will enhance the ability of NYSE Arca
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. Further,
the proposed rule change 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
U.S.C. 78f and 15 U.S.C. 78s.
7 15 U.S.C. 78f(b).
8 15 U.S.C. 78f(b)(1).
9 15 U.S.C. 78f(b)(6).
10 15 U.S.C. 78f(b)(7).
16:49 Jul 10, 2006
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 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 11 and subparagraph (f)(6) of
Rule 19b–4 thereunder.12 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
Exchange, CBOE and the other
participants in the Options Regulatory
Surveillance Authority national market
system plan.13 For this reason, the
Commission designates the proposal to
15 U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6).
13 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
be effective and operative upon filing
with the Commission. 14
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 rulecomments@sec.gov. Please include File
Number SR–NYSEArca–2006–27 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–NYSEArca–2006–27. 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 the 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
12 17
6 15
VerDate Aug<31>2005
Exchange. The proposed rule change
will allow the Exchange to continue to
provide a fair procedure for the
disciplining of members and persons
associated with members.
39137
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PO 00000
Frm 00089
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14 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).
E:\FR\FM\11JYN1.SGM
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39138
Federal Register / Vol. 71, No. 132 / Tuesday, July 11, 2006 / Notices
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–NYSEArca–2006–27 and
should be submitted on or before
August 1, 2006.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.15
Nancy M. Morris,
Secretary.
[FR Doc. E6–10787 Filed 7–10–06; 8:45 am]
BILLING CODE 8010–01–P
SMALL BUSINESS ADMINISTRATION
[License No. 02–72–0624]
NJTC Venture Fund SBIC, L.P.; Notice
Seeking Exemption Under Section 312
of the Small Business Investment Act,
Conflicts of Interest
Notice is hereby given that NJTC
Venture Fund SBIC, L.P., 1001 Briggs
Road, Suite 280, Mount Laurel, NJ
08054, a Federal Licensee under the
Small Business Investment Act of 1958,
as amended (‘‘the Act’’), in connection
with the financing of a small concern,
has sought an exemption under Section
312 of the Act and Section 107.730,
Financings which Constitute Conflicts
of Interest of the Small Business
Administration (‘‘SBA’’) Rules and
Regulations (13 CFR 107.730). NJTC
Venture Fund SBIC, L.P. proposes to
provide equity/debt security financing
to Innovation Engineering, Inc. The
financing is contemplated for working
capital and general corporate purposes.
The financing is brought within the
purview of § 107.730(a)(1) of the
Regulations because Mr. Greg Olsen and
GHO Ventures, both Associates of NJTC
Venture Fund SBIC, L.P., own more
than ten percent of Innovation
Engineering, Inc.
Notice is hereby given that any
interested person may submit written
comments on the transaction to the
Associate Administrator for Investment,
U.S. Small Business Administration,
409 Third Street, SW., Washington, DC
20416.
sroberts on PROD1PC70 with NOTICES
March 17, 2006.
´
Jaime Guzman-Fournier,
Associate Administrator for Investment.
This document was received at the Office
of the Federal Register on July 6, 2006.
[FR Doc. E6–10876 Filed 7–10–06; 8:45 am]
BILLING CODE 8025–01–P
15 17
CFR 200.30–3(a)(12).
VerDate Aug<31>2005
16:49 Jul 10, 2006
Jkt 208001
SMALL BUSINESS ADMINISTRATION
North Florida District Advisory
Council; Public Meeting
The U.S. Small Business
Administration, North Florida District
Advisory Council will host a public
meeting on Thursday, August 10, 2006.
The meeting will be located at DEI
Services, Inc., 7213 Sandscove Court,
Suite One, Winter Park, FL 32792. The
purpose of the meeting is to discuss
SBA loan reports and the status on goals
for FY 2006.
Anyone wishing to make an oral
presentation to the Board must contact
Wilfredo J. Gonzalez, District Director,
North Florida District Office, in writing
or fax no later than Friday, August 4,
2006, in order to be placed on the
agenda. Wilfredo J. Gonzalez, District
Director, North Florida District Office,
U.S. Small Business Administration,
7825 Baymeadows Way; Suite 100B,
Jacksonville, FL 32256; telephone (904)
443–1900; fax (904) 443–1980.
Matthew K. Becker,
Committee Management Officer.
[FR Doc. E6–10871 Filed 7–10–06; 8:45 am]
BILLING CODE 8025–01–P
DEPARTMENT OF TRANSPORTATION
[Order 2006–7–3; Docket OST–2006–25307]
Notice of Order To Show-Cause;
International Air Transport Association
Tariff Conference Proceeding
Office of the Secretary,
Department of Transportation.
SUMMARY: The Department is directing
all interested persons to show cause
why it should not issue an order
withdrawing its approval under 49
U.S.C. 41309 for an International Air
Transport Association (‘‘IATA’’)
agreement, the Provisions for the
Conduct of the IATA Traffic
Conferences, insofar as that agreement
establishes conferences whereby IATA’s
member carriers discuss and agree upon
passenger fares and cargo rates for U.S.Australia/Europe markets. If the
Department withdraws its approval for
the agreement, the agreement will no
longer have immunity from the antitrust
laws under 49 U.S.C. 41308 for
conference discussions of fares and rates
for the U.S.-Australia/Europe markets.
DATES: Objections must be submitted on
or before August 21. Answers to
objections must be filed by September
20.
PO 00000
Frm 00090
Fmt 4703
Sfmt 4703
Dated: July 3, 2006.
Michael W. Reynolds,
Acting Assistant Secretary for Aviation and
International Affairs.
[FR Doc. E6–10792 Filed 7–10–06; 8:45 am]
BILLING CODE 4910–62–P
Office of the Secretary
AGENCY:
Objections and answers to
objections must be filed in Docket
number OST–2006–25307 by one of the
following means:
(1) By mail to the Docket Management
Facility, U.S. Department of
Transportation, room PL–401, 400
Seventh Street, SW., Washington, DC
20590–0001.
(2) By hand delivery to room PL–401
on the Plaza level of the Nassif Building,
400 Seventh Street, SW., Washington,
DC, between 9 a.m. and 5 p.m., Monday
through Friday, except Federal holidays.
The telephone number is 202–366–
9329.
(3) Electronically through the Web
site for the Docket Management System
at https://dms.dot.gov. Comments must
be filed in Docket OST–2006–25307.
FOR FURTHER INFORMATION CONTACT: John
Kiser, Pricing & Multilateral Affairs
Division (X–43, Room 6424), U.S.
Department of Transportation, 400
Seventh St., SW., Washington, DC
20590, (202) 366–2435; or Thomas Ray,
Office of the General Counsel (C–30,
Room 4102), U.S. Department of
Transportation, 400 Seventh St., SW.,
Washington, DC 20590, (202) 366–4731.
ADDRESSES:
DEPARTMENT OF TRANSPORTATION
Federal Highway Administration
[FHWA Docket No. FHWA–2006–24957]
Safe Routes to School Task Force to
the Secretary of Transportation
Federal Highway
Administration (FHWA), DOT.
ACTION: Notice of intent to form an
advisory committee.
AGENCY:
SUMMARY: Pursuant to section 1404 (h)
of the Safe, Accountable, Flexible,
Efficient Transportation Equity Act: A
Legacy for Users (SAFETEA–LU), the
Secretary of Transportation is
establishing a Safe Routes to School
Task Force to study and develop a
strategy for advancing safe routes to
school programs nationwide. The
FHWA Office of Safety will serve as
sponsor of the Task Force for the
Secretary. The purpose of this notice is
to invite interested parties to submit
comments to the FHWA on the strategy
or issues that should be discussed by
the Task Force, and the organizations
and participants to be considered for
representation on the Task Force.
E:\FR\FM\11JYN1.SGM
11JYN1
]]>Agencies
[Federal Register Volume 71, Number 132 (Tuesday, July 11, 2006)]
[Notices]
[Pages 39136-39138]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-10787]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-54080; File No. SR-NYSEArca-2006-27]
Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change Relating to Rule
10.1 (Disciplinary Jurisdiction)
June 30, 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 June 8, 2006, NYSE Arca, Inc. (``Exchange'' or ``NYSE Arca'') 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 is proposing to amend Rule 10.1 (Disciplinary
Jurisdiction) in the Rules of the Exchange and NYSE Arca Equities, Inc.
to create a mechanism that would allow the Exchange to 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 Exchange's Web site, (https://
www.nyse.com), at the Exchange's principal office, 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 proposed rule change in the Rules of the Exchange and NYSE Arca
Equities, Inc. would create a mechanism \4\ that would allow the
Exchange to contract with another SRO for the performance of certain of
the Exchange's regulatory functions. The purpose of the proposed rule
change is to enhance the Exchange's ability to carry out its regulatory
obligations under the Act by providing the Exchange the ability to
contract with another SRO for regulatory services. Under any agreement
for regulatory services with another SRO, the Exchange would remain an
SRO registered under section 6 of the Act \5\ and, therefore, would
continue to have statutory authority and responsibility for enforcing
compliance by its
[[Page 39137]]
members, and persons associated with its members, with the Act, the
rules thereunder, and the rules of the Exchange.
---------------------------------------------------------------------------
\4\ The Exchange states that, as a public company, the Board of
Directors of the Exchange is currently authorized as part of its
duties and responsibilities to delegate authority to enter into
these types of agreements. For example, the Exchange states that in
March of 2006 it entered into a contract with NYSE Regulation, Inc.
to provide certain regulatory services. The Exchange, however,
recognizes that current industry practice is to have the authority
to delegate this responsibility explicitly written in the rules or
constitution of an exchange. As such, the Exchange states that it is
voluntarily submitting the instant filing to conform to current
industry practice.
\5\ 15 U.S.C. 78f.
---------------------------------------------------------------------------
This change in the Rules of the Exchange and NYSE Arca Equities,
Inc. would have immediate applicability with respect to a Regulatory
Services Agreement (``RSA'') between the Exchange, the Chicago Board
Options Exchange, Incorporated (``CBOE''), and other options markets
participating in the proposed Options Regulatory Surveillance Authority
national market system plan. The Exchange has determined that, to best
discharge certain of its SRO responsibilities, it will contract with
CBOE, which is subject to Commission oversight pursuant to sections 6
and 19 of the Act,\6\ for CBOE to provide certain regulatory services
to the Exchange, as set forth in the RSA between the Exchange and CBOE.
In performing services under the RSA, CBOE will be operating pursuant
to the statutory SRO responsibilities of the Exchange 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 Exchange pursuant to a regulatory services agreement with the
Exchange (e.g., CBOE under the RSA) will be deemed an action taken by
the Exchange. The Exchange will retain ultimate responsibility for
performance of its SRO duties under the RSA, and the proposed rule
change states that the Exchange will retain ultimate legal
responsibility for, and control of, its SRO responsibilities.
---------------------------------------------------------------------------
\6\ 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 \7\ in general, and furthers the
objectives of sections 6(b)(1),\8\ 6(b)(6),\9 \ and 6(b)(7) \10\ in
that it will enhance the ability of NYSE Arca 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. Further, the proposed rule change 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. The proposed rule change
will allow the Exchange to continue to provide a fair procedure for the
disciplining of members and persons associated with members.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f(b).
\8\ 15 U.S.C. 78f(b)(1).
\9\ 15 U.S.C. 78f(b)(6).
\10\ 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 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
\11\ and subparagraph (f)(6) of Rule 19b-4 thereunder.\12 \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 Exchange, CBOE and the
other participants in the Options Regulatory Surveillance Authority
national market system plan.\13\ For this reason, the Commission
designates the proposal to be effective and operative upon filing with
the Commission.\ 14 \
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\11\ 15 U.S.C. 78s(b)(3)(A).
\12\ 17 CFR 240.19b-4(f)(6).
\13\ 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).
\14\ 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).
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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-NYSEArca-2006-27 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-NYSEArca-2006-27. 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 the
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
[[Page 39138]]
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-NYSEArca-2006-27 and should
be submitted on or before August 1, 2006.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\15\
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\15\ 17 CFR 200.30-3(a)(12).
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Nancy M. Morris,
Secretary.
[FR Doc. E6-10787 Filed 7-10-06; 8:45 am]
BILLING CODE 8010-01-P
