Self-Regulatory Organizations; National Securities Clearing Corporation; Notice of Filing of a Proposed Rule Change To Amend Its Rules and Procedures With Regard to the Automated Customer Account Transfer Service (ACATS) and ACATS Fund/SERV Processing, 52416-52418 [E7-18077]
Download as PDF
52416
Federal Register / Vol. 72, No. 177 / Thursday, September 13, 2007 / Notices
thereby creating greater efficiency in the
account transfer process and improving
customers’ experience with the account
transfer process.
(B) Self-Regulatory Organization’s
Statement on Burden on Competition
FINRA does not believe that the
proposed rule change will result in 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
Written comments were neither
solicited nor received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Within thirty-five 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 ninety 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 such 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.4
Comments may be submitted by any of
the following methods:
ebenthall on PRODPC61 with 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–FINRA–2007–005 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–FINRA–2007–005. This file
number should be included on the
4 The Commission also seeks comment on the
effect of the proposed rule change on the business
relationships of introducing firms.
VerDate Aug<31>2005
15:29 Sep 12, 2007
Jkt 211001
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, 100 F. Street, NE., Washington,
DC 20549, on official business days
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 FINRA and on
FINRA’s Web site at https://
www.finra.org/web/groups/rules_regs/
documents/rule_filing/p036409.pdf. 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–FINRA–2007–005 and
should be submitted on or before
October 4, 2007.
For the Commission by the Division of
Market Regulation, pursuant to delegated
authority.5
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–18075 Filed 9–12–07; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–56372; File No. SR–NSCC–
2007–13]
Self-Regulatory Organizations;
National Securities Clearing
Corporation; Notice of Filing of a
Proposed Rule Change To Amend Its
Rules and Procedures With Regard to
the Automated Customer Account
Transfer Service (ACATS) and ACATS
Fund/SERV Processing
September 7, 2007.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 notice is hereby given that on
5 17
1 15
PO 00000
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
Frm 00073
Fmt 4703
Sfmt 4703
August 15, 2007, National Securities
Clearing Corporation (‘‘NSCC’’) filed
with the Securities and Exchange
Commission (‘‘Commission’’) the
proposed rule change described in Items
I, II, and III below, which items have
been prepared primarily by NSCC. The
Commission is publishing this notice to
solicit comments from interested
persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The proposed rule change consists of
modifications to NSCC’s Rules and
Procedures relating to its Automated
Customer Account Transfer Service
(‘‘ACATS’’) and ACATS Fund/SERV
processing.
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
NSCC 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. NSCC has prepared
summaries, set forth in sections (A), (B),
and (C) below, of the most significant
aspects of these statements.2
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
The purpose of the proposed rule
change is to modify NSCC’s Rules as
necessary to shorten the account
transfer time frame with respect to
certain types of ACATS and ACATS
Fund/SERV transfers.3
1. Background
ACATS enables members of NSCC to
effect automated transfers of customer
accounts among themselves. In
operation since 1985, ACATS was
designed to facilitate compliance with
New York Stock Exchange (‘‘NYSE’’)
Rule 412 and National Association of
Securities Dealers (‘‘NASD’’) 4 Uniform
2 The Commission has modified the text of the
summaries prepared by NSCC.
3 Rule 50 (Automated Customer Account Transfer
Service) is generally nonspecific with respect to
account transfer time frames. Rule 52 (Mutual Fund
Services), Section 16 (ACAT/Transfers) is
nonspecific with respect to account transfer time
frames and does not require modification.
4 Rule 50 (Automated Customer Account Transfer
Service) is generally nonspecific with respect to
account transfer time frames. Rule 52 (Mutual Fund
Services), Section 16 (ACAT/Transfers) is
nonspecific with respect to account transfer time
frames and does not require modification.
E:\FR\FM\13SEN1.SGM
13SEN1
Federal Register / Vol. 72, No. 177 / Thursday, September 13, 2007 / Notices
Practice Code Section 11870 that require
NYSE and NASD members to use
automated clearing agency customer
account transfer services and to effect
customer account transfers within
specified time frames. ACATS has been
modified over time, with its most
significant redesign in 1999, to provide
NSCC members with a more seamless
and timely customer account transfer
process.5
2. Proposed Modifications
NSCC, its members, the Customer
Account Division of the Securities
Industry and Financial Markets
Association (‘‘SIFMA’’), NYSE, and
NASD believe that because technology
and processing has improved since the
1999 redesign additional modifications
to ACATS processing can be made that
will further enhance the timeliness and
efficiency of customer account transfers.
FINRA has submitted a comparable rule
filing on behalf of the NYSE and NASD
with the Commission.6
(a) Standard ACATS Transfers
Standard ACATS transfers currently
include a three business day ‘‘Request’’
period. The proposed change will
reduce the ‘‘Request’’ time frame from
three business days to one business day.
The time frame within which an
account transfer may be responded to
(i.e., accepted or rejected) will
accordingly be shortened.7
(b) Nonstandard ACATS Transfers—
Partial Transfer Receiver
ebenthall on PRODPC61 with NOTICES
Partial Transfers may be generated by
either the Receiving Member (Partial
Transfer Receiver or ‘‘PTR’’) or the
Delivering Member (Partial Transfer
Deliverer or ‘‘PTD’’). PTRs currently
have a two business day ‘‘Request’’
period. The proposed change will
reduce the ‘‘Request’’ time frame from
two business days to one business day.
The time frame within which an
account transfer may be responded to
(i.e., accepted or rejected) will
accordingly be shortened.8
5 The NASD is now known as The Financial
Industry Regulatory Authority, Inc. (‘‘FINRA’’).
6 Securities Exchange Act Release No. 56373
(September 7, 2007) (notice of filing of proposed
rule change) [File No. SR–FINRA–2007–005].
7 In addition to changes to the ‘‘Request’’ period,
NSCC proposes to modify the ACATS ‘‘status’’ time
frames for Request-Adjust, Request-Adjust Past,
Request-Past, and Review-Error, from a maximum
of three business days to a maximum of one
business day. Rule 50 is nonspecific with respect
to these time frames.
8 Other non-standard transfers are: fail reversals,
reclaims, and residual credits (see Rule 50, Sec. 12).
PTD’s do not have a ‘‘Request’’ status.
VerDate Aug<31>2005
15:29 Sep 12, 2007
Jkt 211001
(c) ACAT Fund/SERV
In an ACAT transfer that includes
mutual fund assets, during the
‘‘Review’’ period the Receiving Member
(or if applicable its ACATS-Fund/SERV
Agent) requests the reregistration of
mutual fund assets by submitting a
Fund Registration input record through
ACATS to the Fund Member/Mutual
Fund Processor. The Fund Member/
Mutual Fund Processor then has four
business days to either reject or
acknowledge the request.
NSCC has found that the majority of
Fund Member/Mutual Fund Processors
act upon such requests during the first
day of receipt. Therefore, NSCC is
proposing to reduce the time frame from
four business days to one business day.
3. Technical Correction to Rule 50
NSCC is also making a technical
correction to Rule 50, Section 13.
Section 13 (which addresses Receiving
Member initiated Partial Transfers)
states that a Delivering Member may
respond to a request at any time by
following the procedure set forth in
Section 12. However, Section 12
addresses actions taken with respect to
Delivering Member initiated
transactions. NSCC is correcting this
text accordingly.
4. Implementation of the Proposed
Changes:
NSCC is coordinating implementation
of the proposed changes with FINRA
and SIFMA. Contingent upon the
Commission’s approval of the NSCC and
FINRA proposed changes, NSCC
anticipates that implementation of the
changes set forth in this rule filing will
take place in October of 2007. Members
will be advised of the implementation
through an NSCC Important Notice.
Section 17A(b)(3)(F) of the Act
requires, among other things, that the
rules of a clearing agency be designed to
remove impediments to and perfect the
mechanism of a national system for
prompt and accurate clearance and
settlement of securities transactions.9 By
reducing the time frame for the transfer
of customer accounts between NSCC
members, the proposed amendments
will bring enhanced efficiency to
members and benefit their customers.
As such, the proposed rule change is
consistent with NSCC’s statutory
obligation to remove impediments to
and perfect the mechanism of a national
system for prompt and accurate
clearance and settlement of securities
transactions.
9 15
PO 00000
U.S.C. 78q–1(b)(3)(F).
Frm 00074
Fmt 4703
Sfmt 4703
52417
B. Self-Regulatory Organization’s
Statement on Burden on Competition
NSCC does not believe that the
proposed rule change will have any
impact or impose any burden on
competition.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
Written comments relating to the
proposed rule change have not yet been
solicited or received. NSCC will notify
the Commission of any written
comments received by NSCC.
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 such 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 an e-mail to rulecomments@sec.gov. Please include File
Number SR–NSCC–2007–13 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–NSCC–2007–13. 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/
E:\FR\FM\13SEN1.SGM
13SEN1
52418
Federal Register / Vol. 72, No. 177 / Thursday, September 13, 2007 / Notices
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, 100 F Street, NE., Washington,
DC 20549, on official business days
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 NSCC and on
NSCC’s Web site at https://
www.dtcc.com/downloads/legal/
rule_filings/2007/nscc/2007–13.pdf. 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–NSCC–2007–13 and should
be submitted on or before October 4,
2007.
For the Commission by the Division of
Market Regulation, pursuant to delegated
authority.10
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7–18077 Filed 9–12–07; 8:45 am]
BILLING CODE 8010–01–P
DEPARTMENT OF STATE
[Public Notice 5934]
ebenthall on PRODPC61 with NOTICES
Culturally Significant Objects Imported
for Exhibition Determinations: ‘‘The
Arts of Kashmir’’
SUMMARY: Notice is hereby given of the
following determinations: Pursuant to
the authority vested in me by the Act of
October 19, 1965 (79 Stat. 985; 22 U.S.C.
2459), Executive Order 12047 of March
27, 1978, the Foreign Affairs Reform and
Restructuring Act of 1998 (112 Stat.
2681, et seq.; 22 U.S.C. 6501 note, et
seq.), Delegation of Authority No. 234 of
October 1, 1999, Delegation of Authority
No. 236 of October 19, 1999, as
amended, and Delegation of Authority
No. 257 of April 15, 2003 [68 FR 19875],
I hereby determine that the objects to be
included in the exhibition ‘‘The Arts of
Kashmir,’’ imported from abroad for
temporary exhibition within the United
10 17
CFR 200.30–3(a)(12).
VerDate Aug<31>2005
15:29 Sep 12, 2007
Jkt 211001
States, are of cultural significance. The
objects are imported pursuant to loan
agreements with the foreign owners or
custodians. I also determine that the
exhibition or display of the exhibit
objects at the Asia Society, New York,
New York, from on or about October 1,
2007, until on or about January 6, 2008,
and at the Cincinnati Art Museum,
Cincinnati, Ohio, from on or about June
28, 2008 to on or about September 21,
2008, and at possible additional
exhibitions or venues yet to be
determined, is in the national interest.
Public Notice of these Determinations is
ordered to be published in the Federal
Register.
FOR FURTHER INFORMATION CONTACT: For
further information, including a list of
the exhibit objects, contact Wolodymyr
Sulzynsky, Attorney-Adviser, Office of
the Legal Adviser, U.S. Department of
State (telephone: 202/453–8050). The
address is U.S. Department of State, SA–
44, 301 4th Street, SW., Room 700,
Washington, DC 20547–0001.
November 15, 2007, until on or about
February 11, 2008, and at possible
additional exhibitions or venues yet to
be determined, is in the national
interest. Public Notice of these
Determinations is ordered to be
published in the Federal Register.
Dated: September 6, 2007.
C. Miller Crouch,
Principal Deputy Assistant Secretary for
Educational and Cultural Affairs, Department
of State.
[FR Doc. E7–18082 Filed 9–12–07; 8:45 am]
DEPARTMENT OF STATE
BILLING CODE 4710–05–P
DEPARTMENT OF STATE
[Public Notice 5933]
Culturally Significant Objects Imported
for Exhibition Determinations: ‘‘Fragile
Diplomacy: Meissen Porcelain for
European Courts’’
SUMMARY: Notice is hereby given of the
following determinations: Pursuant to
the authority vested in me by the Act of
October 19, 1965 (79 Stat. 985; 22 U.S.C.
2459), Executive Order 12047 of March
27, 1978, the Foreign Affairs Reform and
Restructuring Act of 1998 (112 Stat.
2681, et seq.; 22 U.S.C. 6501 note, et
seq.), Delegation of Authority No. 234 of
October 1, 1999, Delegation of Authority
No. 236 of October 19, 1999, as
amended, and Delegation of Authority
No. 257 of April 15, 2003 [68 FR 19875],
I hereby determine that the objects to be
included in the exhibition ‘‘Fragile
Diplomacy: Meissen Porcelain for
European Courts,’’ imported from
abroad for temporary exhibition within
the United States, are of cultural
significance. The objects are imported
pursuant to loan agreements with the
foreign owners or custodians. I also
determine that the exhibition or display
of the exhibit objects at the Bard
Graduate Center, from on or about
PO 00000
Frm 00075
Fmt 4703
Sfmt 4703
For
further information, including a list of
the exhibit objects, contact Carol B.
Epstein, Attorney-Adviser, Office of the
Legal Adviser, U.S. Department of State
(telephone: 202/453–8048). The address
is U.S. Department of State, SA–44, 301
4th Street, SW., Room 700, Washington,
DC 20547–0001.
FOR FURTHER INFORMATION CONTACT:
Dated: August 31, 2007.
C. Miller Crouch,
Principal Deputy Assistant Secretary for
Educational and Cultural Affairs, Department
of State.
[FR Doc. E7–18093 Filed 9–12–07; 8:45 am]
BILLING CODE 4710–05–P
[Delegation of Authority No. 122–7]
Delegation by the Deputy Secretary of
State to the Assistant Secretary of
State for Oceans and International
Environmental and Scientific Affairs of
Authorities Related to Appointment of
Yukon River Salmon Panel Members
By virtue of the authority vested in
the Secretary of State, including section
1 of the State Department Basic
Authorities Act, as amended (22 U.S.C.
2651a), and delegated to the Deputy
Secretary of State pursuant to
Delegation of Authority 245 of April 23,
2001, I hereby delegate to the Assistant
Secretary of State for Oceans and
International Environmental and
Scientific Affairs the functions vested in
the Secretary of State by section 202 of
the Yukon River Salmon Act of 2000 (16
U.S.C. 5721), regarding the appointment
of panel members and alternate panel
members.
Any function covered by this
delegation may also be exercised by the
Secretary of State or the Deputy
Secretary of State.
This delegation shall be published in
the Federal Register.
Dated: August 6, 2007.
John D. Negroponte,
Deputy Secretary of State, Department of
State.
[FR Doc. E7–18094 Filed 9–12–07; 8:45 am]
BILLING CODE 4710–10–P
E:\FR\FM\13SEN1.SGM
13SEN1
Agencies
[Federal Register Volume 72, Number 177 (Thursday, September 13, 2007)]
[Notices]
[Pages 52416-52418]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-18077]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-56372; File No. SR-NSCC-2007-13]
Self-Regulatory Organizations; National Securities Clearing
Corporation; Notice of Filing of a Proposed Rule Change To Amend Its
Rules and Procedures With Regard to the Automated Customer Account
Transfer Service (ACATS) and ACATS Fund/SERV Processing
September 7, 2007.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on August 15, 2007, National
Securities Clearing Corporation (``NSCC'') filed with the Securities
and Exchange Commission (``Commission'') the proposed rule change
described in Items I, II, and III below, which items have been prepared
primarily by NSCC. The Commission is publishing this notice to solicit
comments from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The proposed rule change consists of modifications to NSCC's Rules
and Procedures relating to its Automated Customer Account Transfer
Service (``ACATS'') and ACATS Fund/SERV processing.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, NSCC 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. NSCC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of these
statements.\2\
---------------------------------------------------------------------------
\2\ The Commission has modified the text of the summaries
prepared by NSCC.
---------------------------------------------------------------------------
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
The purpose of the proposed rule change is to modify NSCC's Rules
as necessary to shorten the account transfer time frame with respect to
certain types of ACATS and ACATS Fund/SERV transfers.\3\
---------------------------------------------------------------------------
\3\ Rule 50 (Automated Customer Account Transfer Service) is
generally nonspecific with respect to account transfer time frames.
Rule 52 (Mutual Fund Services), Section 16 (ACAT/Transfers) is
nonspecific with respect to account transfer time frames and does
not require modification.
---------------------------------------------------------------------------
1. Background
ACATS enables members of NSCC to effect automated transfers of
customer accounts among themselves. In operation since 1985, ACATS was
designed to facilitate compliance with New York Stock Exchange
(``NYSE'') Rule 412 and National Association of Securities Dealers
(``NASD'') \4\ Uniform
[[Page 52417]]
Practice Code Section 11870 that require NYSE and NASD members to use
automated clearing agency customer account transfer services and to
effect customer account transfers within specified time frames. ACATS
has been modified over time, with its most significant redesign in
1999, to provide NSCC members with a more seamless and timely customer
account transfer process.\5\
---------------------------------------------------------------------------
\4\ Rule 50 (Automated Customer Account Transfer Service) is
generally nonspecific with respect to account transfer time frames.
Rule 52 (Mutual Fund Services), Section 16 (ACAT/Transfers) is
nonspecific with respect to account transfer time frames and does
not require modification.
\5\ The NASD is now known as The Financial Industry Regulatory
Authority, Inc. (``FINRA'').
---------------------------------------------------------------------------
2. Proposed Modifications
NSCC, its members, the Customer Account Division of the Securities
Industry and Financial Markets Association (``SIFMA''), NYSE, and NASD
believe that because technology and processing has improved since the
1999 redesign additional modifications to ACATS processing can be made
that will further enhance the timeliness and efficiency of customer
account transfers. FINRA has submitted a comparable rule filing on
behalf of the NYSE and NASD with the Commission.\6\
---------------------------------------------------------------------------
\6\ Securities Exchange Act Release No. 56373 (September 7,
2007) (notice of filing of proposed rule change) [File No. SR-FINRA-
2007-005].
---------------------------------------------------------------------------
(a) Standard ACATS Transfers
Standard ACATS transfers currently include a three business day
``Request'' period. The proposed change will reduce the ``Request''
time frame from three business days to one business day. The time frame
within which an account transfer may be responded to (i.e., accepted or
rejected) will accordingly be shortened.\7\
---------------------------------------------------------------------------
\7\ In addition to changes to the ``Request'' period, NSCC
proposes to modify the ACATS ``status'' time frames for Request-
Adjust, Request-Adjust Past, Request-Past, and Review-Error, from a
maximum of three business days to a maximum of one business day.
Rule 50 is nonspecific with respect to these time frames.
---------------------------------------------------------------------------
(b) Nonstandard ACATS Transfers--Partial Transfer Receiver
Partial Transfers may be generated by either the Receiving Member
(Partial Transfer Receiver or ``PTR'') or the Delivering Member
(Partial Transfer Deliverer or ``PTD''). PTRs currently have a two
business day ``Request'' period. The proposed change will reduce the
``Request'' time frame from two business days to one business day. The
time frame within which an account transfer may be responded to (i.e.,
accepted or rejected) will accordingly be shortened.\8\
---------------------------------------------------------------------------
\8\ Other non-standard transfers are: fail reversals, reclaims,
and residual credits (see Rule 50, Sec. 12). PTD's do not have a
``Request'' status.
---------------------------------------------------------------------------
(c) ACAT Fund/SERV
In an ACAT transfer that includes mutual fund assets, during the
``Review'' period the Receiving Member (or if applicable its ACATS-
Fund/SERV Agent) requests the reregistration of mutual fund assets by
submitting a Fund Registration input record through ACATS to the Fund
Member/Mutual Fund Processor. The Fund Member/Mutual Fund Processor
then has four business days to either reject or acknowledge the
request.
NSCC has found that the majority of Fund Member/Mutual Fund
Processors act upon such requests during the first day of receipt.
Therefore, NSCC is proposing to reduce the time frame from four
business days to one business day.
3. Technical Correction to Rule 50
NSCC is also making a technical correction to Rule 50, Section 13.
Section 13 (which addresses Receiving Member initiated Partial
Transfers) states that a Delivering Member may respond to a request at
any time by following the procedure set forth in Section 12. However,
Section 12 addresses actions taken with respect to Delivering Member
initiated transactions. NSCC is correcting this text accordingly.
4. Implementation of the Proposed Changes:
NSCC is coordinating implementation of the proposed changes with
FINRA and SIFMA. Contingent upon the Commission's approval of the NSCC
and FINRA proposed changes, NSCC anticipates that implementation of the
changes set forth in this rule filing will take place in October of
2007. Members will be advised of the implementation through an NSCC
Important Notice.
Section 17A(b)(3)(F) of the Act requires, among other things, that
the rules of a clearing agency be designed to remove impediments to and
perfect the mechanism of a national system for prompt and accurate
clearance and settlement of securities transactions.\9\ By reducing the
time frame for the transfer of customer accounts between NSCC members,
the proposed amendments will bring enhanced efficiency to members and
benefit their customers. As such, the proposed rule change is
consistent with NSCC's statutory obligation to remove impediments to
and perfect the mechanism of a national system for prompt and accurate
clearance and settlement of securities transactions.
---------------------------------------------------------------------------
\9\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
NSCC does not believe that the proposed rule change will have any
impact or impose any burden on competition.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
Written comments relating to the proposed rule change have not yet
been solicited or received. NSCC will notify the Commission of any
written comments received by NSCC.
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 such 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 an e-mail to rule-comments@sec.gov. Please include
File Number SR-NSCC-2007-13 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-NSCC-2007-13. 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/
[[Page 52418]]
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, 100 F Street,
NE., Washington, DC 20549, on official business days 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 NSCC and on NSCC's
Web site at https://www.dtcc.com/downloads/legal/rule_filings/2007/
nscc/2007-13.pdf. 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-
NSCC-2007-13 and should be submitted on or before October 4, 2007.
For the Commission by the Division of Market Regulation,
pursuant to delegated authority.\10\
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\10\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-18077 Filed 9-12-07; 8:45 am]
BILLING CODE 8010-01-P