Self-Regulatory Organizations; International Securities Exchange, LLC; Order Approving Proposed Rule Change as Modified by Amendment No. 1 Thereto To Remove Certain Rules From Its Rulebook, 45848 [E7-15902]

Download as PDF 45848 Federal Register / Vol. 72, No. 157 / Wednesday, August 15, 2007 / Notices between the hours of 10 a.m. and 3 p.m. Copies of such filing also will be available for inspection and copying at the principal office of the CBOE. All comments received will be posted without change; the Commission does not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR–CBOE–2007–83 and should be submitted on or before September 5, 2007. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.12 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–15901 Filed 8–14–07; 8:45 am] BILLING CODE 8010–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–56225; File No. SR–ISE– 2007–32] Self-Regulatory Organizations; International Securities Exchange, LLC; Order Approving Proposed Rule Change as Modified by Amendment No. 1 Thereto To Remove Certain Rules From Its Rulebook August 8, 2007. On May 9, 2007, the International Securities Exchange, LLC (the ‘‘Exchange’’ or the ‘‘ISE’’), filed with the Securities and Exchange Commission (‘‘Commission’’), pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’) 1 and Rule 19b–4 thereunder,2 a proposed rule change to remove certain ISE rules. On June 8, 2007, ISE filed Amendment No. 1 to the proposed rule change. The proposed rule change was published for comment in the Federal Register on June 27, 2007.3 The Commission received no comments on the proposal. The Commission finds that the proposed rule change is consistent with the requirements of the Act and the rules and regulations thereunder applicable to a registered securities exchange.4 In particular, the Commission finds that the proposed rule change is consistent with Section 6(b)(5) of the Act,5 which requires, 12 17 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. 55936 (June 21, 2007), 72 FR 35276 (‘‘Notice’’). 4 In approving this proposal, the Commission considered the proposed rule’s impact on efficiency, competition and capital formation. 15 U.S.C. 78c(f). 5 15 U.S.C. 78f(b)(5). ebenthall on PROD1PC69 with NOTICES 1 15 VerDate Aug<31>2005 17:41 Aug 14, 2007 Jkt 211001 among other things, that the Exchange’s rules be designed to promote just and equitable principles of trade, to remove impediments to and perfect the mechanism for a free and open market and a national market system, and, in general, to protect investors and the public interest. The ISE proposes to remove Rule 403 (Nominal Employment), Rule 605 (Other Affiliations of Registered Persons), and Rule 615 (Addressing of Communications to Customers). The Exchange believes that the concern addressed by Rule 403, which prohibits members from obtaining business by employing a person in a nominal position, is adequately addressed in existing Rule 406, which limits gratuities.6 The Exchange also believes that Rule 605, which effectively prohibits registered persons of its members from engaging in outside business activities unless approved by the Exchange or the member’s designated examining authority, is no longer necessary given significant market structure changes.7 Lastly, the Exchange believes that Rule 615 is unnecessary as ISE members are also subject to ISE Rules 600 and 2114, which effectively require ISE members that do a public business to be registered with FINRA, and the Exchange believes that the FINRA rules pertaining to the customer communication policies for its members conducting a public business should sufficiently address the topic covered by Rule 615. The Commission therefore believes it is consistent with the Act for the Exchange to delete these rules. It is therefore ordered, pursuant to Section 19(b)(2) of the Act,8 that the proposed rule change (File No. SR–ISE– 2007–32), as modified by Amendment No. 1, be, and hereby is, approved. For the Commission, by the Division of Market Regulation, pursuant to delegated authority.9 Florence E. Harmon, Deputy Secretary. [FR Doc. E7–15902 Filed 8–14–07; 8:45 am] BILLING CODE 8010–01–P 6 Rule 406 prohibits a member from giving any compensation or gratuity in any one year in excess of $50.00 to any employee of the Exchange or in excess of $100.00 to any employee of any other member or of any non-member broker, dealer, bank or institution, without the prior consent of the employer and of the Exchange. 7 The Exchange also notes that rules of the Financial Industry Regulatory Authority Inc. (‘‘FINRA’’)(f/k/a the National Association of Securities Dealers, Inc.) governing its members’ dealing with the public do not have a comparable provision. 8 15 U.S.C. 78s(b)(2). 9 17 CFR 200.30–3(a)(12). PO 00000 Frm 00126 Fmt 4703 Sfmt 4703 SECURITIES AND EXCHANGE COMMISSION [Release No. 34–56228; File No. SR– NASDAQ–2007–056] Self-Regulatory Organizations; The NASDAQ Stock Market LLC; Notice of Filing of Proposed Rule Change and Amendment No. 2 Thereto, To Modify Pricing for Nasdaq Members Using the Nasdaq Market Center August 8, 2007. 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 1, 2007, The NASDAQ Stock Market LLC (‘‘Nasdaq’’) 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 prepared by Nasdaq. On July 27, 2007, Nasdaq filed Amendment No. 1. On August 6, 2007, Nasdaq withdrew Amendment No. 1 and filed Amendment No. 2, which replaced the text of the original filing in its entirety. The Commission is publishing this notice to solicit comment 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 Nasdaq proposes to modify pricing for the Nasdaq Market Center. Nasdaq will make the proposed rule change effective retroactively as of February 12, 2007. The text of the proposed rule change appears below. Proposed new language is italicized and proposed deletions are in brackets.3 * * * * * 7013. Consolidated Quotation Service and Exchange-Listed Securities Transaction Credit (a) No change. (b) Nasdaq members that trade securities listed on [the NYSE (‘‘Tape A’’) and] Amex (‘‘Tape B’’) through Nasdaq may receive from Nasdaq transaction credits based on the number 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 Changes are marked to the rule text that appears in the electronic Nasdaq Manual found at http:// nasdaq.complinet.com. 2 17 E:\FR\FM\15AUN1.SGM 15AUN1

Agencies

[Federal Register Volume 72, Number 157 (Wednesday, August 15, 2007)]
[Notices]
[Page 45848]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-15902]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-56225; File No. SR-ISE-2007-32]


Self-Regulatory Organizations; International Securities Exchange, 
LLC; Order Approving Proposed Rule Change as Modified by Amendment No. 
1 Thereto To Remove Certain Rules From Its Rulebook

 August 8, 2007.
    On May 9, 2007, the International Securities Exchange, LLC (the 
``Exchange'' or the ``ISE''), filed with the Securities and Exchange 
Commission (``Commission''), pursuant to Section 19(b)(1) of the 
Securities Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4 
thereunder,\2\ a proposed rule change to remove certain ISE rules. On 
June 8, 2007, ISE filed Amendment No. 1 to the proposed rule change. 
The proposed rule change was published for comment in the Federal 
Register on June 27, 2007.\3\ The Commission received no comments on 
the proposal.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 55936 (June 21, 
2007), 72 FR 35276 (``Notice'').
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    The Commission finds that the proposed rule change is consistent 
with the requirements of the Act and the rules and regulations 
thereunder applicable to a registered securities exchange.\4\ In 
particular, the Commission finds that the proposed rule change is 
consistent with Section 6(b)(5) of the Act,\5\ which requires, among 
other things, that the Exchange's rules be designed to promote just and 
equitable principles of trade, to remove impediments to and perfect the 
mechanism for a free and open market and a national market system, and, 
in general, to protect investors and the public interest.
---------------------------------------------------------------------------

    \4\ In approving this proposal, the Commission considered the 
proposed rule's impact on efficiency, competition and capital 
formation. 15 U.S.C. 78c(f).
    \5\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    The ISE proposes to remove Rule 403 (Nominal Employment), Rule 605 
(Other Affiliations of Registered Persons), and Rule 615 (Addressing of 
Communications to Customers). The Exchange believes that the concern 
addressed by Rule 403, which prohibits members from obtaining business 
by employing a person in a nominal position, is adequately addressed in 
existing Rule 406, which limits gratuities.\6\ The Exchange also 
believes that Rule 605, which effectively prohibits registered persons 
of its members from engaging in outside business activities unless 
approved by the Exchange or the member's designated examining 
authority, is no longer necessary given significant market structure 
changes.\7\ Lastly, the Exchange believes that Rule 615 is unnecessary 
as ISE members are also subject to ISE Rules 600 and 2114, which 
effectively require ISE members that do a public business to be 
registered with FINRA, and the Exchange believes that the FINRA rules 
pertaining to the customer communication policies for its members 
conducting a public business should sufficiently address the topic 
covered by Rule 615. The Commission therefore believes it is consistent 
with the Act for the Exchange to delete these rules.
---------------------------------------------------------------------------

    \6\ Rule 406 prohibits a member from giving any compensation or 
gratuity in any one year in excess of $50.00 to any employee of the 
Exchange or in excess of $100.00 to any employee of any other member 
or of any non-member broker, dealer, bank or institution, without 
the prior consent of the employer and of the Exchange.
    \7\ The Exchange also notes that rules of the Financial Industry 
Regulatory Authority Inc. (``FINRA'')(f/k/a the National Association 
of Securities Dealers, Inc.) governing its members' dealing with the 
public do not have a comparable provision.
---------------------------------------------------------------------------

    It is therefore ordered, pursuant to Section 19(b)(2) of the 
Act,\8\ that the proposed rule change (File No. SR-ISE-2007-32), as 
modified by Amendment No. 1, be, and hereby is, approved.
---------------------------------------------------------------------------

    \8\ 15 U.S.C. 78s(b)(2).

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\9\
---------------------------------------------------------------------------

    \9\ 17 CFR 200.30-3(a)(12).

Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-15902 Filed 8-14-07; 8:45 am]
BILLING CODE 8010-01-P