Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change, as Modified by Amendment No. 1 Thereto, Relating to Fee Waiver, 4035-4036 [E8-1011]

Download as PDF Federal Register / Vol. 73, No. 15 / Wednesday, January 23, 2008 / Notices BSE’s initiative designed to allow trading in penny increments.95 J. Acceleration of Proposed Rule Change as Amended The Commission finds good cause to approve the proposal prior to the thirtieth day after the proposal was published for comment in the Federal Register. The proposed rule change, as modified by Amendment No. 1, was published for full notice and comment.96 The Commission believes that the changes made in Amendment No. 3 generally strengthen the proposal. In Amendment No. 3, BSE made several changes to clarify its rules,97 respond to commenters,98 and comply with the requirements of the Act.99 The Commission believes that it has received and fully considered substantial, meaningful comments with respect to the BSE’s proposal, as amended, and that Amendment No. 3 does not raise issues that warrant further delay. For these reasons, the Commission finds good cause, consistent with section 19(b)(2) of the Act,100 to grant accelerated approval of the proposed rule change, as amended. ebenthall on PROD1PC69 with NOTICES V. Conclusion It is therefore ordered, pursuant to section 19(b)(2) of the Act,101 that the 95 The Exchange has represented that it will provide the Commission with statistics regarding the UPIP for those classes included in the Penny Pilot. See BSE Letter, supra note 5, at 8. 96 See Notice, supra note 3. 97 See, e.g., BSE clarifies that: The definition of an Eligible Order does not include ‘‘fill or kill’’ orders; the UPIP auction will only be available for certain classes of options as determined from timeto-time by BOX; the cancellation of the UPIP Order will result in the cancellation of the related Improvement Orders and the UPIP auction itself; any unexecuted portion of an Improvement Order will be cancelled; time priority will prevail between a Proprietary Improvement Order and an Improvement Order submitted by an Executing Participant; and in the instance when a UPIP is concluded, only time priority will be granted to an order on the BOX Book that executes against the remaining portion of a UPIP Order if that order has been placed for the same beneficial account as an Improvement Order in the UPIP auction. 98 See, e.g., BSE revises the proposal to apply its NBBO trade-through filter at the conclusion of the UPIP auction. 99 See, e.g., BSE revises the proposal to provide that: In no circumstances will the orders for a nonmarket maker broker-dealer account of an Options Participant be executed before a Public Customer or non-BOX Options Participant at the same price in the UPIP; and it will be conduct inconsistent with just and equitable principles of trade for (1) any Options Participant to enter Unrelated Orders into BOX for the purpose of disrupting or manipulating any UPIP auction, including purposely causing premature termination or (2) for an Executing Participant to directly or indirectly enter, modify, or cancel quotes or orders on BOX for the purpose of disrupting, prematurely terminating or manipulating any Improvement Auction. 100 15 U.S.C. 78s(b)(2). 101 15 U.S.C. 78s(b)(2). VerDate Aug<31>2005 15:17 Jan 22, 2008 Jkt 214001 proposed rule change (SR–BSE–2006– 16), as amended, be, and it hereby is, approved on an accelerated basis. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.102 Florence E. Harmon, Deputy Secretary. [FR Doc. E8–1037 Filed 1–22–08; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–57153; File No. SR–ISE– 2008–04] Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change, as Modified by Amendment No. 1 Thereto, Relating to Fee Waiver January 15, 2008. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (the ‘‘Act’’),1 and Rule 19b–4 thereunder,2 notice is hereby given that on January 2, 2008, the International Securities Exchange, LLC (‘‘ISE’’ 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 ISE. ISE has designated this proposal as one establishing or changing a due, fee, or other charge applicable only to a member under Section 19(b)(3)(A) of the Act,3 and Rule 19b–4(f)(2) thereunder,4 which renders the proposal effective upon filing with the Commission. On January 15, 2008, ISE submitted Amendment No. 1 to the proposed rule change.5 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 ISE is proposing a one-time waiver of the annual renewal fee for Registered Representatives. 102 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 17 CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A). 4 17 CFR 240.19b–4(f)(2). 5 For purposes of calculating the 60-day period within which the Commission may summarily abrogate the proposed rule change under Section 19(b)(3)(C) of the Act, the Commission considers the period to commence on January 15, 2008, the date on which the Exchange filed Amendment No. 1. See 15 U.S.C. 78s(b)(3)(C). 1 15 PO 00000 Frm 00115 Fmt 4703 Sfmt 4703 4035 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 ISE 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. ISE 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 Pursuant to ISE Rules 601, 602, and 603, members are required to electronically file a Uniform Application for Securities Industry Registration or Transfer (Form U4) with the Web CRD System operated by the Financial Industry Regulatory Authority, Inc. (‘‘FINRA’’) when registering, transferring, or terminating a registered person. Pursuant to the Exchange’s Schedule of Fees, members pay fees related to these U4 filings, which are collected by FINRA on behalf of the Exchange. In particular, members are assessed an annual renewal fee of $55 for each Registered Representative. The purpose of this rule filing is to grant a one-time waiver of the $55 annual renewal fee for Registered Representatives for 2008. The Exchange updated its rules regarding its registration requirements in June 2007,6 which resulted in some members registering a substantial number of representatives with the Exchange for the first time in the later part of 2007. Specifically, the Exchange initially requested that members comply with the revised registration requirements by no later than October 31, 2007, but subsequently extended this date until January 31, 2008. Because the 2008 annual renewal fee is assessed based on the number of Registered Representatives a member has registered with the ISE on the Web CRD system at the beginning of 2008, any member that registered its representatives prior to the end of 2007 would be assessed the annual renewal fee for each Registered Representative, whereas those firms that waited until after January 1, 2008 to register their representatives would not 6 See Securities Exchange Act Release No. 55899 (June 12, 2007), 72 FR 33794 (June 19, 2007) (SR– ISE–2007–30). E:\FR\FM\23JAN1.SGM 23JAN1 4036 Federal Register / Vol. 73, No. 15 / Wednesday, January 23, 2008 / Notices Comments may be submitted by any of the following methods: 2. Statutory Basis The Exchange believes that the proposed rule change is consistent with the objectives of Section 6 of the Act,7 in general, and furthers the objectives of Section 6(b)(4) of the Act,8 in particular, in that it is designed to provide for the equitable allocation of reasonable dues, fees and other charges among its members and other persons using its facilities. B. Self-Regulatory Organization’s Statement on Burden on Competition The proposed rule change does not 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 not solicited, and does not intend to solicit, comments on this proposed rule change. The Exchange has not received any unsolicited written comments from members or other interested parties. ebenthall on PROD1PC69 with NOTICES III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action The foregoing rule change has become effective pursuant to Section 19(b)(3)(A) of the Act 9 and Rule 19b–4(f)(2) 10 thereunder because it establishes or changes a due, fee, or other charge imposed by the Exchange. 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. 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. U.S.C. 78f(b). U.S.C. 78f(b)(4). 9 15 U.S.C. 78s(b)(3)(A). 10 17 CFR 240.19b–4(f)(2). • Use the Commission’s Internet comment form (http://www.sec.gov/ rules/sro.shtml); or • Send an e-mail to rulecomments@sec.gov. Please include File No. SR–ISE–2008–04 on the subject line. Paper Comments Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (the ‘‘Act’’),1 and Rule 19b–4 thereunder,2 notice is hereby given that on December 24, 2007, the New York Stock Exchange LLC (‘‘NYSE’’ or ‘‘Exchange’’) filed with All submissions should refer to File the Securities and Exchange Commission (‘‘Commission’’) the Number SR–ISE–2008–04. This file proposed rule change as described in number should be included on the subject line if e-mail is used. To help the Items I, II, and III below, which Items have been substantially prepared by the Commission process and review your NYSE. The proposed rule change has comments more efficiently, please use only one method. The Commission will been filed by the NYSE as effecting a post all comments on the Commission’s change in an existing order-entry or trading system pursuant to Section Internet Web site (http://www.sec.gov/ 19(b)(3)(A) of the Act,3 and Rule 19b– rules/sro.shtml). Copies of the 4(f)(5) thereunder,4 which renders the submission, all subsequent proposal effective upon filing with the amendments, all written statements Commission. The Commission is with respect to the proposed rule publishing this notice to solicit change that are filed with the comments on the proposed rule change Commission, and all written from interested persons. communications relating to the I. Self-Regulatory Organization’s proposed rule change between the Commission and any person, other than Statement of the Terms of Substance of the Proposed Rule Change those that may be withheld from the public in accordance with the The NYSE proposes to amend NYSE provisions of 5 U.S.C. 552, will be Rules 13 and 1000 to allow for the available for inspection and copying in automatic execution of G-Quotes in the the Commission’s Public Reference Display Book (the ‘‘Display Book’’). Room on official business days between The Exchange is also seeking to make conforming changes to NYSE Rule 60. the hours of 10 a.m. and 3 p.m. Copies The text of the proposed rule change is of such filing also will be available for available on the Exchange’s Web site inspection and copying at the principal office of the ISE. All comments received (http://www.nyse.com), at the Exchange, and at the Commission’s Public will be posted without change; the Reference Room. Commission does not edit personal identifying information from II. Self-Regulatory Organization’s submissions. You should submit only Statement of the Purpose of, and information that you wish to make Statutory Basis for, the Proposed Rule available publicly. All submissions Change should refer to File Number SR–ISE– In its filing with the Commission, the 2008–04 and should be submitted on or NYSE included statements concerning before February 12, 2008. the purpose of, and basis for, the For the Commission, by the Division of proposed rule change and discussed any Trading and Markets, pursuant to delegated comments it received on the proposed authority.11 rule change. The text of these statements may be examined at the places specified Florence E. Harmon, in Item IV below. The NYSE has Deputy Secretary. • Send paper comments in triplicate to Nancy M. Morris, Secretary, Securities and Exchange Commission, Station Place, 100 F Street, NE., Washington, DC 20549–1090. 11 17 Jkt 214001 Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend NYSE Rules 13, 60, and 1000 To Allow for the Automatic Execution of GQuotes in the Display Book January 15, 2008. BILLING CODE 8011–01–P 8 15 15:17 Jan 22, 2008 [Release No. 34–57156; File No. SR–NYSE– 2007–120] [FR Doc. E8–1011 Filed 1–22–08; 8:45 am] 7 15 VerDate Aug<31>2005 SECURITIES AND EXCHANGE COMMISSION Electronic Comments incur the 2008 annual renewal fee. In effect, assessing the 2008 annual renewal fee would penalize those members that complied with the Exchange’s registration requirements more timely. The Exchange therefore believes it is appropriate to waive the 2008 annual renewal fee for all members. PO 00000 Fmt 4703 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 15 U.S.C. 78s(b)(3)(A). 4 17 CFR 240.19b–4(f)(5). 2 17 CFR 200.30–3(a)(12). Frm 00116 1 15 Sfmt 4703 E:\FR\FM\23JAN1.SGM 23JAN1

Agencies

[Federal Register Volume 73, Number 15 (Wednesday, January 23, 2008)]
[Notices]
[Pages 4035-4036]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-1011]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-57153; File No. SR-ISE-2008-04]


Self-Regulatory Organizations; International Securities Exchange, 
LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule 
Change, as Modified by Amendment No. 1 Thereto, Relating to Fee Waiver

January 15, 2008.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on January 2, 2008, the International Securities Exchange, LLC 
(``ISE'' 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 ISE. ISE has designated this proposal as one establishing 
or changing a due, fee, or other charge applicable only to a member 
under Section 19(b)(3)(A) of the Act,\3\ and Rule 19b-4(f)(2) 
thereunder,\4\ which renders the proposal effective upon filing with 
the Commission. On January 15, 2008, ISE submitted Amendment No. 1 to 
the proposed rule change.\5\ The Commission is publishing this notice 
to solicit comments on the proposed rule change, as amended, from 
interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A).
    \4\ 17 CFR 240.19b-4(f)(2).
    \5\ For purposes of calculating the 60-day period within which 
the Commission may summarily abrogate the proposed rule change under 
Section 19(b)(3)(C) of the Act, the Commission considers the period 
to commence on January 15, 2008, the date on which the Exchange 
filed Amendment No. 1. See 15 U.S.C. 78s(b)(3)(C).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    ISE is proposing a one-time waiver of the annual renewal fee for 
Registered Representatives.

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 ISE 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. ISE 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
    Pursuant to ISE Rules 601, 602, and 603, members are required to 
electronically file a Uniform Application for Securities Industry 
Registration or Transfer (Form U4) with the Web CRD System operated by 
the Financial Industry Regulatory Authority, Inc. (``FINRA'') when 
registering, transferring, or terminating a registered person. Pursuant 
to the Exchange's Schedule of Fees, members pay fees related to these 
U4 filings, which are collected by FINRA on behalf of the Exchange. In 
particular, members are assessed an annual renewal fee of $55 for each 
Registered Representative.
    The purpose of this rule filing is to grant a one-time waiver of 
the $55 annual renewal fee for Registered Representatives for 2008. The 
Exchange updated its rules regarding its registration requirements in 
June 2007,\6\ which resulted in some members registering a substantial 
number of representatives with the Exchange for the first time in the 
later part of 2007.
---------------------------------------------------------------------------

    \6\ See Securities Exchange Act Release No. 55899 (June 12, 
2007), 72 FR 33794 (June 19, 2007) (SR-ISE-2007-30).
---------------------------------------------------------------------------

    Specifically, the Exchange initially requested that members comply 
with the revised registration requirements by no later than October 31, 
2007, but subsequently extended this date until January 31, 2008. 
Because the 2008 annual renewal fee is assessed based on the number of 
Registered Representatives a member has registered with the ISE on the 
Web CRD system at the beginning of 2008, any member that registered its 
representatives prior to the end of 2007 would be assessed the annual 
renewal fee for each Registered Representative, whereas those firms 
that waited until after January 1, 2008 to register their 
representatives would not

[[Page 4036]]

incur the 2008 annual renewal fee. In effect, assessing the 2008 annual 
renewal fee would penalize those members that complied with the 
Exchange's registration requirements more timely. The Exchange 
therefore believes it is appropriate to waive the 2008 annual renewal 
fee for all members.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with the objectives of Section 6 of the Act,\7\ in general, and 
furthers the objectives of Section 6(b)(4) of the Act,\8\ in 
particular, in that it is designed to provide for the equitable 
allocation of reasonable dues, fees and other charges among its members 
and other persons using its facilities.
---------------------------------------------------------------------------

    \7\ 15 U.S.C. 78f(b).
    \8\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

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

    The proposed rule change does not 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 not solicited, and does not intend to solicit, 
comments on this proposed rule change. The Exchange has not received 
any unsolicited written comments from members or other interested 
parties.

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

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A) of the Act \9\ and Rule 19b-4(f)(2) \10\ thereunder because 
it establishes or changes a due, fee, or other charge imposed by the 
Exchange. 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.
---------------------------------------------------------------------------

    \9\ 15 U.S.C. 78s(b)(3)(A).
    \10\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

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 (http://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to rule-comments@sec.gov. Please include 
File No. SR-ISE-2008-04 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-ISE-2008-04. 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 (http://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 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 
the ISE. 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-ISE-
2008-04 and should be submitted on or before February 12, 2008.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\11\
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    \11\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E8-1011 Filed 1-22-08; 8:45 am]
BILLING CODE 8011-01-P