Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing of Amendments No. 1, 2, 3, and 4 Thereto to Proposed Rule Change to Amend Rule 619 Pertaining to Subpoenas for the Production of Documents and Appearances of Witnesses, 18710-18712 [E7-7055]
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18710
Federal Register / Vol. 72, No. 71 / Friday, April 13, 2007 / Notices
be operative upon filing with the
Commission.22
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.23
available for inspection and copying at
the principal office of NYSE. 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–NYSE–2007–29 and should
be submitted on or before May 4, 2007.
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.24
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–6962 Filed 4–12–07; 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–NYSE–2007–29 on the
subject line.
SECURITIES AND EXCHANGE
COMMISSION
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–NYSE–2007–29. 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
BILLING CODE 8010–01–P
[Release No. 34–55594; File No. SR–NYSE–
2005–48]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Notice of
Filing of Amendments No. 1, 2, 3, and
4 Thereto to Proposed Rule Change to
Amend Rule 619 Pertaining to
Subpoenas for the Production of
Documents and Appearances of
Witnesses
April 6, 2007.
On July 13, 2005, pursuant to Section
19(b)(1) of the Securities Exchange Act
of 1934 (‘‘Act’’) 1 and Rule 19b–4
thereunder,2 the New York Stock
Exchange LLC (‘‘NYSE’’ or ‘‘Exchange’’)
filed with the Securities and Exchange
Commission (‘‘SEC’’ or ‘‘Commission’’)
a proposed rule change to amend NYSE
Rule 619, pertaining to subpoenas for
the production of documents and
appearance of witnesses. The proposed
rule change was published for comment
in the Federal Register on September
26, 2005,3 and the Commission received
no comments on the proposal. On April
18, 2006, November 2, 2006, December
22, 2006, and February 8, 2007, the
NYSE filed Amendments No. 1, 2, 3,
and 4, respectively, to revise the rule
change as described in Items I, II, and
III below, which Items have been
prepared by the NYSE.4 The
2417
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 See Securities Exchange Act Release No. 52468
(Sept. 19, 2005), 70 FR 56201 (Sept. 26, 2005).
4 Amendment No. 1 clarified that only the
arbitrator(s) may issue subpoenas and delineated
the manner in which a party may request the
issuance of a subpoena. Amendment No. 2
established a time frame for the parties to make and
respond to objections to the requested subpoena
and clarified that the arbitrator(s) may not rule on
pwalker on PROD1PC71 with NOTICES
1 15
22 For the purposes only of waiving the 30-day
operative delay, the Commission has considered the
proposed rule’s impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
2315 U.S.C. 78s(b)(3)(C). For purposes of
calculating the 60-day period within which the
Commission may summarily abrogate the proposal,
the Commission considers the period to commence
on April 5, 2007, the date on which the Exchange
submitted Amendment No. 1.
VerDate Aug<31>2005
17:52 Apr 12, 2007
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Frm 00091
Fmt 4703
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Commission is publishing this notice to
solicit comments on the proposed rule
change, as amended, from interested
persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
NYSE is proposing to revise Rule 619,
which pertains to subpoenas for the
production of documents and the
appearance of witnesses. Below is the
text of the proposed rule change.
Proposed new language is italicized and
proposed deletions are in brackets.
*
*
*
*
*
(a) to (e) No change.
(f) Subpoenas.
(1) The arbitrator(s) [and any counsel
of record to the proceedings] may issue
subpoenas for the production of
documents or the appearance of
witnesses [shall have the power of the
subpoena process as provided by law.
All parties shall be given a copy of the
subpoena upon its issuance. The parties
shall produce witnesses and present
proofs to the fullest extent possible
without resort to the subpoena process.]
The party who requests a subpoena
must make a written request asking the
arbitrator(s) to issue a subpoena. The
request, along with the requested draft
subpoena must be served directly on
each other party in a manner that is
reasonably expected to cause the
request and the requested subpoena to
be delivered to all parties on the same
day. The requesting party may not serve
the request or the requested draft
subpoena on a non-party. The request
and the requested subpoena must also
be filed with the Director of Arbitration,
with additional copies for each
arbitrator, at the same time and in the
same manner in which they are served
on the parties. The parties shall produce
witnesses and present proof at the
hearing whenever possible without
using subpoenas.
(2) In the event a party receiving such
a request objects to the scope or
propriety of the subpoena, that party
shall, within 10 days of service of the
request, file with the Director of
Arbitration, with copies to all other
parties, written objections, including
additional copies for each arbitrator.
The party seeking the subpoena may
respond thereto within five days of
receipt of the objection. The arbitrator(s)
appointed shall rule promptly on the
such a request until this time period has elapsed.
Amendment No. 3 made technical changes to the
rule and clarified that the arbitrator(s) must receive
copies of any objections to the issuance of a
subpoena. Amendment No. 4 clarified that a party
requesting a subpoena may not serve the request or
the draft subpoena on a non-party.
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Federal Register / Vol. 72, No. 71 / Friday, April 13, 2007 / Notices
issuance and scope of the subpoena
after the time period for objections and
replies thereto has elapsed.
(3) If the arbitrator(s) issue a
subpoena, the party that requested the
subpoena must serve the subpoena at
the same time and in the same manner
on all parties, and, if applicable, on any
non-party receiving the subpoena.
(4) Any party that receives documents
in response to a subpoena served upon
a non-party shall provide notice to all
other parties within five days of receipt
of the documents. Thereafter, any party
may request copies of such documents
and, if such a request is made, the
documents must be provided within 10
days following receipt of the request.
The party requesting the documents
shall be responsible for the reasonable
costs associated with the production of
the copies, unless the panel determines
otherwise.
(g) No change.
*
*
*
*
*
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
NYSE included statements concerning
the purpose of and basis for the
proposed rule change. The text of these
statements may be examined at the
places specified in Item IV below. The
NYSE 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
pwalker on PROD1PC71 with NOTICES
1. Purpose
Proposal
In the initial rule filing, the Exchange
proposed to revise NYSE Rule 619 to
provide for a 10-day notice period
requirement before a party issues a
subpoena to a non-party for pre-hearing
discovery. Under the proposed rule
change only the arbitrator(s) may issue
subpoenas for the production of
documents and the appearance of
witnesses. In addition, the arbitrator(s),
and not the courts, would rule on
discovery disputes concerning the
issuance of subpoenas. The party who
requests a subpoena would make a
written request asking the arbitrator(s)
to issue a subpoena and would send a
copy of the request and the requested
draft subpoena to the Director of
Arbitration, each arbitrator, and all
parties to the arbitration in a manner
reasonably expected to result in delivery
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17:52 Apr 12, 2007
Jkt 211001
to everyone on the same day. The
requesting party may not serve the
request or the requested draft subpoena
on any non-party.
If a party has an objection to the
propriety or scope of the subpoena, that
party would be required to file
objections in writing with the Director
of Arbitration and send copies to all
other parties, including each arbitrator,
within 10 days of service of the request
and draft subpoena. The party
requesting the subpoena could file a
reply to the objection within five days
of receipt of the objection. The
arbitrator(s) would determine the
propriety and scope of the requested
subpoena after the time period for filing
objections or replies had elapsed. If a
subpoena is issued by the arbitrator(s),
the party that requested the subpoena
would be required to serve the subpoena
at the same time and in the same
manner on all parties, and, if applicable,
on any non-party receiving the
subpoena.
Additionally, the proposed rule
change provides that any party that
receives documents in response to a
subpoena served upon a non-party must
provide notice to all other parties within
five days of receipt of the documents.
Thereafter, any party may request copies
of those documents and, if such a
request is made, the documents must be
provided within 10 days following
receipt of the request. The party
requesting the documents is responsible
for the reasonable costs associated with
the production of the copies, unless the
panel determines otherwise.
2. Statutory Basis
NYSE believes that the proposed rule
change is consistent with Section
6(b)(5) 5 of the Act in that the rule
change promotes just and equitable
principles of trade by ensuring that
members, member organizations and the
public have a fair and impartial forum
for the resolution of their disputes.
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 Commission published the
proposed amendments to Rule 619 (SR–
NYSE–2005–48) in the Federal Register
5 15
PO 00000
U.S.C. 78f(b)(5).
Frm 00092
Fmt 4703
Sfmt 4703
18711
on September 26, 2005. The
Commission received no comments in
response to the proposal.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Within 35 days of the date of
publication of this notice in the Federal
Register or within such longer period (i)
as the Commission may designate up to
90 days of such date if it finds such
longer period to be appropriate and
publishes its reasons for so finding or
(ii) as to which the self-regulatory
organization consents, the Commission
will:
(A) By order approve the proposed
rule change, or
(B) Institute proceedings to determine
whether the proposed rule change
should be disapproved.
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 e-mail to rulecomments@sec.gov. Please include File
Number SR–NYSE–2006–48 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–NYSE–2005–48. 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
E:\FR\FM\13APN1.SGM
13APN1
18712
Federal Register / Vol. 72, No. 71 / Friday, April 13, 2007 / Notices
the Commission’s Public Reference
Room. Copies of such filing also will be
available for inspection and copying at
the principal office of the NYSE. 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–NYSE–2005–48 and should be
submitted on or before May 4, 2007.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.6
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–7055 Filed 4–12–07; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–55600; File No. SR–NYSE–
2007–27]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Notice of
Filing of Proposed Rule Change and
Amendment Nos. 1 and 2 Thereto To
Adopt Generic Listing Standards for
Index-Linked Securities
April 9, 2007.
pwalker on PROD1PC71 with NOTICES
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 March 9,
2007, the New York Stock Exchange
LLC (‘‘NYSE’’ or ‘‘Exchange’’) filed with
the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change as described in
Items I, II, and III below, which Items
have been substantially prepared by the
Exchange. On April 4, 2007, the
Exchange filed Amendment No. 1 to the
proposed rule change. On April 5, 2007,
the Exchange filed Amendment No. 2 to
the proposed rule change. The
Commission is publishing this notice to
solicit comments on the proposed rule
change, as amended, from interested
persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to adopt
generic listing standards for equity
index-linked securities (‘‘Equity IndexLinked Securities’’), commodity-linked
securities (‘‘Commodity-Linked
Securities’’), and currency-linked
6 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
17:52 Apr 12, 2007
Jkt 211001
securities (‘‘Currency-Linked
Securities’’ and, together with Equity
Index-Linked Securities and
Commodity-Linked Securities, ‘‘IndexLinked Securities’’). The text of the
proposed rule change is available at
NYSE, the Commission’s Public
Reference Room, and www.nyse.com.
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 Exchange proposes to add new
Section 703.22 to its Listed Company
Manual (the ‘‘Manual’’) to provide
generic listing standards to permit the
listing and trading of Index-Linked
Securities pursuant to Rule 19b–4(e) 3
under the Act. The Exchange represents
that any securities it lists and/or trades
pursuant to proposed Section 703.22 of
the Manual will satisfy the standards set
forth therein. The Exchange states that
within five business days after
commencement of trading of an IndexLinked Security pursuant to proposed
Section 703.22 of the Manual, the
Exchange will file a Form 19b–4(e).4
the non-convertible debt of an issuer
that have a term of at least one year, but
not greater than thirty years, and are
tied to the performance of the
Underlying Index. Index-Linked
Securities may or may not make interest
payments based on dividends or other
cash distributions paid on the securities
comprising the Underlying Index or
Indexes to the holder during their term.
Despite the fact that Index-Linked
Securities are linked to an Underlying
Index, each will trade as a single,
exchange-listed security.
The Exchange represents that the
proposed generic listing standards will
not be applicable to Index-Linked
Securities with respect to which the
payment at maturity is based on a
multiple of the negative performance of
an Underlying Index or Indexes. An
Index-Linked Security may or may not
provide ‘‘principal protection,’’ i.e., a
minimum guaranteed amount to be
repaid.6 The Exchange believes that the
flexibility to list a variety of IndexLinked Securities will offer investors
the opportunity to more precisely focus
their specific investment strategies.
Index-Linked Securities do not give
the holder any right to receive a
portfolio component, dividend
payments, or any other ownership right
or interest in the portfolio or underlying
components comprising the Underlying
Index. Pursuant to proposed Section
703.22 of the Manual, the current or
composite value of the Underlying
Index will be widely disseminated at
least every 15 seconds during the
trading day.
Index-Linked Securities
Index-Linked Securities are designed
for investors who desire to participate in
a specific market segment by providing
exposure to one or more identifiable
underlying securities, commodities,
currencies, derivative instruments, or
market indexes of the foregoing (the
‘‘Underlying Index’’ or ‘‘Underlying
Indexes’’).5 Index-Linked Securities are
Proposed Listing Criteria for IndexLinked Securities
The Exchange will apply the
following requirements to all issuers of
Index-Linked Securities:
• If the issuer is a NYSE-listed
company, the entity must be a company
in good standing (i.e., meets NYSE’s
applicable continued listing criteria); if
the issuer is an affiliate of a NYSE-listed
company, the NYSE-listed company
must be a company in good standing; if
not listed, the issuer must meet the size
and earnings requirements of Sections
102.01–102.03 or Sections 103.01–
103.05 of the Manual. Sovereign issuers
3 Rule 19b–4(e) provides that the listing and
trading of a new derivative securities product by a
self-regulatory organization (‘‘SRO’’) shall not be
deemed a proposed rule change if the Commission
has approved the SRO’s trading rules, procedures,
and listing standards for the product class that
would include the new derivatives securities
product, and the SRO has a surveillance program
for the product class. See 17 CFR 240.19b–4(e)(1).
4 See 17 CFR 240.19b–4(e)(2)(ii).
5 The Exchange states that the holder of an IndexLinked Security may or may not be fully exposed
to the appreciation and/or depreciation of the
underlying component assets. For example, an
Index-Linked Security may be subject to a ‘‘cap’’ on
the maximum principal amount to be repaid to
holders or a ‘‘floor’’ on the minimum principal
amount to be repaid to holders at maturity.
6 Some Index-Linked Securities may provide for
‘‘contingent’’ protection of the principal amount,
whereby the principal protection may disappear if
the Underlying Index at any point in time during
the life of such security reaches a certain
predetermined level.
PO 00000
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]]>Agencies
[Federal Register Volume 72, Number 71 (Friday, April 13, 2007)]
[Notices]
[Pages 18710-18712]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-7055]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-55594; File No. SR-NYSE-2005-48]
Self-Regulatory Organizations; New York Stock Exchange LLC;
Notice of Filing of Amendments No. 1, 2, 3, and 4 Thereto to Proposed
Rule Change to Amend Rule 619 Pertaining to Subpoenas for the
Production of Documents and Appearances of Witnesses
April 6, 2007.
On July 13, 2005, pursuant to Section 19(b)(1) of the Securities
Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4 thereunder,\2\ the
New York Stock Exchange LLC (``NYSE'' or ``Exchange'') filed with the
Securities and Exchange Commission (``SEC'' or ``Commission'') a
proposed rule change to amend NYSE Rule 619, pertaining to subpoenas
for the production of documents and appearance of witnesses. The
proposed rule change was published for comment in the Federal Register
on September 26, 2005,\3\ and the Commission received no comments on
the proposal. On April 18, 2006, November 2, 2006, December 22, 2006,
and February 8, 2007, the NYSE filed Amendments No. 1, 2, 3, and 4,
respectively, to revise the rule change as described in Items I, II,
and III below, which Items have been prepared by the NYSE.\4\ The
Commission is publishing this notice to solicit comments on the
proposed rule change, as amended, from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ See Securities Exchange Act Release No. 52468 (Sept. 19,
2005), 70 FR 56201 (Sept. 26, 2005).
\4\ Amendment No. 1 clarified that only the arbitrator(s) may
issue subpoenas and delineated the manner in which a party may
request the issuance of a subpoena. Amendment No. 2 established a
time frame for the parties to make and respond to objections to the
requested subpoena and clarified that the arbitrator(s) may not rule
on such a request until this time period has elapsed. Amendment No.
3 made technical changes to the rule and clarified that the
arbitrator(s) must receive copies of any objections to the issuance
of a subpoena. Amendment No. 4 clarified that a party requesting a
subpoena may not serve the request or the draft subpoena on a non-
party.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
NYSE is proposing to revise Rule 619, which pertains to subpoenas
for the production of documents and the appearance of witnesses. Below
is the text of the proposed rule change. Proposed new language is
italicized and proposed deletions are in brackets.
* * * * *
(a) to (e) No change.
(f) Subpoenas.
(1) The arbitrator(s) [and any counsel of record to the
proceedings] may issue subpoenas for the production of documents or the
appearance of witnesses [shall have the power of the subpoena process
as provided by law. All parties shall be given a copy of the subpoena
upon its issuance. The parties shall produce witnesses and present
proofs to the fullest extent possible without resort to the subpoena
process.] The party who requests a subpoena must make a written request
asking the arbitrator(s) to issue a subpoena. The request, along with
the requested draft subpoena must be served directly on each other
party in a manner that is reasonably expected to cause the request and
the requested subpoena to be delivered to all parties on the same day.
The requesting party may not serve the request or the requested draft
subpoena on a non-party. The request and the requested subpoena must
also be filed with the Director of Arbitration, with additional copies
for each arbitrator, at the same time and in the same manner in which
they are served on the parties. The parties shall produce witnesses and
present proof at the hearing whenever possible without using subpoenas.
(2) In the event a party receiving such a request objects to the
scope or propriety of the subpoena, that party shall, within 10 days of
service of the request, file with the Director of Arbitration, with
copies to all other parties, written objections, including additional
copies for each arbitrator. The party seeking the subpoena may respond
thereto within five days of receipt of the objection. The arbitrator(s)
appointed shall rule promptly on the
[[Page 18711]]
issuance and scope of the subpoena after the time period for objections
and replies thereto has elapsed.
(3) If the arbitrator(s) issue a subpoena, the party that requested
the subpoena must serve the subpoena at the same time and in the same
manner on all parties, and, if applicable, on any non-party receiving
the subpoena.
(4) Any party that receives documents in response to a subpoena
served upon a non-party shall provide notice to all other parties
within five days of receipt of the documents. Thereafter, any party may
request copies of such documents and, if such a request is made, the
documents must be provided within 10 days following receipt of the
request. The party requesting the documents shall be responsible for
the reasonable costs associated with the production of the copies,
unless the panel determines otherwise.
(g) No change.
* * * * *
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 NYSE included statements
concerning the purpose of and basis for the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. The NYSE 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
Proposal
In the initial rule filing, the Exchange proposed to revise NYSE
Rule 619 to provide for a 10-day notice period requirement before a
party issues a subpoena to a non-party for pre-hearing discovery. Under
the proposed rule change only the arbitrator(s) may issue subpoenas for
the production of documents and the appearance of witnesses. In
addition, the arbitrator(s), and not the courts, would rule on
discovery disputes concerning the issuance of subpoenas. The party who
requests a subpoena would make a written request asking the
arbitrator(s) to issue a subpoena and would send a copy of the request
and the requested draft subpoena to the Director of Arbitration, each
arbitrator, and all parties to the arbitration in a manner reasonably
expected to result in delivery to everyone on the same day. The
requesting party may not serve the request or the requested draft
subpoena on any non-party.
If a party has an objection to the propriety or scope of the
subpoena, that party would be required to file objections in writing
with the Director of Arbitration and send copies to all other parties,
including each arbitrator, within 10 days of service of the request and
draft subpoena. The party requesting the subpoena could file a reply to
the objection within five days of receipt of the objection. The
arbitrator(s) would determine the propriety and scope of the requested
subpoena after the time period for filing objections or replies had
elapsed. If a subpoena is issued by the arbitrator(s), the party that
requested the subpoena would be required to serve the subpoena at the
same time and in the same manner on all parties, and, if applicable, on
any non-party receiving the subpoena.
Additionally, the proposed rule change provides that any party that
receives documents in response to a subpoena served upon a non-party
must provide notice to all other parties within five days of receipt of
the documents. Thereafter, any party may request copies of those
documents and, if such a request is made, the documents must be
provided within 10 days following receipt of the request. The party
requesting the documents is responsible for the reasonable costs
associated with the production of the copies, unless the panel
determines otherwise.
2. Statutory Basis
NYSE believes that the proposed rule change is consistent with
Section 6(b)(5) \5\ of the Act in that the rule change promotes just
and equitable principles of trade by ensuring that members, member
organizations and the public have a fair and impartial forum for the
resolution of their disputes.
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\5\ 15 U.S.C. 78f(b)(5).
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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 Commission published the proposed amendments to Rule 619 (SR-
NYSE-2005-48) in the Federal Register on September 26, 2005. The
Commission received no comments in response to the proposal.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Within 35 days of the date of publication of this notice in the
Federal Register or within such longer period (i) as the Commission may
designate up to 90 days of such date if it finds such longer period to
be appropriate and publishes its reasons for so finding or (ii) as to
which the self-regulatory organization consents, the Commission will:
(A) By order approve the proposed rule change, or
(B) Institute proceedings to determine whether the proposed rule
change should be disapproved.
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 e-mail to rule-comments@sec.gov. Please include File
Number SR-NYSE-2006-48 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-NYSE-2005-48. 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
[[Page 18712]]
the Commission's Public Reference Room. Copies of such filing also will
be available for inspection and copying at the principal office of the
NYSE. 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-
NYSE-2005-48 and should be submitted on or before May 4, 2007.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\6\
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\6\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-7055 Filed 4-12-07; 8:45 am]
BILLING CODE 8010-01-P
