Self-Regulatory Organizations; MIAX Emerald, LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Its Fee Schedule Relating to FINRA Fees, 78728-78730 [2022-27788]

Download as PDF lotter on DSK11XQN23PROD with NOTICES1 78728 Federal Register / Vol. 87, No. 245 / Thursday, December 22, 2022 / Notices proposal is consistent with the public interest, the protection of investors, or otherwise in furtherance of the purposes of the Act, as required by Rule 19d– 1(c)(2) under the Act,20 which governs minor rule violation plans. As stated above, the Exchange proposes to (1) make certain revisions to the preamble to Rule 9217 (Violations Appropriate for Disposition Under Rule 9216(b)); (2) add Rule 2.1210 (Registration Requirements) to the list of minor rule violations in Rule 9217 and associated fine levels for its equities and options markets; and (3) make certain non-substantive clarifying changes to Rule 9217. The Commission believes that Rules 9216(b) and 9217 are an effective way to discipline a member for a minor violation of a rule. More specifically, the Commission believes that the proposed revisions to the preamble of Rule 9217 are consistent with the Act because they would add clarity to the Exchange’s rules and may help the Exchange’s ability to better carry out its oversight and enforcement responsibilities. The proposed revisions to the preamble of Rule 9217 also would align Rule 9217 with the rules of the Exchange’s affiliates. The Commission believes that the proposed addition of Rule 2.1210 (Registration Requirements) to the Exchange’s list of current minor rule violations provides a reasonable means of addressing violations that do not rise to the level of requiring formal disciplinary proceedings, while providing greater flexibility in handling certain violations. Furthermore, the Commission believes that amending the associated fine schedule is consistent with the Act because it may help the Exchange’s ability to better carry out its oversight and enforcement responsibilities by levying appropriate fines for minor violations of the rules included in Rule 9217, including minor violations of Rule 2.1210. Finally, the Commission believes that the Exchange’s proposal to make certain non-substantive changes to Rule 9217 are consistent with the Act because these changes will add clarity to the Exchange’s rules. In approving the proposed rule change, the Commission in no way minimizes the importance of compliance with the Exchange’s rules and all other rules subject to fines under Rules 9216(b) and 9217. The Commission believes that a violation of any self-regulatory organization’s rules, as well as Commission rules, is a serious matter. However, Rules 9216(b) and 9217 provide a reasonable means of 20 17 CFR 240.19d–1(c)(2). VerDate Sep<11>2014 18:01 Dec 21, 2022 Jkt 259001 addressing rule violations that may not rise to the level of requiring formal disciplinary proceedings, while providing greater flexibility in handling certain violations. The Commission expects that the Exchange will continue to conduct surveillance with due diligence and make a determination based on its findings, on a case-by-case basis, whether a fine of more or less than the recommended amount is appropriate for a violation under Rules 9216(b) and 9217 or whether a violation requires formal disciplinary action. For the same reasons as discussed above, the Commission finds good cause, pursuant to Section 19(b)(2) of the Act,21 for approving the proposed rule change prior to the thirtieth day after the date of publication of the notice of the filing thereof in the Federal Register. The proposal will assist the Exchange in preventing fraudulent and manipulative practices by allowing the Exchange to adequately enforce compliance with, and provide appropriate discipline for, violations of Exchange rules. Moreover, the proposed changes raise no new or novel issues. Accordingly, the Commission believes that a full notice-and-comment period is not necessary before approving the proposal. V. Conclusion It is therefore ordered, pursuant to Section 19(b)(2) of the Act 22 and Rule 19d–1(c)(2) thereunder,23 that the proposed rule change (SR–NYSEAMER– 2022–13) be, and hereby is, approved on an accelerated basis. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.24 Sherry R. Haywood, Assistant Secretary. [FR Doc. 2022–27791 Filed 12–21–22; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–96521; File No. SR– EMERALD–2022–36] Self-Regulatory Organizations; MIAX Emerald, LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Its Fee Schedule Relating to FINRA Fees of 1934 (‘‘Act’’) 1 and Rule 19b–4 thereunder,2 notice is hereby given that on December 8, 2022, MIAX Emerald, LLC (‘‘MIAX Emerald’’ or ‘‘Exchange’’), filed with the Securities and Exchange Commission (‘‘Commission’’) a proposed rule change as described in Items I, II, and III below, which Items have been prepared by the Exchange. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The Exchange is filing a proposal to amend the MIAX Emerald Fee Schedule (the ‘‘Fee Schedule’’) to reflect adjustments to the Financial Industry Regulatory Authority, Inc. (‘‘FINRA’’) Registration Fees and Fingerprinting Fees. While the changes proposed herein are effective upon filing, the Exchange has designated the additional processing of each initial or amended Form U4, Form U5 or Form BD and electronic Fingerprint Processing Fees to become operative on January 2, 2023. Additionally, the Exchange designates that the FINRA Annual System Processing Fee Assessed only during Renewals become operative on January 2, 2024.3 The amendments to the paper Fingerprint Fees are immediately effective. The text of the proposed rule change is available on the Exchange’s website at https://www.miaxoptions.com/rulefilings/emerald, at MIAX’s principal office, and at the Commission’s Public Reference Room. II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, the Exchange included statements concerning the purpose of and basis for the proposed rule change and discussed any comments it received on the proposed rule change. The text of these statements may be examined at the places specified in Item IV below. The Exchange has prepared summaries, set forth in sections A, B, and C below, of the most significant aspects of such statements. December 16, 2022. Pursuant to the provisions of Section 19(b)(1) of the Securities Exchange Act 21 15 U.S.C. 78s(b)(2). U.S.C. 78s(b)(2). 23 17 CFR 240.19d–1(c)(2). 24 17 CFR 200.30–3(a)(12). 22 15 PO 00000 Frm 00098 Fmt 4703 Sfmt 4703 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 See Securities Exchange Act Release No. 90176 (October 14, 2020), 85 FR 66592 (October 20, 2020) (SR–FINRA–2020–032) (Notice of Filing and Immediate Effectiveness of a Proposed Rule Change to Adjust FINRA Fees to Provide Sustainable Funding for FINRA’s Regulatory Mission). 2 17 E:\FR\FM\22DEN1.SGM 22DEN1 Federal Register / Vol. 87, No. 245 / Thursday, December 22, 2022 / Notices A. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange proposes to amend Section 2)c) of the Fee Schedule, Web CRD Fees, to reflect adjustments to the FINRA Registration Fees and Fingerprinting Fees.4 The FINRA fees are collected and retained by FINRA via Web CRD for the registration of employees of MIAX Emerald Members 5 organizations that are not also FINRA members (‘‘Non-FINRA members’’). The Exchange merely lists these fees in its Fee Schedule. The Exchange does not collect or retain these fees. The Exchange proposes to amend: (1) the $110 fee for the additional processing of each initial or amended Form U4, Form U5 or Form BD that includes the initial reporting, amendment, or certification or one or more disclosure events or proceedings to $155; (2) the $45 FINRA Annual System Processing Fee Assessed only during Renewals to $70; and (3) the $15 Second Submission (Electronic) Fingerprint Processing Fee to $20. Each of these fees are listed within Section 2(c) of the Fee Schedule, Web CRD Fees. These amendments are being made in accordance with a FINRA rule change to adjust to its fees.6 The Exchange also proposes to amend the following Fingerprint Fees: (1) the $29.50 Initial Submission (Electronic) fee to $31.25; 7 (2) the $44.50 Initial Submission (Paper) fee to $41.25; 8 (3) the $29.50 Third Submission (Electronic) fee to $31.25; 9 and (4) the $44.50 Third Submission (Paper) fee to $41.25.10 Specifically, today, the FBI lotter on DSK11XQN23PROD with NOTICES1 4 FINRA operates Web CRD, the central licensing and registration system for the U.S. securities industry. FINRA uses Web CRD to maintain the qualification, employment and disciplinary histories or registered associated persons of brokerdealers. 5 The term ‘‘Member’’ means an individual or organization approved to exercise the trading rights associated with a Trading Permit. Members are deemed ‘‘members’’ under the Exchange Act. See Exchange Rule 100. 6 See note 3. FINRA noted in its rule change that it was adjusting its fees to provide sustainable funding for FINRA’s regulatory mission. 7 This fee includes a $20.00 FINRA fee and $11.25 FBI fee. See https://www.finra.org/registrationexams-ce/classic-crd/fingerprints/fingerprint-fees. 8 This fee includes a $30.00 FINRA fee and a $11.25 FBI fee. See https://www.finra.org/ registration-exams-ce/classic-crd/fingerprints/ fingerprint-fees. 9 This fee includes a $20.00 FINRA fee and $11.25 FBI fee. See https://www.finra.org/registrationexams-ce/classic-crd/fingerprints/fingerprint-fees. 10 This fee includes a $30.00 FINRA fee and a $11.25 FBI fee. See https://www.finra.org/ registration-exams-ce/classic-crd/fingerprints/ fingerprint-fees. VerDate Sep<11>2014 18:01 Dec 21, 2022 Jkt 259001 fingerprint charge is $11.25 11 and the FINRA electronic Fingerprint Fee will increase from $15 to $20 in 2023.12 While FINRA did not amend the paper Fingerprint Fee, previously the FBI fee was reduced from $14.50 to $11.25.13 The paper Fingerprint Fees are not currently reflecting the amount assessed by FINRA. The amendment to the paper Fingerprint Fees will conform these fees with those of FINRA. The FINRA Web CRD Fees are userbased, and there is no distinction in the cost incurred by FINRA if the user is a FINRA member or a Non-FINRA member. Accordingly, the proposed fees mirror those currently assessed by FINRA. 2. Statutory Basis The Exchange believes the proposal is consistent with Section 6(b) of the Act,14 in general, and Sections 6(b)(4) and 6(b)(5) of the Act,15 in particular, in that it provides for the equitable allocation of reasonable dues, fees and other charges among members and issuers and other persons using any facility, and is not designed to permit unfair discrimination between customers, issuers, brokers, or dealers. The Exchange believes it is reasonable to increase: (1) the $110 fee for the additional processing of each initial or amended Form U4, Form U5 or Form BD that includes the initial reporting, amendment, or certification or one or more disclosure events or proceedings to $155; (2) the $45 FINRA Annual System Processing Fee Assessed only during Renewals to $70; and (3) the electronic Fingerprint Fees from $15 to $20 in accordance with an adjustment to FINRA’s fees 16 because the proposed fees are identical to those adopted by FINRA for use of Web CRD for disclosure and the registration of FINRA members and their associated persons. Those costs are borne by FINRA when a Non-FINRA member uses Web CRD. The Exchange’s rule text will reflect the current registration and electronic fingerprint rates that will be assessed by FINRA as of January 2, 2023 for the 11 See Securities Exchange Act Release No. 67247 (June 25, 2012) 77 FR 38866 (June 29, 2012) (SR– FINRA–2012–030) (Notice of Filing and Immediate Effectiveness of Proposed Rule Change to Amend Sections 4 and 6 of Schedule A to the FINRA ByLaws Regarding Fees Relating to the Central Registration Depository) (‘‘2012 Rule Change’’). 12 See note 3. 13 See 2012 Rule Change at note 11. The FBI does not charge its fee on a second fingerprint transaction when it identifies the first set of fingerprints as illegible for the same individual. 14 15 U.S.C. 78f(b). 15 15 U.S.C. 78f(b)(5). 16 The $20 FINRA Fee is in addition to the $11.25 FBI Fee except for the second fingerprint transaction. PO 00000 Frm 00099 Fmt 4703 Sfmt 4703 78729 additional processing of each initial or amended Form U4, Form U5 or Form BD and Second Submission (Electronic) Fingerprint Processing Fee and the registration rates that will be assessed by FINRA as of January 2, 2024 for the FINRA Annual System Processing Fee Assessed only during Renewals.17 The Exchange believes it is reasonable to correct the paper Fingerprint Fees to reflect the reduced FBI Fee of $11.25.18 The amendments to the paper Fingerprint Fees will provide all MIAX Emerald Electronic Exchange Member and Market Maker organizations with the correct Fingerprint Fees. The Exchange believes it is equitable and not unfairly discriminatory to increase: (1) the $110 fee for the additional processing of each initial or amended Form U4, Form U5 or Form BD that includes the initial reporting, amendment, or certification or one or more disclosure events or proceedings to $155; (2) the $45 FINRA Annual System Processing Fee Assessed only during Renewals to $70; and (3) the electronic Fingerprint Fees from $15 to $20 in accordance with an adjustment to FINRA’s fees 19 because the Exchange will not be collecting or retaining these fees, therefore, the Exchange will not be in a position to apply them in an inequitable or unfairly discriminatory manner. Similarly, the Exchange believes it is equitable and not unfairly discriminatory to correct the paper Fingerprint Fees to reflect the reduced FBI Fee of $11.25 20 because the Exchange will not be collecting or retaining these fees, therefore, the Exchange will not be in a position to apply them in an inequitable or unfairly discriminatory manner. 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. The Exchange believes that its proposal to increase: (1) the $110 fee for the additional processing of each initial or amended Form U4, Form U5 or Form BD that includes the initial reporting, amendment, or certification or one or 17 See note 3. 2012 Rule Change at note 11. The FBI does not charge its fee on a second fingerprint transaction when it identifies the first set of fingerprints as illegible for the same individual. 19 The $20 FINRA Fee is in addition to the $11.25 FBI Fee except for the second fingerprint transaction. 20 See 2012 Rule Change at note 11. The FBI does not charge its fee on a second fingerprint transaction when it identifies the first set of fingerprints as illegible for the same individual. 18 See E:\FR\FM\22DEN1.SGM 22DEN1 78730 Federal Register / Vol. 87, No. 245 / Thursday, December 22, 2022 / Notices more disclosure events or proceedings to $155; (2) the $45 FINRA Annual System Processing Fee Assessed only during Renewals to $70; and (3) the electronic Fingerprint Fees from $15 to $20 in accordance with an adjustment to FINRA’s fees 21 does not impose an undue burden on competition because the Exchange will not be collecting or retaining these fees, therefore, the Exchange will not be in a position to apply them in an inequitable or unfairly discriminatory manner. The proposal will reflect the fees that will be assessed by FINRA to all Members who register or require fingerprints as of January 2, 2023, and January 2, 2024 respectively. Similarly, the Exchange believes it does not impose an undue burden on competition to correct the paper Fingerprint Fees to reflect the reduced FBI Fee of $11.25 because the Exchange will not be collecting or retaining these fees, therefore, the Exchange will not be in a position to apply them in an inequitable or unfairly discriminatory manner. 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. lotter on DSK11XQN23PROD with NOTICES1 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)(ii) of the Act,22 and Rule 19b–4(f)(2) 23 thereunder. At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend 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. If the Commission takes such action, the Commission shall institute proceedings to determine whether the proposed rule should be approved or 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: 21 The $20 FINRA Fee is in addition to the $11.25 FBI Fee except for the second fingerprint transaction. 22 15 U.S.C. 78s(b)(3)(A)(ii). 23 17 CFR 240.19b–4(f)(2). VerDate Sep<11>2014 18:01 Dec 21, 2022 Jkt 259001 Electronic Comments • Use the Commission’s internet comment form (https://www.sec.gov/ rules/sro.shtml); or • Send an email to rule-comments@ sec.gov. Please include File Number SR– EMERALD–2022–36 on the subject line. Paper Comments • Send paper comments in triplicate to Secretary, Securities and Exchange Commission, 100 F Street NE, Washington, DC 20549–1090. All submissions should refer to File Number SR–EMERALD–2022–36. This file number should be included on the subject line if email 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 website (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 website viewing and printing in the Commission’s Public Reference Room, 100 F Street NE, Washington, DC 20549, on official business days between the hours of 10:00 a.m. and 3:00 p.m. Copies of the filing also will be available for inspection and copying at the principal office of the Exchange. All comments received will be posted without change. Persons submitting comments are cautioned that we do not redact or edit personal identifying information from comment submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR–EMERALD–2022–36 and should be submitted on or before January 12, 2023. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.24 Sherry R. Haywood, Assistant Secretary. [FR Doc. 2022–27788 Filed 12–21–22; 8:45 am] BILLING CODE 8011–01–P 24 17 PO 00000 CFR 200.30–3(a)(12). Frm 00100 Fmt 4703 Sfmt 4703 SECURITIES AND EXCHANGE COMMISSION [Release No. 34–96516; File No. SR–MSRB– 2022–10] Self-Regulatory Organizations; Municipal Securities Rulemaking Board; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend MSRB Rule A–12, on Registration, and Accompanying Form A–12 Changes December 16, 2022. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’ or ‘‘Exchange Act’’) 1 and Rule 19b–4 thereunder,2 notice is hereby given that on December 13, 2022 the Municipal Securities Rulemaking Board (‘‘MSRB’’ or ‘‘Board’’) filed with the Securities and Exchange Commission (‘‘SEC’’ or ‘‘Commission’’) the proposed rule change as described in Items I and II, below, which Items have been prepared by the MSRB. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The MSRB filed with the Commission a proposed rule change consisting of amendments to MSRB Rule A–12, on registration, and accompanying Form A–12 3 changes that are intended to modernize and streamline the MSRB registration process for brokers, dealers and municipal securities dealers (collectively, a ‘‘dealer’’ or ‘‘dealers’’) and municipal advisors, (together with dealers, a ‘‘registrant,’’ ‘‘registrants’’ or ‘‘regulated entities’’) and provide additional information to the MSRB and examining authorities for regulatory purposes. Specifically, the proposed rule change consists of amendments to Rule A–12 to (i) remove a PDF upload requirement for notification to the appropriate regulatory agency or registered securities association and replace it with a requirement to provide the required notice information directly on Form A–12; (ii) make explicit the notification requirement for dealers when adding a new line of business via Form A–12; (iii) require registrants to 1 15 U.S.C. 78s(b)(1). CFR 240.19b–4. 3 Form A–12 is the MSRB’s single, consolidated registration form used for initial registration as a dealer or municipal advisor, all registration amendments, including withdrawal from registration, and the annual affirmation process. Prior to registration with the MSRB, each dealer and municipal advisor must first register with, and receive approval from, the Commission. 2 17 E:\FR\FM\22DEN1.SGM 22DEN1

Agencies

SECURITIES AND EXCHANGE COMMISSION

[Federal Register Volume 87, Number 245 (Thursday, December 22, 2022)]
[Notices]
[Pages 78728-78730]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-27788]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-96521; File No. SR-EMERALD-2022-36]


Self-Regulatory Organizations; MIAX Emerald, LLC; Notice of 
Filing and Immediate Effectiveness of a Proposed Rule Change To Amend 
Its Fee Schedule Relating to FINRA Fees

December 16, 2022.
    Pursuant to the provisions of 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 December 8, 2022, MIAX Emerald, LLC (``MIAX 
Emerald'' or ``Exchange''), filed with the Securities and Exchange 
Commission (``Commission'') a proposed rule change as described in 
Items I, II, and III below, which Items have been prepared by the 
Exchange. The Commission is publishing this notice to solicit comments 
on the proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange is filing a proposal to amend the MIAX Emerald Fee 
Schedule (the ``Fee Schedule'') to reflect adjustments to the Financial 
Industry Regulatory Authority, Inc. (``FINRA'') Registration Fees and 
Fingerprinting Fees.
    While the changes proposed herein are effective upon filing, the 
Exchange has designated the additional processing of each initial or 
amended Form U4, Form U5 or Form BD and electronic Fingerprint 
Processing Fees to become operative on January 2, 2023. Additionally, 
the Exchange designates that the FINRA Annual System Processing Fee 
Assessed only during Renewals become operative on January 2, 2024.\3\ 
The amendments to the paper Fingerprint Fees are immediately effective.
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    \3\ See Securities Exchange Act Release No. 90176 (October 14, 
2020), 85 FR 66592 (October 20, 2020) (SR-FINRA-2020-032) (Notice of 
Filing and Immediate Effectiveness of a Proposed Rule Change to 
Adjust FINRA Fees to Provide Sustainable Funding for FINRA's 
Regulatory Mission).
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    The text of the proposed rule change is available on the Exchange's 
website at https://www.miaxoptions.com/rule-filings/emerald, at MIAX's 
principal office, and at the Commission's Public Reference Room.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, the Exchange included statements 
concerning the purpose of and basis for the proposed rule change and 
discussed any comments it received on the proposed rule change. The 
text of these statements may be examined at the places specified in 
Item IV below. The Exchange has prepared summaries, set forth in 
sections A, B, and C below, of the most significant aspects of such 
statements.

[[Page 78729]]

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The Exchange proposes to amend Section 2)c) of the Fee Schedule, 
Web CRD Fees, to reflect adjustments to the FINRA Registration Fees and 
Fingerprinting Fees.\4\ The FINRA fees are collected and retained by 
FINRA via Web CRD for the registration of employees of MIAX Emerald 
Members \5\ organizations that are not also FINRA members (``Non-FINRA 
members''). The Exchange merely lists these fees in its Fee Schedule. 
The Exchange does not collect or retain these fees.
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    \4\ FINRA operates Web CRD, the central licensing and 
registration system for the U.S. securities industry. FINRA uses Web 
CRD to maintain the qualification, employment and disciplinary 
histories or registered associated persons of broker-dealers.
    \5\ The term ``Member'' means an individual or organization 
approved to exercise the trading rights associated with a Trading 
Permit. Members are deemed ``members'' under the Exchange Act. See 
Exchange Rule 100.
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    The Exchange proposes to amend: (1) the $110 fee for the additional 
processing of each initial or amended Form U4, Form U5 or Form BD that 
includes the initial reporting, amendment, or certification or one or 
more disclosure events or proceedings to $155; (2) the $45 FINRA Annual 
System Processing Fee Assessed only during Renewals to $70; and (3) the 
$15 Second Submission (Electronic) Fingerprint Processing Fee to $20. 
Each of these fees are listed within Section 2(c) of the Fee Schedule, 
Web CRD Fees. These amendments are being made in accordance with a 
FINRA rule change to adjust to its fees.\6\
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    \6\ See note 3. FINRA noted in its rule change that it was 
adjusting its fees to provide sustainable funding for FINRA's 
regulatory mission.
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    The Exchange also proposes to amend the following Fingerprint Fees: 
(1) the $29.50 Initial Submission (Electronic) fee to $31.25; \7\ (2) 
the $44.50 Initial Submission (Paper) fee to $41.25; \8\ (3) the $29.50 
Third Submission (Electronic) fee to $31.25; \9\ and (4) the $44.50 
Third Submission (Paper) fee to $41.25.\10\ Specifically, today, the 
FBI fingerprint charge is $11.25 \11\ and the FINRA electronic 
Fingerprint Fee will increase from $15 to $20 in 2023.\12\ While FINRA 
did not amend the paper Fingerprint Fee, previously the FBI fee was 
reduced from $14.50 to $11.25.\13\ The paper Fingerprint Fees are not 
currently reflecting the amount assessed by FINRA. The amendment to the 
paper Fingerprint Fees will conform these fees with those of FINRA.
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    \7\ This fee includes a $20.00 FINRA fee and $11.25 FBI fee. See 
https://www.finra.org/registration-exams-ce/classic-crd/fingerprints/fingerprint-fees.
    \8\ This fee includes a $30.00 FINRA fee and a $11.25 FBI fee. 
See https://www.finra.org/registration-exams-ce/classic-crd/fingerprints/fingerprint-fees.
    \9\ This fee includes a $20.00 FINRA fee and $11.25 FBI fee. See 
https://www.finra.org/registration-exams-ce/classic-crd/fingerprints/fingerprint-fees.
    \10\ This fee includes a $30.00 FINRA fee and a $11.25 FBI fee. 
See https://www.finra.org/registration-exams-ce/classic-crd/fingerprints/fingerprint-fees.
    \11\ See Securities Exchange Act Release No. 67247 (June 25, 
2012) 77 FR 38866 (June 29, 2012) (SR-FINRA-2012-030) (Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change to Amend 
Sections 4 and 6 of Schedule A to the FINRA By-Laws Regarding Fees 
Relating to the Central Registration Depository) (``2012 Rule 
Change'').
    \12\ See note 3.
    \13\ See 2012 Rule Change at note 11. The FBI does not charge 
its fee on a second fingerprint transaction when it identifies the 
first set of fingerprints as illegible for the same individual.
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    The FINRA Web CRD Fees are user-based, and there is no distinction 
in the cost incurred by FINRA if the user is a FINRA member or a Non-
FINRA member. Accordingly, the proposed fees mirror those currently 
assessed by FINRA.
2. Statutory Basis
    The Exchange believes the proposal is consistent with Section 6(b) 
of the Act,\14\ in general, and Sections 6(b)(4) and 6(b)(5) of the 
Act,\15\ in particular, in that it provides for the equitable 
allocation of reasonable dues, fees and other charges among members and 
issuers and other persons using any facility, and is not designed to 
permit unfair discrimination between customers, issuers, brokers, or 
dealers.
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    \14\ 15 U.S.C. 78f(b).
    \15\ 15 U.S.C. 78f(b)(5).
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    The Exchange believes it is reasonable to increase: (1) the $110 
fee for the additional processing of each initial or amended Form U4, 
Form U5 or Form BD that includes the initial reporting, amendment, or 
certification or one or more disclosure events or proceedings to $155; 
(2) the $45 FINRA Annual System Processing Fee Assessed only during 
Renewals to $70; and (3) the electronic Fingerprint Fees from $15 to 
$20 in accordance with an adjustment to FINRA's fees \16\ because the 
proposed fees are identical to those adopted by FINRA for use of Web 
CRD for disclosure and the registration of FINRA members and their 
associated persons.
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    \16\ The $20 FINRA Fee is in addition to the $11.25 FBI Fee 
except for the second fingerprint transaction.
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    Those costs are borne by FINRA when a Non-FINRA member uses Web 
CRD. The Exchange's rule text will reflect the current registration and 
electronic fingerprint rates that will be assessed by FINRA as of 
January 2, 2023 for the additional processing of each initial or 
amended Form U4, Form U5 or Form BD and Second Submission (Electronic) 
Fingerprint Processing Fee and the registration rates that will be 
assessed by FINRA as of January 2, 2024 for the FINRA Annual System 
Processing Fee Assessed only during Renewals.\17\
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    \17\ See note 3.
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    The Exchange believes it is reasonable to correct the paper 
Fingerprint Fees to reflect the reduced FBI Fee of $11.25.\18\ The 
amendments to the paper Fingerprint Fees will provide all MIAX Emerald 
Electronic Exchange Member and Market Maker organizations with the 
correct Fingerprint Fees.
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    \18\ See 2012 Rule Change at note 11. The FBI does not charge 
its fee on a second fingerprint transaction when it identifies the 
first set of fingerprints as illegible for the same individual.
---------------------------------------------------------------------------

    The Exchange believes it is equitable and not unfairly 
discriminatory to increase: (1) the $110 fee for the additional 
processing of each initial or amended Form U4, Form U5 or Form BD that 
includes the initial reporting, amendment, or certification or one or 
more disclosure events or proceedings to $155; (2) the $45 FINRA Annual 
System Processing Fee Assessed only during Renewals to $70; and (3) the 
electronic Fingerprint Fees from $15 to $20 in accordance with an 
adjustment to FINRA's fees \19\ because the Exchange will not be 
collecting or retaining these fees, therefore, the Exchange will not be 
in a position to apply them in an inequitable or unfairly 
discriminatory manner. Similarly, the Exchange believes it is equitable 
and not unfairly discriminatory to correct the paper Fingerprint Fees 
to reflect the reduced FBI Fee of $11.25 \20\ because the Exchange will 
not be collecting or retaining these fees, therefore, the Exchange will 
not be in a position to apply them in an inequitable or unfairly 
discriminatory manner.
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    \19\ The $20 FINRA Fee is in addition to the $11.25 FBI Fee 
except for the second fingerprint transaction.
    \20\ See 2012 Rule Change at note 11. The FBI does not charge 
its fee on a second fingerprint transaction when it identifies the 
first set of fingerprints as illegible for the same individual.
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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. The Exchange believes that 
its proposal to increase: (1) the $110 fee for the additional 
processing of each initial or amended Form U4, Form U5 or Form BD that 
includes the initial reporting, amendment, or certification or one or

[[Page 78730]]

more disclosure events or proceedings to $155; (2) the $45 FINRA Annual 
System Processing Fee Assessed only during Renewals to $70; and (3) the 
electronic Fingerprint Fees from $15 to $20 in accordance with an 
adjustment to FINRA's fees \21\ does not impose an undue burden on 
competition because the Exchange will not be collecting or retaining 
these fees, therefore, the Exchange will not be in a position to apply 
them in an inequitable or unfairly discriminatory manner. The proposal 
will reflect the fees that will be assessed by FINRA to all Members who 
register or require fingerprints as of January 2, 2023, and January 2, 
2024 respectively.
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    \21\ The $20 FINRA Fee is in addition to the $11.25 FBI Fee 
except for the second fingerprint transaction.
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    Similarly, the Exchange believes it does not impose an undue burden 
on competition to correct the paper Fingerprint Fees to reflect the 
reduced FBI Fee of $11.25 because the Exchange will not be collecting 
or retaining these fees, therefore, the Exchange will not be in a 
position to apply them in an inequitable or unfairly discriminatory 
manner.

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

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A)(ii) of the Act,\22\ and Rule 19b-4(f)(2) \23\ thereunder. 
At any time within 60 days of the filing of the proposed rule change, 
the Commission summarily may temporarily suspend 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. If the Commission takes such 
action, the Commission shall institute proceedings to determine whether 
the proposed rule should be approved or disapproved.
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    \22\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \23\ 17 CFR 240.19b-4(f)(2).
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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 email to [email protected]. Please include 
File Number SR-EMERALD-2022-36 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-EMERALD-2022-36. This 
file number should be included on the subject line if email 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 website (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 website viewing and printing in 
the Commission's Public Reference Room, 100 F Street NE, Washington, DC 
20549, on official business days between the hours of 10:00 a.m. and 
3:00 p.m. Copies of the filing also will be available for inspection 
and copying at the principal office of the Exchange. All comments 
received will be posted without change. Persons submitting comments are 
cautioned that we do not redact or edit personal identifying 
information from comment submissions. You should submit only 
information that you wish to make available publicly. All submissions 
should refer to File Number SR-EMERALD-2022-36 and should be submitted 
on or before January 12, 2023.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\24\
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    \24\ 17 CFR 200.30-3(a)(12).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2022-27788 Filed 12-21-22; 8:45 am]
BILLING CODE 8011-01-P

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