Privacy Act Regulations, 7307-7315 [2024-01684]
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Federal Register / Vol. 89, No. 23 / Friday, February 2, 2024 / Proposed Rules
Regulatory Findings
The FAA determined that this
proposed AD would not have federalism
implications under Executive Order
13132. This proposed AD would not
have a substantial direct effect on the
States, on the relationship between the
national government and the States, or
on the distribution of power and
responsibilities among the various
levels of government.
For the reasons discussed above, I
certify this proposed regulation:
(1) Is not a ‘‘significant regulatory
action’’ under Executive Order 12866,
(2) Would not affect intrastate
aviation in Alaska, and
(3) Would not have a significant
economic impact, positive or negative,
on a substantial number of small entities
under the criteria of the Regulatory
Flexibility Act.
List of Subjects in 14 CFR Part 39
Air transportation, Aircraft, Aviation
safety, Incorporation by reference,
Safety.
The Proposed Amendment
Accordingly, under the authority
delegated to me by the Administrator,
the FAA proposes to amend 14 CFR part
39 as follows:
PART 39—AIRWORTHINESS
DIRECTIVES
1. The authority citation for part 39
continues to read as follows:
■
Authority: 49 U.S.C. 106(g), 40113, 44701.
§ 39.13
[Amended]
2. The FAA amends § 39.13 by adding
the following new airworthiness
directive:
■
Airbus Helicopters: Docket No. FAA–2024–
0038; Project Identifier MCAI–2023–
00645–R.
(a) Comments Due Date
The FAA must receive comments on this
airworthiness directive (AD) by March 18,
2024.
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(b) Affected ADs
None.
(c) Applicability
This AD applies to all Airbus Helicopters
Model SA–365N, SA–365N1, AS–365N2, and
AS 365 N3 helicopters, certificated in any
category.
(d) Subject
Joint Aircraft System Component (JASC)
Code 6720, Tail Rotor Control System.
(e) Unsafe Condition
This AD was prompted by a report of an
obstructed tail rotor (TR) pedal control that
was blocked during flight. The FAA is
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issuing this AD to detect and address
interference of the tail rotor pedal control.
The unsafe condition, if not addressed, could
result in loss of yaw control of the helicopter.
(f) Compliance
Comply with this AD within the
compliance times specified, unless already
done.
(g) Requirements
Except as specified in paragraphs (h) and
(i) of this AD: Comply with all required
actions and compliance times specified in,
and in accordance with, European Union
Aviation Safety Agency (EASA) AD 2023–
0090, dated May 4, 2023 (EASA AD 2023–
0090).
(h) Exceptions to EASA AD 2023–0090
(1) Where paragraph (1) of EASA AD 2023–
0090 requires compliance within 165 flight
hours, this AD requires accomplishing
paragraph (1) of EASA AD 2023–0090 within
100 hours time-in-service.
(2) Where EASA AD 2023–0090 refers to its
effective date, this AD requires using the
effective date of this AD.
(3) Where the service information
referenced in EASA AD 2023–0090 specifies
discarding parts, this AD requires removing
those parts from service.
(4) This AD does not adopt the ‘‘Remarks’’
section of EASA AD 2023–0090.
(i) No Reporting Requirement
Although the service information
referenced in EASA AD 2023–0090 specifies
to submit certain information to the
manufacturer, this AD does not include that
requirement.
(j) Alternative Methods of Compliance
(AMOCs)
(1) The Manager, International Validation
Branch, FAA, has the authority to approve
AMOCs for this AD, if requested using the
procedures found in 14 CFR 39.19. In
accordance with 14 CFR 39.19, send your
request to your principal inspector or local
Flight Standards District Office, as
appropriate. If sending information directly
to the manager of the International Validation
Branch, send it to the attention of the person
identified in paragraph (k) of this AD.
Information may be emailed to: 9-AVS-AIR730-AMOC@faa.gov.
(2) Before using any approved AMOC,
notify your appropriate principal inspector,
or lacking a principal inspector, the manager
of the local flight standards district office/
certificate holding district office.
(k) Related Information
For more information about this AD,
contact Dan McCully, Program Manager,
International Validation Branch, FAA, 1600
Stewart Ave., Suite 410, Westbury, NY
11590; phone: (404) 474–5548; email:
william.mccully@faa.gov.
(l) Material Incorporated by Reference
(1) The Director of the Federal Register
approved the incorporation by reference of
the service information listed in this
paragraph under 5 U.S.C. 552(a) and 1 CFR
part 51.
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7307
(2) You must use this service information
as applicable to do the actions required by
this AD, unless the AD specifies otherwise.
(i) European Union Aviation Safety Agency
(EASA) AD 2023–0090, dated May 4, 2023.
(ii) [Reserved]
(3) For EASA AD 2023–0090 identified in
this AD, contact EASA, Konrad-AdenauerUfer 3, 50668 Cologne, Germany; telephone
+49 221 8999 000; email ADs@
easa.europa.eu; internet easa.europa.eu. You
may find the EASA material on the EASA
website at ad.easa.europa.eu.
(4) You may view this service information
at the FAA Office of the Regional Counsel,
Southwest Region, 10101 Hillwood Pkwy.,
Room 6N–321, Fort Worth, TX 76177. For
information on the availability of this
material at the FAA, call (817) 222–5110.
(5) You may view this material at the
National Archives and Records
Administration (NARA). For information on
the availability of this material at NARA,
visit www.archives.gov/federal-register/cfr/
ibr-locations or email fr.inspection@nara.gov.
Issued on January 24, 2024.
Victor Wicklund,
Deputy Director, Compliance & Airworthiness
Division, Aircraft Certification Service.
[FR Doc. 2024–01754 Filed 2–1–24; 8:45 am]
BILLING CODE 4910–13–P
COMMODITY FUTURES TRADING
COMMISSION
17 CFR Part 146
RIN 3038–AF22
Privacy Act Regulations
Commodity Futures Trading
Commission.
ACTION: Notice of proposed rulemaking.
AGENCY:
The Commodity Futures
Trading Commission (CFTC or
Commission) proposes to update its
regulations regarding exemptions for
certain systems of records from one or
more provisions of the Privacy Act of
1974 (Privacy Act). The Commission
proposes to revise these regulations to
specifically identify the systems of
records currently included in the
regulation that the Commission is
exempting, additional systems of
records that the Commission intends to
exempt, and the sections of the Privacy
Act from which the Commission is
exempting each system of records, and
the reasons therefor, in order to better
conform to the requirements of the
Privacy Act and the guidance contained
in Office of Management and Budget
(OMB) Circular A–108, Federal Agency
Responsibilities for Review, Reporting,
and Publication Under the Privacy Act
(OMB A–108). The Commission also
proposes to reorganize the regulations
for ease of reference.
SUMMARY:
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Federal Register / Vol. 89, No. 23 / Friday, February 2, 2024 / Proposed Rules
I. Background
Please submit comments on or
before March 4, 2024.
DATES:
You may submit comments
identified as pertaining to ‘‘Privacy Act
Regulations’’ by any of the following
methods:
• CFTC Comments Portal: https://
comments.cftc.gov. Select the ‘‘Submit
Comments’’ link for this rulemaking and
follow the instructions on the Public
Comment Form.
• Mail: Send to Christopher
Kirkpatrick, Secretary of the
Commission, Commodity Futures
Trading Commission, Three Lafayette
Centre, 1155 21st Street NW,
Washington, DC 20581.
• Hand Delivery/Courier: Follow the
same instructions as for Mail, above.
Please submit your comments using
only one of these methods. To avoid
possible delays with mail or in-person
deliveries, submissions through the
CFTC Comments Portal are encouraged.
All comments must be submitted in
English, or if not, accompanied by an
English translation. Comments will be
posted as received to www.cftc.gov. You
should submit only information that
you wish to make available publicly. If
you wish the Commission to consider
information that may be exempt from
disclosure under the Freedom of
Information Act (FOIA), 5 U.S.C. 552, a
petition for confidential treatment of the
exempt information may be submitted
according to the procedures established
in the Commission’s regulations at 17
CFR 145.9.
The Commission reserves the right,
but shall have no obligation, to review,
pre-screen, filter, redact, refuse, or
remove any or all of a submission from
www.cftc.gov that it may deem to be
inappropriate for publication, such as
obscene language. All submissions that
have been redacted or removed that
contain comments on the merits of the
notice will be retained in the comment
file and will be considered as required
under the Administrative Procedure Act
(APA), and may be accessible under
FOIA.
ADDRESSES:
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FOR FURTHER INFORMATION CONTACT:
Kellie Cosgrove Riley, Chief Privacy
Officer, privacy@cftc.gov, 202–418–
5610, Office of the General Counsel,
Commodity Futures Trading
Commission, Three Lafayette Centre,
1155 21st Street NW, Washington, DC
20581.
SUPPLEMENTARY INFORMATION:
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A. The Privacy Act
The Privacy Act of 1974 1 establishes
a code of fair information practice
principles that govern Federal agencies’
collection, maintenance, use, and
dissemination of an individual’s
personal information. The Privacy Act
applies to information that is
maintained in a ‘‘system of records,’’
defined as a group of any records under
the control of an agency from which
information is retrieved by the name of
the individual or by some identifying
number, symbol, or other identifying
particular assigned to the individual.2
In addition to establishing a code of
fair information practice principles, the
Privacy Act restricts disclosure of
records containing personal information
that an agency maintains.3 The Privacy
Act also grants individuals an increased
right of access to records maintained
about themselves as well as the right to
request amendment of those records
upon a showing that they are not
accurate, relevant, timely, or complete.4
B. Privacy Act Exemptions
The Privacy Act permits agencies,
where certain requirements are met and
subject to limitations set forth in the
Privacy Act, to specifically exempt
systems of records from certain
provisions of the Privacy Act, mainly
pertaining to the Privacy Act’s
provisions permitting individuals to
access and request amendment of their
records.5 In order to claim an
exemption, however, the agency must
engage in a rulemaking process
pursuant to the APA 6 and make clear to
the public why particular exemptions
are being invoked.7
Part 146 of the Commission’s
regulations,8 entitled ‘‘Records
Maintained on Individuals,’’ contains
the rules of the Commission
implementing the Privacy Act.
Commission regulations §§ 146.12 and
146.13 (together, Privacy Act
regulations) currently assert exemptions
for certain of the Commission’s systems
of records that contain records related to
the Commission’s investigatory mission
and personnel security obligations.
After reviewing those regulations, the
Commission has preliminarily
determined that the current Privacy Act
regulations do not include all of the
15
U.S.C. 552a.
U.S.C. 552a(a)(5).
3 5 U.S.C. 552a(b).
4 5 U.S.C. 552a(d).
5 5 U.S.C. 552a(j) and (k).
6 5 U.S.C. 553.
7 5 U.S.C. 552a(j) and (k).
8 17 CFR 146.
25
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systems of records for which the
Commission would, in fact, assert
exemptions, and those systems of
records that are currently referenced are
not clearly identified with each system
of records’ number and accurate title.
The Commission has also preliminarily
determined to add more specificity
regarding the rationale for exempting
each of the systems of records in order
to better demonstrate the Commission’s
compliance with subsections (j) and (k)
of the Privacy Act 9 and the
corresponding guidance in OMB
Circular A–108.10 OMB A–108, issued
in 2016, provides that, at minimum, an
agency’s Privacy Act exemption
regulations shall include the specific
name of any systems of records that will
be exempt pursuant to the regulations,
the specific provisions of the Privacy
Act from which the systems of records
will be exempt and the reasons therefor,
and an explanation of why the
exemption is necessary and
appropriate.11 Accordingly, the
Commission proposes to replace current
§ 146.12 of the Commission’s
regulations with a more detailed
provision that would more specifically
identify all of the systems of records it
proposes to exempt, the specific
provisions of the Privacy Act from
which each system of records is being
exempted, and the reasons why the
Commission is adopting those
exemptions. Moreover, the Commission
has preliminarily concluded that a
separate Privacy Act regulation § 146.13
for exemptions taken for an Office of the
Inspector General (OIG) system of
records is not required by the Privacy
Act or OMB guidance. Accordingly, the
Commission proposes to remove current
Commission regulation § 146.13 and
add the OIG exemptions to proposed
Commission regulation § 146.12, with
revisions to the content as explained
below.
C. Specific Exempted Systems of
Records
1. CFTC–1 Enforcement Matter Register
and Matter Indices (CFTC–1)
CFTC–1 contains an index and
registry of enforcement investigations.
This system of records is not currently
identified in Commission regulation
§ 146.12 as a system of records that the
Commission has exempted. The
Commission is proposing to exempt this
system of records because the records
95
U.S.C. 552a(j) and (k).
A–108, available at https://
www.whitehouse.gov/wp-content/uploads/legacy_
drupal_files/omb/circulars/A108/omb_circular_a108.pdf, at page 25.
11 OMB A–108 at page 25.
10 OMB
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Federal Register / Vol. 89, No. 23 / Friday, February 2, 2024 / Proposed Rules
are compiled for law enforcement
purposes and must be protected from
disclosure in order to maintain the
integrity of the investigative process and
not provide to any individual an
opportunity to access records and
compromise that process, such as
through the destruction of evidence,
interference with witnesses, or
otherwise. In addition, the Commission
is proposing to exempt this system of
records in order to keep confidential the
identity of sources who provided
information to the Commission during
the course of the investigation under an
express promise that their identities
would remain confidential. If an
individual can access the identities of
confidential sources, those sources may
be unwilling to provide information that
the Commission needs for its law
enforcement activities. Specifically, the
Commission is proposing to exempt
CFTC–1, pursuant to subsection (k)(2) of
the Privacy Act 12 and subject to the
requirements and limitations set forth
therein, from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3);
(d)(1), (2), (3), and (4); (e)(1); (e)(4)(G),
(H), and (I); and (f).
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Request for Comment
The Commission requests comment
on the justification for and scope of the
proposed CFTC–1 exemptions.
2. CFTC–10 Investigatory Records
(CFTC–10)
CFTC–10 contains records compiled
for law enforcement purposes, including
records developed during an
investigation of violations or potential
violations of the Commodity Exchange
Act.13 This system of records is
included in the current Commission
regulation § 146.12 but is identified as
‘‘Exempted Investigatory Records’’ and
the exemptions identified in the current
regulation lack the specificity that the
Commission is proposing to include in
new regulation § 146.12. The
Commission is proposing to identify
this system of records by its proper title
and number and set forth the specific
reasons for which it is being exempted
from particular provisions of the Privacy
Act. To that end, the Commission is
proposing to explain in revised
Commission regulation § 146.12 that
this system of records is being exempted
because the records must be protected
from disclosure in order to maintain the
integrity of the investigative process and
not provide an individual an
opportunity to access records and
compromise that process, such as
12 5
13 7
U.S.C. 552a(k)(2).
U.S.C. 1 et seq.
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15:43 Feb 01, 2024
through the destruction of evidence,
interference with witnesses, or
otherwise. In addition, the Commission
is proposing to exempt this system of
records in order to keep confidential the
identity of sources who provided
information to the Commission during
the course of the investigation under an
express promise that their identities
would remain confidential. If an
individual can access the identities of
confidential sources, those sources may
be unwilling to provide information that
the Commission needs for its law
enforcement activities. Specifically, the
Commission is proposing to exempt
CFTC–10, pursuant to subsection (k)(2)
of the Privacy Act 14 and subject to the
requirements and limitations set forth
therein, from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3);
(d)(1), (2), (3), and (4); (e)(1); (e)(4)(G),
(H), and (I); and (f).
Request for Comment
The Commission requests comment
on the justification for and scope of the
CFTC–10 exemptions.
3. CFTC–12 National Futures
Association (NFA) Applications Suite
System (CFTC–12)
CFTC–12 contains records held by
NFA on behalf of the Commission by
delegated authority to support the
Commission’s registration and other
regulatory authority. These records
include records pertaining to the fitness
of individuals to be registered with the
Commission and engage in business
activities that are subject to the
Commission’s jurisdiction and records
pertaining to disciplinary or other
adverse action investigated or taken
with respect to individual registrants.
This system of records is not currently
identified in Commission regulation
§ 146.12 as a system of records that the
Commission has exempted. The
Commission is proposing to exempt this
system of records because to the extent
the records pertaining to individuals
that NFA holds on behalf of the
Commission are investigatory records
compiled for law enforcement purposes,
they must be protected from disclosure
in order to maintain the integrity of the
investigative process and not provide to
any individual an opportunity to access
records and compromise that process,
such as through the destruction of
evidence, interference with witnesses,
or otherwise. In addition, the
Commission is proposing to exempt this
system of records in order to keep
confidential the identity of sources who
provided information to NFA acting on
14 5
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U.S.C. 552a(k)(2).
Frm 00013
Fmt 4702
behalf of the Commission during the
course of the investigation under an
express promise that their identities
would remain confidential. If an
individual can access the identities of
confidential sources, those sources may
be unwilling to provide information that
the Commission needs for its law
enforcement activities. Specifically, the
Commission is proposing to exempt
CFTC–12, pursuant to subsection (k)(2)
of the Privacy Act 15 and subject to the
requirements and limitations set forth
therein, from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3);
(d)(1), (2), (3), and (4); (e)(1); (e)(4)(G),
(H), and (I); and (f).
Request for Comment
The Commission requests comment
on the justification for and scope of the
CFTC–12 exemptions.
4. CFTC–31 Closed Commission
Meetings (CFTC–31)
CFTC–31 contains records about
individuals who are the subject of
discussion at closed Commission
meetings, including those who are the
subject of investigations or who are
being considered for employment. This
system of records is included in the
current Commission regulation § 146.12
but identified as ‘‘Exempted Closed
Commission Meetings’’ and the
exemptions identified in the current
regulation lack the specificity that the
Commission is proposing to include in
new regulation § 146.12. The
Commission is proposing to identify
this system of records by its proper title
and number and to set forth the specific
reasons for which it is being exempted
from particular provisions of the Privacy
Act. To that end, to the extent the
records in this system of records pertain
to law enforcement investigations, the
Commission is proposing to exempt this
system of records because the records
must be protected from disclosure in
order to maintain the integrity of the
investigative process and not to provide
to any individual an opportunity to
compromise that process, such as
through the destruction of evidence,
interference with witnesses, or
otherwise. In addition, the Commission
is proposing to exempt this system of
records in order to keep confidential the
identity of sources who provided
information to the Commission during
the course of the investigation under an
express promise that their identities
would remain confidential. If an
individual can access the identities of
confidential sources, those sources may
be unwilling to provide information that
15 5
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U.S.C. 552a(k)(2).
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Federal Register / Vol. 89, No. 23 / Friday, February 2, 2024 / Proposed Rules
the Commission needs for its law
enforcement activities. Finally, to the
extent records in this system of records
are compiled solely for the purpose of
determining the suitability, eligibility,
or qualifications of an individual who is
being considered for employment with
the Commission, the Commission is
proposing to exempt this system of
records where the disclosure of records
would reveal the identity of somebody
who provided information in the
context of the Commission’s
determination and who had expressly
requested that their identity remain
confidential. The Commission has
preliminarily determined that such an
exemption is necessary in order to
obtain information relevant to its
eligibility determinations. Accordingly,
the Commission is proposing to exempt
CFTC–31, pursuant to subsections (k)(2)
and (k)(5) of the Privacy Act 16 and
subject to the requirements and
limitations set forth therein, from the
following provisions of the Privacy Act:
5 U.S.C. 552a(c)(3); (d)(1), (2), (3), and
(4); (e)(1); (e)(4)(G), (H), and (I); and (f).
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Request for Comment
The Commission requests comment
on the justification for and scope of the
CFTC–31 exemptions.
5. CFTC–32 Office of the Inspector
General Investigative Files (CFTC–32)
CFTC–32 contains records relevant to
criminal and civil investigations
conducted by the Office of the Inspector
General (OIG). This system of records is
included in the current Commission
regulation § 146.13 with exemptions
promulgated pursuant to subsections
(j)(2) and (k)(2) of the Privacy Act, the
former for records related to the OIG’s
criminal law enforcement activities and
the latter for investigatory records
compiled for law enforcement purposes
not within the scope of subsection (j)(2).
The Commission has preliminarily
concluded that a separate Privacy Act
regulation § 146.13 for exemptions taken
for this OIG system of records is not
required by the Privacy Act or OMB
guidance. Accordingly, the Commission,
after consultation with the OIG,
proposes to remove current Commission
regulation § 146.13 and incorporate the
exemptions for CFTC–32 into proposed
Commission regulation § 146.12.
Moreover, the Commission is proposing
to set forth the specific reasons for
which this system of records is being
exempted from particular provisions of
the Privacy Act. To that end, the
Commission is proposing to explain in
revised Commission regulation § 146.12
that this system of records is being
exempted because the records must be
protected from disclosure in order to
maintain the integrity of the
investigative process and not provide to
any individual an opportunity to access
records and compromise that process,
such as through the destruction of
evidence, interference with witnesses,
or otherwise. In addition, the
Commission is proposing to exempt this
system of records in order to keep
confidential the identity of sources who
provided information to the
Commission during the course of the
investigation under an express promise
that their identities would remain
confidential. If an individual can access
the identities of confidential sources,
those sources may be unwilling to
provide information that the
Commission needs for its law
enforcement activities, federal employee
and contractor witnesses may risk
retaliation in the federal workplace, and
any witness may risk witness
interference tactics including threats,
harassment, and physical and emotional
harm. Specifically, the Commission is
proposing to exempt this system of
records, pursuant to subsection (j)(2) of
the Privacy Act 17 and subject to the
requirements and limitations set forth
therein, from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3) and
(4); (d)(1), (2), (3), and (4); (e)(1), (2), (3),
(4)(G)–(I), (5), and (8); (f); and (g). In
addition, the Commission is proposing
to exempt this system of records,
pursuant to subsection (k)(2) of the
Privacy Act 18 and subject to the
requirements and limitations set forth
therein, from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3);
(d)(1), (2), (3), and (4); (e)(1); (e)(4)(G),
(H), and (I); and (f).
Request for Comment
The Commission requests comment
on the justification for and scope of the
CFTC–32 exemptions. The Commission
also requests comment on whether the
CFTC–32 exemptions should be
included in proposed Commission
regulation § 146.12 or remain in
separate Commission regulation
§ 146.13.
6. CFTC–44 Personnel Clearance
System (CFTC–44)
CFTC–44 contains records related to
the background investigations and
security clearances of individuals who
have been or are being considered for
access to Commission facilities,
information technology systems, and
17 5
16 5
U.S.C. 552a(k)(2) and (k)(5), respectively.
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18 5
PO 00000
U.S.C. 552a(j)(2).
U.S.C. 552a(k)(2).
Frm 00014
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classified or confidential information.
These records may include statements
from individuals who have provided
information in the course of a
background investigation and have
requested that their identity remain
confidential, and records that constitute
investigatory materials compiled for law
enforcement purposes. This system of
records is identified in current
regulation § 146.12 by its predecessor
name, ‘‘Exempted Employee
Background Investigation Material,’’ and
the current regulation exempts the
system of records only pursuant to
subsection (k)(5) of the Privacy Act. The
Commission is proposing to identify
this system of records by its proper title
and number and to set forth the specific
reasons for which it is being exempted
from particular provisions of the Privacy
Act pursuant to both subsection (k)(2)
and (k)(5) of the Privacy Act.19 To that
end, to the extent records in this system
of records are compiled solely for the
purpose of determining an individual’s
suitability, eligibility, or qualifications
for employment with the Commission,
the Commission is proposing to explain
in the revised Commission regulation
§ 146.12 that this system of records is
exempt where the disclosure of records
would reveal the identity of somebody
who provided information in the
context of the Commission’s
determination and who had expressly
requested that their identity remain
confidential in order to maintain the
promised confidentiality and enable the
Commission to obtain information
relevant to its eligibility determinations.
In addition, to the extent records in this
system of records pertain to law
enforcement investigations, the
Commission is proposing to exempt this
system of records because the records
must be protected from disclosure in
order to maintain the integrity of the
investigative process and not provide to
any individual the opportunity to
compromise that process, such as
through the destruction of evidence,
interference with witnesses, or
otherwise. The Commission is also
proposing to exempt this system of
records in order to keep confidential the
identity of sources who provided
information to the Commission during
the course of the investigation under an
express promise that their identities
would remain confidential. If an
individual can access the identities of
confidential sources, those sources may
be unwilling to provide information that
the Commission needs for its law
enforcement activities. Specifically, the
Commission is proposing to exempt this
19 5
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system of records, pursuant to
subsections (k)(2) and (k)(5) of the
Privacy Act 20 and subject to the
requirements and limitations set forth
therein, from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3);
(d)(1), (2), (3), and (4); (e)(1); (e)(4)(G),
(H), and (I); and (f).
Request for Comment
The Commission requests comment
on the justification for and scope of the
CFTC–44 exemptions.
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7. CFTC–49
(CFTC–49)
Whistleblower Records
CFTC–49 contains records related to
whistleblower tips, complaints and
referrals, records related to
investigations and inquiries into
whistleblower complaints, and records
related to the whistleblower award
claim and determination process. This
system of records is not currently
identified in Commission regulation
§ 146.12 as a system of records that the
Commission has exempted. The
Commission is proposing to exempt this
system of records because the records
are compiled for law enforcement
purposes and must be protected from
disclosure in order to maintain the
integrity of the whistleblower process
and not provide to any individual an
opportunity to access records and
compromise an investigation, such as
through the destruction of evidence,
interference with witnesses, or
otherwise. In addition, the Commission
is proposing to exempt this system of
records in order to keep confidential the
identity of sources who provided
information during the course of the
investigation under an express promise
that their identities would remain
confidential. If an individual can access
the identities of confidential sources,
those sources may be unwilling to
provide information that the
Commission needs to investigate
whistleblower tips, complaints, and
referrals. Specifically, the Commission
proposes to exempt this system of
records, pursuant to subsection (k)(2) of
the Privacy Act 21 and subject to the
requirements and limitations set forth
therein, from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3);
(d)(1), (2), (3), and (4); (e)(1); (e)(4)(G),
(H), and (I); and (f).
Request for Comment
The Commission requests comment
on the justification for and scope of the
CFTC–49 exemptions.
II. Related Matters
A. Regulatory Flexibility Act
The Regulatory Flexibility Act (RFA)
requires federal agencies to consider
whether the rules they propose will
have a significant economic impact on
a substantial number of small entities
and, if so, to provide a regulatory
flexibility analysis regarding the
economic impact on those entities.22
The proposed regulations, issued
under the Privacy Act, exempt certain
systems of records maintained by the
Commission from certain provisions of
the Privacy Act, primarily those
provisions related to an individual’s
right to access and seek amendment of
those records. Individuals are defined in
the Privacy Act as United States citizens
or aliens lawfully admitted to the
United States for permanent
residence.23 Small entities, as defined in
the RFA, are not individuals under the
Privacy Act and are not provided rights
thereunder; therefore, small entities are
outside the scope of the proposed
regulations. Accordingly, the Chairman,
on behalf of the Commission, hereby
certifies pursuant to 5 U.S.C. 605(b),
that this proposed rule will not have a
significant economic impact on a
substantial number of small entities.
B. Paperwork Reduction Act
The Paperwork Reduction Act (PRA)
imposes certain requirements on federal
agencies in connection with their
conducting or sponsoring any collection
of information.24 The Commission may
not conduct or sponsor, and a
respondent is not required to respond
to, a request for collection of
information unless the information
collection request displays a currently
valid control number issued by OMB.
This proposed rule does not contain a
‘‘collection of information,’’ as defined
in the PRA. Accordingly, the
requirements imposed by the PRA are
not applicable to this proposed rule.
C. Cost-Benefit Considerations
Section 15(a) of the Commodity
Exchange Act (CEA) provides that,
before promulgating a regulation under
the CEA or issuing an order, the
Commission shall consider the costs
and benefits of the action of the
Commission.25 Section 15(a) further
specifies that the costs and benefits
shall be evaluated in light of five broad
areas of market and public concern: (1)
protection of market participants and
22 5
U.S.C. 601 et seq.
U.S.C. 552a(a)(2).
24 5 U.S.C. 3501 et seq.
25 7 U.S.C. 19(a).
the public; (2) efficiency,
competitiveness, and financial integrity
of the futures markets; (3) price
discovery; (4) sound risk management
practices; and (5) other public interest
considerations.26 The proposed rules
are being promulgated under the
Privacy Act and pertain to the rights of
individuals with respect to records the
Commission maintains about them. The
proposed rules are not being
promulgated under the CEA. Therefore,
the Commission preliminarily finds that
the considerations enumerated in
section 15(a)(2) of the CEA are not
applicable here.
Request for Comment
The Commission requests comment
on whether its preliminary finding is
correct.
D. Antitrust Considerations
Section 15(b) of the CEA requires the
Commission to take into consideration
the public interest to be protected by the
antitrust laws and endeavor to take the
least anticompetitive means of
achieving the purposes of the CEA, in
issuing any order or adopting any
Commission rule or regulation
(including any exemption under section
4(c) or 4c(b)), or in requiring or
approving any bylaw, rule, or regulation
of a contract market or registered futures
association established pursuant to
section 17 of the CEA.27 The
Commission believes that the public
interest to be protected by the antitrust
laws is generally to protect competition.
The Commission has considered the
proposed rule to determine whether it is
anticompetitive and has preliminarily
identified no anticompetitive effects.
Because the Commission has
preliminarily determined that the
proposed rule is not anticompetitive
and has no anticompetitive effects, the
Commission has not identified any less
anticompetitive means of achieving the
purposes of the Act.
Request for Comment
The Commission requests comment
on whether the proposed rule is
anticompetitive and, if it is, what the
anticompetitive effects are and whether
there are less anticompetitive means of
achieving the relevant purposes of the
Act that would otherwise be served by
adopting the proposed rule. The
Commission also requests comment on
whether the proposed rule implicates
any other specific public interest to be
protected by the antitrust laws.
23 5
20 5
21 5
U.S.C. 552a(k)(2) and (k)(5).
U.S.C. 552a(k)(2).
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U.S.C. 19(a)(2).
U.S.C. 19(b).
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List of Subjects in 17 CFR Part 146
Privacy.
For the reasons stated in the
preamble, the Commodity Futures
Trading Commission proposes to amend
17 CFR part 146 as follows:
PART 146—RECORDS MAINTAINED
ON INDIVIDUALS
1. The authority citation for part 146
continues to read as follows:
■
Authority: 88 Stat. 1896 (5 U.S.C. 552a),
as amended; 88 Stat. 1389 (7 U.S.C. 4a(j)).
■
2. Revise § 146.12 to read as follows:
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§ 146.12
Exemptions.
The Commission is exempting from
certain provisions of the Privacy Act the
systems of records set forth in this
section. In addition, when these systems
of records and any other of the
Commission’s systems of records
maintain a record received from another
system of records that is exempted from
one or more provisions of the Privacy
Act, the Commission will claim the
same exemptions for that record that are
claimed for the system of records from
which it originated.
(a) CFTC–1 Enforcement Matter
Register and Matter Indices. The system
of records identified as CFTC–1
Enforcement Matter Register and Matter
Indices contains an index and registry of
enforcement investigations. Pursuant to
5 U.S.C. 552a(k)(2) and subject to the
requirements and limitations set forth
therein, the Commission is exempting
this system of records from the
following provisions of the Privacy Act:
5 U.S.C. 552a(c)(3); (d)(1), (2), (3), and
(4); (e)(1); (e)(4)(G), (H), and (I); and (f),
and from the following corresponding
sections of this part: 146.3; 146.5;
146.6(d); 146.11(a)(7), (8), and (9); and
146.7(a). Exemptions from these
particular subsections of the Privacy Act
and sections of this part promulgated
thereunder are justified for the
following reasons:
(1) From subsection (c)(3)
(Accounting of Certain Disclosures),
because release of the accounting of
certain disclosures could alert the
subject of an investigation to the
existence and extent of that
investigation and reveal the
investigative interests of the
Commission and the recipient entity.
Release of such information to the
subject of an investigation could
reasonably be anticipated to impede and
interfere with the Commission’s efforts
to identify and investigate unlawful
activities.
(2) From subsection (d)(1), (2), (3),
and (4) (Access and Amendment),
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because individual access to these
records could alert the subject of an
investigation to the existence and extent
of that investigation and reveal the
investigative interests of the
Commission and others. Providing a
subject with access to these records
could impair the effectiveness of the
Commission’s investigations and could
significantly impede the investigation
by providing the opportunity for the
subject to destroy documentary
evidence, improperly influence
witnesses and confidential sources,
fabricate testimony, and engage in other
activities that could compromise the
investigation. In addition, providing an
individual with access to these records
may reveal the identity of a source who
furnished information under an express
promise that their identity would
remain confidential. Allowing the
subject of the investigation to amend
records in this system of records could
likewise interfere with ongoing law
enforcement proceedings and impose an
impossible administrative burden by
requiring law enforcement
investigations to be continuously
reinvestigated.
(3) From subsection (e)(1) (Relevancy
and Necessity of Information), because
in the course of investigations into
potential violations of law, the
significance of certain information may
not be clear or the information may not
be strictly relevant or necessary to a
specific investigation; but, effective law
enforcement requires the retention of all
information that may aid in establishing
patterns of unlawful activity and
providing investigative leads.
(4) From subsection (e)(4)(G), (H),
and(I) (Agency Requirements) and (f)
(Agency Rules), because the
Commission is not required to establish
requirements, rules, or procedures
related to access and amendment of
records in a system of records that is
exempt from the individual access and
amendment provisions in subsection (d)
of the Privacy Act.
(b) CFTC–10 Investigatory Records.
The system of records identified as
CFTC–10 Investigatory Records contains
records compiled for law enforcement
purposes, including records developed
during an investigation of violations or
potential violations of the Commodity
Exchange Act. Pursuant to 5 U.S.C.
552a(k)(2) and subject to the
requirements and limitations set forth
therein, the Commission is exempting
this system of records from the
following provisions of the Privacy Act:
5 U.S.C. 552a(c)(3); (d)(1), (2), (3), and
(4); (e)(1); (e)(4)(G), (H), and (I); and (f),
and from the following corresponding
sections of this part: 146.3; 146.5;
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146.6(d); 146.11(a)(7), (8), and (9); and
146.7(a). Exemptions from these
particular subsections of the Privacy Act
and sections of this part promulgated
thereunder are justified for the
following reasons:
(1) From subsection (c)(3)
(Accounting of Certain Disclosures),
because release of the accounting of
certain disclosures could alert the
subject of an investigation to the
existence and extent of that
investigation and reveal the
investigative interests of the
Commission and the recipient entity.
Release of such information to the
subject of an investigation could
reasonably be anticipated to impede and
interfere with the Commission’s efforts
to identify and investigate unlawful
activities.
(2) From subsection (d)(1), (2), (3),
and (4) (Access and Amendment),
because individual access to these
records could alert the subject of an
investigation to the existence and extent
of that investigation and reveal the
investigative interests of the
Commission and others. Providing a
subject with access to these records
could impair the effectiveness of the
Commission’s investigations and could
significantly impede the investigation
by providing the opportunity for the
subject to destroy documentary
evidence, improperly influence
witnesses and confidential sources,
fabricate testimony, and engage in other
activities that could compromise the
investigation. In addition, providing an
individual with access to these records
may reveal the identity of a source who
furnished information under an express
promise that their identity would
remain confidential. Allowing the
subject of the investigation to amend
records in this system of records could
likewise interfere with ongoing law
enforcement proceedings and impose an
impossible administrative burden by
requiring law enforcement
investigations to be continuously
reinvestigated.
(3) From subsection (e)(1) (Relevancy
and Necessity of Information), because
in the course of investigations into
potential violations of law, the
significance of certain information may
not be clear or the information may not
be strictly relevant or necessary to a
specific investigation; but, effective law
enforcement requires the retention of all
information that may aid in establishing
patterns of unlawful activity and
providing investigative leads.
(4) From subsection (e)(4)(G), (H),
and(I) (Agency Requirements) and (f)
(Agency Rules), because the
Commission is not required to establish
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Federal Register / Vol. 89, No. 23 / Friday, February 2, 2024 / Proposed Rules
requirements, rules, or procedures
related to access and amendment of
records in a system of records that is
exempt from the individual access and
amendment provisions in subsection (d)
of the Privacy Act.
(c) CFTC–12 National Futures
Association (NFA) Applications Suite
System. The system of records identified
as CFTC–12 National Futures
Association (NFA) Applications Suite
System contains records held by NFA
on behalf of the Commission, by
delegated authority to support the
Commission’s registration and other
regulatory authority. These records
include records pertaining to the fitness
of individuals to be registered with the
Commission and engage in business
activities that are subject to the
Commission’s jurisdiction and records
pertaining to disciplinary or other
adverse action investigated or taken
with respect to individual registrants.
Pursuant to 5 U.S.C. 552a(k)(2) and
subject to the requirements and
limitations set forth therein, the
Commission is exempting this system of
records from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3);
(d)(1), (2), (3), and (4); (e)(1); (e)(4)(G),
(H), and (I); and (f), and from the
following corresponding sections of this
part: 146.3; 146.5; 146.6(d); 146,11(a)(7),
(8), and (9); and 146.7(a). Exemptions
from these particular subsections of the
Privacy Act are justified for the
following reasons:
(1) From subsection (c)(3)
(Accounting of Certain Disclosures),
because release of accountings of certain
disclosures could alert the subject of an
investigation to the existence and extent
of that investigation and reveal the
investigative interests of the
Commission and the recipient entity.
Release of such information to the
subject of an investigation could
reasonably be anticipated to impede and
interfere with the Commission’s efforts
to identify and investigate unlawful
activities.
(2) From subsection (d)(1), (2), (3),
and (4) (Access and Amendment),
because individual access to these
records could alert the subject of an
investigation to the existence and extent
of that investigation and reveal the
investigative interests of the
Commission and others. Providing a
subject with access to these records
could impair the effectiveness of the
Commission’s investigations and could
significantly impede the investigation
by providing the opportunity for the
subject to destroy documentary
evidence, improperly influence
witnesses and confidential sources,
fabricate testimony, and engage in other
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activities that could compromise the
investigation. In addition, providing an
individual with access to these records
may reveal the identity of a source who
furnished information under an express
promise that their identity would
remain confidential. Allowing the
subject of the investigation to amend
records in this system of records could
likewise interfere with ongoing law
enforcement proceedings and impose an
impossible administrative burden by
requiring law enforcement
investigations to be continuously
reinvestigated.
(3) From subsection (e)(1) (Relevancy
and Necessity of Information), because
in the course of investigations into
potential violations of law, the
significance of certain information may
not be clear or the information may not
be strictly relevant or necessary to a
specific investigation; but, effective law
enforcement requires the retention of all
information that may aid in establishing
patterns of unlawful activity and
providing investigative leads.
(4) From subsection (e)(4)(G), (H), and
(I) (Agency Requirements) and (f)
(Agency Rules), because the
Commission is not required to establish
requirements, rules, or procedures
related to access and amendment of
records in a system of records that is
exempt from the individual access and
amendment provisions in subsection (d)
of the Privacy Act.
(d) CFTC–31 Closed Commission
Meetings. The system of records
identified as CFTC–31 Closed
Commission Meetings contains records
about individuals who are the subject of
discussion at closed Commission
meetings, including those who are the
subject of investigations or who are
being considered for employment.
These records may include statements
from individuals who have provided
information in the course of an
applicant’s or employee’s background
investigation or other Commission
investigation and who have requested
that their identities remain confidential.
Pursuant to 5 U.S.C. 552a(k)(2) and
(k)(5) and subject to the requirements
and limitations set forth therein, the
Commission is exempting this system of
records from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3);
(d)(1), (2), (3), and (4); (e)(1); (e)(4)(G),
(H), and (I); and (f), and from the
following corresponding sections of this
part: 146.3; 146.5; 146.6(d); 146.11(a)(7),
(8), and (9); and § 146.7(a). Exemptions
from these particular subsections of the
Privacy Act are justified for the
following reasons:
(1) From subsection (c)(3)
(Accounting of Certain Disclosures),
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7313
because release of the accounting of
certain disclosures could alert the
subject of an investigation to the
existence and extent of that
investigation and reveal the
investigative interests of the
Commission and the recipient entity.
Release of such information to the
subject of an investigation could
reasonably be anticipated to impede and
interfere with the Commission’s efforts
to identify and investigate unlawful
activities.
(2) From subsection (d)(1), (2), (3),
and (4) (Access and Amendment),
because individual access to these
records could alert the subject of an
investigation to the existence and extent
of that investigation and reveal the
investigative interests of the
Commission and others. Providing a
subject with access to these records
could impair the effectiveness of the
Commission’s investigations and could
significantly impede the investigation
by providing the opportunity for the
subject to destroy documentary
evidence, improperly influence
witnesses and confidential sources,
fabricate testimony, and engage in other
activities that could compromise the
investigation. In addition, providing an
individual with access to these records
may reveal the identity of a source who
furnished information under an express
promise that their identity would
remain confidential. Allowing the
subject of the investigation to amend
records in this system of records could
likewise interfere with ongoing law
enforcement proceedings and impose an
impossible administrative burden by
requiring law enforcement
investigations to be continuously
reinvestigated.
(3) From subsection (e)(1) (Relevancy
and Necessity of Information), because
in the course of investigations into
potential violations of law, the
significance of certain information may
not be clear or the information may not
be strictly relevant or necessary to a
specific investigation; but, effective law
enforcement requires the retention of all
information that may aid in establishing
patterns of unlawful activity and
providing investigative leads.
(4) From subsection (e)(4)(G), (H), and
(I) (Agency Requirements) and (f)
(Agency Rules), because the
Commission is not required to establish
requirements, rules, or procedures
related to access and amendment of
records in a system of records that is
exempt from the individual access and
amendment provisions in subsection (d)
of the Privacy Act.
(e) CFTC–32, Office of the Inspector
General Investigative Files. The system
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Federal Register / Vol. 89, No. 23 / Friday, February 2, 2024 / Proposed Rules
of records identified as CFTC–32 Office
of the Inspector General Investigative
Files contains records relevant to
criminal and civil investigations
conducted by the Office of the Inspector
General, including records about
individuals being investigated for
fraudulent and abusive activities.
Pursuant to 5 U.S.C. 552a(j)(2) and
subject to the requirements and
limitations set forth therein, the
Commission is exempting this system of
records from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3) and
(4); (d)(1), (2), (3), and (4); (e)(1), (2), (3),
(4)(G)–(I), (5), and (8); (f); and (g), and
from the following corresponding
sections of this part: 146.3; 146.4; 146.5;
146.6(b), (d), and (e); 146.7(a), (c), and
(d); 146.8; 146.9; 146.10; and
146.11(a)(7), (8), and (9). In addition,
pursuant to 5 U.S.C. 552a(k)(2) and
subject to the requirements and
limitations set forth therein, the
Commission is exempting this system of
records from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3);
(d)(1), (2), (3), and (4); (e)(1); (e)(4)(G),
(H), and (I); and (f), and from the
following corresponding sections of this
part: 146.3; 146.5; 146.6(d); 146.11(a)(7),
(8), and (9); and 146.7(a). Exemptions
from these particular subsections of the
Privacy Act are justified for the
following reasons:
(1) From subsection (c)(3)
(Accounting of Certain Disclosures),
because release of the accounting of
certain disclosures could alert the
subject of an investigation to the
existence and extent of that
investigation and reveal the
investigative interests of the
Commission and the recipient entity.
Release of such information to the
subject of an investigation could
reasonably be anticipated to impede and
interfere with the Commission’s efforts
to identify and investigate unlawful
activities.
(2) From subsection (c)(4) (Notice of
Correction), because this system is
exempt from the access and amendment
provisions of subsection (d), as noted in
paragraph (e)(3) of this section.
(3) From subsection (d)(1), (2), (3),
and (4) (Access and Amendment),
because individual access to these
records could alert the subject of an
investigation to the existence and extent
of that investigation and reveal the
investigative interests of the
Commission and others. Providing a
subject with access to these records
could impair the effectiveness of the
Commission’s investigations and could
significantly impede the investigation
by providing the opportunity for the
subject to destroy documentary
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evidence, improperly influence
witnesses and confidential sources,
fabricate testimony, and engage in other
activities that could compromise the
investigation. In addition, providing an
individual with access to these records
may reveal the identity of a source who
furnished information under an express
promise that their identity would
remain confidential. Allowing the
subject of the investigation to amend
records in this system of records could
likewise interfere with ongoing law
enforcement proceedings and impose an
impossible administrative burden by
requiring law enforcement
investigations to be continuously
reinvestigated.
(4) From subsection (e)(1) (Relevancy
and Necessity of Information) and (5)
(Accuracy, Timeliness, Relevance, and
Completeness), because in the course of
investigations into potential violations
of law, the significance of certain
information may not be clear or the
information may not be strictly relevant
or necessary to a specific investigation;
but, effective law enforcement requires
the retention of all information that may
aid in establishing patterns of unlawful
activity and providing investigative
leads.
(5) From subsection (e)(2) (Collect
from Individual), because in a law
enforcement investigation the
requirement that information be
collected to the greatest extent possible
from the subject individual would
present a serious impediment to law
enforcement, in that the subject of the
investigation would be informed of the
existence of the investigation and would
therefore be able to avoid detection,
apprehension, or legal obligations or
duties.
(6) From subsection (e)(3) (Privacy
Act Statement), because to comply with
the requirements of this subsection
during the course of an investigation
could impede the information gathering
process and hamper the investigation.
(7) From subsection (e)(4)(G), (H), and
(I) (Agency Requirements) and (f)
(Agency Rules), because the
Commission is not required to establish
requirements, rules, or procedures
related to access and amendment of
records in a system of records that is
exempt from the individual access and
amendment provisions in subsection (d)
of the Privacy Act.
(8) From subsection (e)(8) (Serve
Notice), because the application of this
provision could prematurely reveal an
ongoing criminal investigation to the
subject of the investigation, present a
serious impediment to law enforcement
by interfering with the ability to issue
subpoenas or otherwise gather
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information, and reveal investigative
techniques, procedures, or evidence.
(9) From subsection (g) (Civil
Remedies), because this system of
records is exempt from the individual
access and amendment provisions in
subsection (d) of the Privacy Act for the
reasons noted in paragraph (e)(3) of this
section; therefore, the Commission is
not subject to civil action for failure to
adhere to those requirements.
(f) CFTC–44 Personnel Clearance
System. The system of records identified
as CFTC–44 Personnel Clearance
System contains records related to the
background investigations and security
clearances of individuals who have been
or are being considered for access to
Commission facilities, information
technology systems, and classified or
confidential information. These records
may include statements from
individuals who have provided
information in the course of a
background investigation and have
requested that their identity remain
confidential. Pursuant to 5 U.S.C.
552a(k)(2) and (k)(5) and subject to the
requirements and limitations set forth
therein, the Commission is exempting
this system of records from the
following provisions of the Privacy Act:
5 U.S.C. 552a(c)(3); (d)(1), (2), (3), and
(4); (e)(1); (e)(4)(G), (H), and (I); and (f),
and from the following corresponding
sections of this part: 146.3; 146.5;
146.6(d); 146.11(a)(7), (8), and (9); and
146.7(a). Exemptions from these
particular subsections of the Privacy Act
are justified for the following reasons:
(1) From subsections (c)(3)
(Accounting of Certain Disclosures),
because release of the accounting of
certain disclosures could alert the
subject of an investigation to the extent
of that investigation and reveal
investigative interests of the
Commission and the recipient entity
that were previously unknown to the
individual. Release of such information
to the subject of an investigation could
reasonably be anticipated to impede and
interfere with the Commission’s efforts
to adequately assess an individual when
making a decision about the
individual’s access to Commission
facilities, information technology
systems, and classified and confidential
information.
(2) From subsection (d)(1), (2), (3),
and (4) (Access and Amendment),
because the records contained in this
system may be related to ongoing
investigations, and individual access to
these records could alert the subject of
an investigation to the extent of that
investigation and reveal investigative
interests of the Commission and others
that were previously unknown to the
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Federal Register / Vol. 89, No. 23 / Friday, February 2, 2024 / Proposed Rules
individual. Providing a subject with
access to these records could impair the
effectiveness of the Commission’s
investigations and could significantly
impede the investigation by providing
the opportunity for the subject to
destroy documentary evidence,
improperly influence witnesses and
confidential sources, fabricate
testimony, and engage in other activities
that could compromise the
investigation. In addition, providing an
individual with access to these records
may reveal the identity of a source who
furnished information under an express
promise that their identity would
remain confidential. Amendment of the
records in this system of records would
interfere with ongoing law enforcement
proceedings and impose an impossible
administrative burden by requiring law
enforcement investigations to be
continuously reinvestigated.
(3) From subsection (e)(1) (Relevancy
and Necessity of Information), because
in the course of conducting and
adjudicating background investigations,
the significance of certain information
may not be clear or the information may
not be strictly relevant or necessary to
a specific investigation; but, effective
investigations require the retention of
all information that may aid in the
investigation and provide investigative
leads.
(4) From subsection (e)(4)(G), (H), and
(I) (Agency Requirements) and (f)
(Agency Rules), because the
Commission is not required to establish
requirements, rules, or procedures
related to access and amendment of
records in a system of records that is
exempt from the individual access and
amendment provisions in subsection (d)
of the Privacy Act.
(g) CFTC–49 Whistleblower Records.
The system of records identified as
CFTC–49 Whistleblower Records
contains records related to
whistleblower tips, complaints and
referrals, records related to
investigations and inquiries into
whistleblower complaints, and records
related to the whistleblower award
claim and determination process.
Pursuant to 5 U.S.C. 552a(k)(2) and
subject to the requirements and
limitations set forth therein, the
Commission is exempting this system of
records from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3);
(d)(1), (2), (3), and (4); (e)(1); (e)(4)(G),
(H), and (I); and (f), and from the
following corresponding sections of this
part: 146.3; 146.5; 146.6(d); 146.11(a)(7),
(8), and (9); and 146.7(a). Exemptions
from these particular subsections of the
Privacy Act are justified for the
following reasons:
VerDate Sep<11>2014
15:43 Feb 01, 2024
Jkt 262001
(1) From subsection (c)(3)
(Accounting of Certain Disclosures),
because release of the accounting of
certain disclosures could alert the
subject of an investigation to the
existence and extent of that
investigation and reveal the
investigative interests of the
Commission and the recipient entity.
Release of such information to the
subject of an investigation could
reasonably be anticipated to impede and
interfere with the Commission’s efforts
to identify and investigate unlawful
activities.
(2) From subsection (d)(1), (2), (3),
and (4) (Access and Amendment),
because individual access to these
records could alert the subject of an
investigation to the existence and extent
of that investigation and reveal the
investigative interests of the
Commission and others. Providing a
subject with access to these records
could impair the effectiveness of the
Commission’s investigations and could
significantly impede the investigation
by providing the opportunity for the
subject to destroy documentary
evidence, improperly influence
witnesses and confidential sources,
fabricate testimony, and engage in other
activities that could compromise the
investigation. Allowing the subject of
the investigation to amend records in
this system of records could likewise
interfere with ongoing law enforcement
proceedings and impose an impossible
administrative burden by requiring law
enforcement investigations to be
continuously reinvestigated.
(3) From subsection (e)(1) (Relevancy
and Necessity of Information), because
in the course of investigations, the
significance of certain information may
not be clear or the information may not
be strictly relevant or necessary to a
specific investigation; but, effective
investigations require the retention of
all information that may aid in the
investigation or aid in establishing
patterns of activity and provide
investigative leads.
(4) From subsection (e)(4)(G), (H), and
(I) (Agency Requirements) and (f)
(Agency Rules), because the
Commission is not required to establish
requirements, rules, or procedures
related to access and amendment of
records in a system of records that is
exempt from the individual access and
amendment provisions in subsection (d)
of the Privacy Act.
§ 146.13
■
[Removed]
3. Remove § 146.13.
PO 00000
Frm 00019
Fmt 4702
Sfmt 4702
7315
Issued in Washington, DC, on January 24,
2024, by the Commission.
Christopher Kirkpatrick,
Secretary of the Commission.
Note: The following appendix will not
appear in the Code of Federal Regulations.
Appendix to Privacy Act Regulations—
Commission Voting Summary
On this matter, Chairman Behnam and
Commissioners Johnson, Goldsmith Romero,
Mersinger, and Pham voted in the
affirmative. No Commissioner voted in the
negative.
[FR Doc. 2024–01684 Filed 2–1–24; 8:45 am]
BILLING CODE 6351–01–P
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
Food and Drug Administration
21 CFR Part 117
[Docket No. FDA–2016–D–2343]
Hazard Analysis and Risk-Based
Preventive Controls for Human Food;
Draft Guidance for Industry;
Availability
AGENCY:
Food and Drug Administration,
HHS.
ACTION:
Notification of availability.
The Food and Drug
Administration (FDA, we, or the
Agency) is announcing the availability
of a revised draft Introduction, and a
revised draft Appendix 1, within a
multichapter guidance for industry
entitled ‘‘Hazard Analysis and RiskBased Preventive Controls for Human
Food.’’ This multichapter draft
guidance, when finalized, will explain
our current thinking on how to comply
with the requirements for hazard
analysis and risk-based preventive
controls under our rule entitled
‘‘Current Good Manufacturing Practice,
Hazard Analysis, and Risk-Based
Preventive Controls for Human Food.’’
We revised the draft Introduction and
draft Appendix 1: Known or Reasonably
Foreseeable Hazards (‘‘Potential
Hazards’’) to address comments
submitted on drafts that we made
available in 2016. This draft guidance is
not final nor is it in effect at this time.
DATES: Submit either electronic or
written comments on the draft guidance
by June 3, 2024 to ensure that the
Agency considers your comment on this
draft guidance before it begins work on
the final version of the guidance.
ADDRESSES: You may submit comments
on any guidance at any time as follows:
SUMMARY:
E:\FR\FM\02FEP1.SGM
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Agencies
[Federal Register Volume 89, Number 23 (Friday, February 2, 2024)]
[Proposed Rules]
[Pages 7307-7315]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-01684]
=======================================================================
-----------------------------------------------------------------------
COMMODITY FUTURES TRADING COMMISSION
17 CFR Part 146
RIN 3038-AF22
Privacy Act Regulations
AGENCY: Commodity Futures Trading Commission.
ACTION: Notice of proposed rulemaking.
-----------------------------------------------------------------------
SUMMARY: The Commodity Futures Trading Commission (CFTC or Commission)
proposes to update its regulations regarding exemptions for certain
systems of records from one or more provisions of the Privacy Act of
1974 (Privacy Act). The Commission proposes to revise these regulations
to specifically identify the systems of records currently included in
the regulation that the Commission is exempting, additional systems of
records that the Commission intends to exempt, and the sections of the
Privacy Act from which the Commission is exempting each system of
records, and the reasons therefor, in order to better conform to the
requirements of the Privacy Act and the guidance contained in Office of
Management and Budget (OMB) Circular A-108, Federal Agency
Responsibilities for Review, Reporting, and Publication Under the
Privacy Act (OMB A-108). The Commission also proposes to reorganize the
regulations for ease of reference.
[[Page 7308]]
DATES: Please submit comments on or before March 4, 2024.
ADDRESSES: You may submit comments identified as pertaining to
``Privacy Act Regulations'' by any of the following methods:
CFTC Comments Portal: https://comments.cftc.gov. Select
the ``Submit Comments'' link for this rulemaking and follow the
instructions on the Public Comment Form.
Mail: Send to Christopher Kirkpatrick, Secretary of the
Commission, Commodity Futures Trading Commission, Three Lafayette
Centre, 1155 21st Street NW, Washington, DC 20581.
Hand Delivery/Courier: Follow the same instructions as for
Mail, above.
Please submit your comments using only one of these methods. To
avoid possible delays with mail or in-person deliveries, submissions
through the CFTC Comments Portal are encouraged.
All comments must be submitted in English, or if not, accompanied
by an English translation. Comments will be posted as received to
www.cftc.gov. You should submit only information that you wish to make
available publicly. If you wish the Commission to consider information
that may be exempt from disclosure under the Freedom of Information Act
(FOIA), 5 U.S.C. 552, a petition for confidential treatment of the
exempt information may be submitted according to the procedures
established in the Commission's regulations at 17 CFR 145.9.
The Commission reserves the right, but shall have no obligation, to
review, pre-screen, filter, redact, refuse, or remove any or all of a
submission from www.cftc.gov that it may deem to be inappropriate for
publication, such as obscene language. All submissions that have been
redacted or removed that contain comments on the merits of the notice
will be retained in the comment file and will be considered as required
under the Administrative Procedure Act (APA), and may be accessible
under FOIA.
FOR FURTHER INFORMATION CONTACT: Kellie Cosgrove Riley, Chief Privacy
Officer, [email protected], 202-418-5610, Office of the General Counsel,
Commodity Futures Trading Commission, Three Lafayette Centre, 1155 21st
Street NW, Washington, DC 20581.
SUPPLEMENTARY INFORMATION:
I. Background
A. The Privacy Act
The Privacy Act of 1974 \1\ establishes a code of fair information
practice principles that govern Federal agencies' collection,
maintenance, use, and dissemination of an individual's personal
information. The Privacy Act applies to information that is maintained
in a ``system of records,'' defined as a group of any records under the
control of an agency from which information is retrieved by the name of
the individual or by some identifying number, symbol, or other
identifying particular assigned to the individual.\2\
---------------------------------------------------------------------------
\1\ 5 U.S.C. 552a.
\2\ 5 U.S.C. 552a(a)(5).
---------------------------------------------------------------------------
In addition to establishing a code of fair information practice
principles, the Privacy Act restricts disclosure of records containing
personal information that an agency maintains.\3\ The Privacy Act also
grants individuals an increased right of access to records maintained
about themselves as well as the right to request amendment of those
records upon a showing that they are not accurate, relevant, timely, or
complete.\4\
---------------------------------------------------------------------------
\3\ 5 U.S.C. 552a(b).
\4\ 5 U.S.C. 552a(d).
---------------------------------------------------------------------------
B. Privacy Act Exemptions
The Privacy Act permits agencies, where certain requirements are
met and subject to limitations set forth in the Privacy Act, to
specifically exempt systems of records from certain provisions of the
Privacy Act, mainly pertaining to the Privacy Act's provisions
permitting individuals to access and request amendment of their
records.\5\ In order to claim an exemption, however, the agency must
engage in a rulemaking process pursuant to the APA \6\ and make clear
to the public why particular exemptions are being invoked.\7\
---------------------------------------------------------------------------
\5\ 5 U.S.C. 552a(j) and (k).
\6\ 5 U.S.C. 553.
\7\ 5 U.S.C. 552a(j) and (k).
---------------------------------------------------------------------------
Part 146 of the Commission's regulations,\8\ entitled ``Records
Maintained on Individuals,'' contains the rules of the Commission
implementing the Privacy Act. Commission regulations Sec. Sec. 146.12
and 146.13 (together, Privacy Act regulations) currently assert
exemptions for certain of the Commission's systems of records that
contain records related to the Commission's investigatory mission and
personnel security obligations. After reviewing those regulations, the
Commission has preliminarily determined that the current Privacy Act
regulations do not include all of the systems of records for which the
Commission would, in fact, assert exemptions, and those systems of
records that are currently referenced are not clearly identified with
each system of records' number and accurate title. The Commission has
also preliminarily determined to add more specificity regarding the
rationale for exempting each of the systems of records in order to
better demonstrate the Commission's compliance with subsections (j) and
(k) of the Privacy Act \9\ and the corresponding guidance in OMB
Circular A-108.\10\ OMB A-108, issued in 2016, provides that, at
minimum, an agency's Privacy Act exemption regulations shall include
the specific name of any systems of records that will be exempt
pursuant to the regulations, the specific provisions of the Privacy Act
from which the systems of records will be exempt and the reasons
therefor, and an explanation of why the exemption is necessary and
appropriate.\11\ Accordingly, the Commission proposes to replace
current Sec. 146.12 of the Commission's regulations with a more
detailed provision that would more specifically identify all of the
systems of records it proposes to exempt, the specific provisions of
the Privacy Act from which each system of records is being exempted,
and the reasons why the Commission is adopting those exemptions.
Moreover, the Commission has preliminarily concluded that a separate
Privacy Act regulation Sec. 146.13 for exemptions taken for an Office
of the Inspector General (OIG) system of records is not required by the
Privacy Act or OMB guidance. Accordingly, the Commission proposes to
remove current Commission regulation Sec. 146.13 and add the OIG
exemptions to proposed Commission regulation Sec. 146.12, with
revisions to the content as explained below.
---------------------------------------------------------------------------
\8\ 17 CFR 146.
\9\ 5 U.S.C. 552a(j) and (k).
\10\ OMB A-108, available at https://www.whitehouse.gov/wp-content/uploads/legacy_drupal_files/omb/circulars/A108/omb_circular_a-108.pdf, at page 25.
\11\ OMB A-108 at page 25.
---------------------------------------------------------------------------
C. Specific Exempted Systems of Records
1. CFTC-1 Enforcement Matter Register and Matter Indices (CFTC-1)
CFTC-1 contains an index and registry of enforcement
investigations. This system of records is not currently identified in
Commission regulation Sec. 146.12 as a system of records that the
Commission has exempted. The Commission is proposing to exempt this
system of records because the records
[[Page 7309]]
are compiled for law enforcement purposes and must be protected from
disclosure in order to maintain the integrity of the investigative
process and not provide to any individual an opportunity to access
records and compromise that process, such as through the destruction of
evidence, interference with witnesses, or otherwise. In addition, the
Commission is proposing to exempt this system of records in order to
keep confidential the identity of sources who provided information to
the Commission during the course of the investigation under an express
promise that their identities would remain confidential. If an
individual can access the identities of confidential sources, those
sources may be unwilling to provide information that the Commission
needs for its law enforcement activities. Specifically, the Commission
is proposing to exempt CFTC-1, pursuant to subsection (k)(2) of the
Privacy Act \12\ and subject to the requirements and limitations set
forth therein, from the following provisions of the Privacy Act: 5
U.S.C. 552a(c)(3); (d)(1), (2), (3), and (4); (e)(1); (e)(4)(G), (H),
and (I); and (f).
---------------------------------------------------------------------------
\12\ 5 U.S.C. 552a(k)(2).
---------------------------------------------------------------------------
Request for Comment
The Commission requests comment on the justification for and scope
of the proposed CFTC-1 exemptions.
2. CFTC-10 Investigatory Records (CFTC-10)
CFTC-10 contains records compiled for law enforcement purposes,
including records developed during an investigation of violations or
potential violations of the Commodity Exchange Act.\13\ This system of
records is included in the current Commission regulation Sec. 146.12
but is identified as ``Exempted Investigatory Records'' and the
exemptions identified in the current regulation lack the specificity
that the Commission is proposing to include in new regulation Sec.
146.12. The Commission is proposing to identify this system of records
by its proper title and number and set forth the specific reasons for
which it is being exempted from particular provisions of the Privacy
Act. To that end, the Commission is proposing to explain in revised
Commission regulation Sec. 146.12 that this system of records is being
exempted because the records must be protected from disclosure in order
to maintain the integrity of the investigative process and not provide
an individual an opportunity to access records and compromise that
process, such as through the destruction of evidence, interference with
witnesses, or otherwise. In addition, the Commission is proposing to
exempt this system of records in order to keep confidential the
identity of sources who provided information to the Commission during
the course of the investigation under an express promise that their
identities would remain confidential. If an individual can access the
identities of confidential sources, those sources may be unwilling to
provide information that the Commission needs for its law enforcement
activities. Specifically, the Commission is proposing to exempt CFTC-
10, pursuant to subsection (k)(2) of the Privacy Act \14\ and subject
to the requirements and limitations set forth therein, from the
following provisions of the Privacy Act: 5 U.S.C. 552a(c)(3); (d)(1),
(2), (3), and (4); (e)(1); (e)(4)(G), (H), and (I); and (f).
---------------------------------------------------------------------------
\13\ 7 U.S.C. 1 et seq.
\14\ 5 U.S.C. 552a(k)(2).
---------------------------------------------------------------------------
Request for Comment
The Commission requests comment on the justification for and scope
of the CFTC-10 exemptions.
3. CFTC-12 National Futures Association (NFA) Applications Suite System
(CFTC-12)
CFTC-12 contains records held by NFA on behalf of the Commission by
delegated authority to support the Commission's registration and other
regulatory authority. These records include records pertaining to the
fitness of individuals to be registered with the Commission and engage
in business activities that are subject to the Commission's
jurisdiction and records pertaining to disciplinary or other adverse
action investigated or taken with respect to individual registrants.
This system of records is not currently identified in Commission
regulation Sec. 146.12 as a system of records that the Commission has
exempted. The Commission is proposing to exempt this system of records
because to the extent the records pertaining to individuals that NFA
holds on behalf of the Commission are investigatory records compiled
for law enforcement purposes, they must be protected from disclosure in
order to maintain the integrity of the investigative process and not
provide to any individual an opportunity to access records and
compromise that process, such as through the destruction of evidence,
interference with witnesses, or otherwise. In addition, the Commission
is proposing to exempt this system of records in order to keep
confidential the identity of sources who provided information to NFA
acting on behalf of the Commission during the course of the
investigation under an express promise that their identities would
remain confidential. If an individual can access the identities of
confidential sources, those sources may be unwilling to provide
information that the Commission needs for its law enforcement
activities. Specifically, the Commission is proposing to exempt CFTC-
12, pursuant to subsection (k)(2) of the Privacy Act \15\ and subject
to the requirements and limitations set forth therein, from the
following provisions of the Privacy Act: 5 U.S.C. 552a(c)(3); (d)(1),
(2), (3), and (4); (e)(1); (e)(4)(G), (H), and (I); and (f).
---------------------------------------------------------------------------
\15\ 5 U.S.C. 552a(k)(2).
---------------------------------------------------------------------------
Request for Comment
The Commission requests comment on the justification for and scope
of the CFTC-12 exemptions.
4. CFTC-31 Closed Commission Meetings (CFTC-31)
CFTC-31 contains records about individuals who are the subject of
discussion at closed Commission meetings, including those who are the
subject of investigations or who are being considered for employment.
This system of records is included in the current Commission regulation
Sec. 146.12 but identified as ``Exempted Closed Commission Meetings''
and the exemptions identified in the current regulation lack the
specificity that the Commission is proposing to include in new
regulation Sec. 146.12. The Commission is proposing to identify this
system of records by its proper title and number and to set forth the
specific reasons for which it is being exempted from particular
provisions of the Privacy Act. To that end, to the extent the records
in this system of records pertain to law enforcement investigations,
the Commission is proposing to exempt this system of records because
the records must be protected from disclosure in order to maintain the
integrity of the investigative process and not to provide to any
individual an opportunity to compromise that process, such as through
the destruction of evidence, interference with witnesses, or otherwise.
In addition, the Commission is proposing to exempt this system of
records in order to keep confidential the identity of sources who
provided information to the Commission during the course of the
investigation under an express promise that their identities would
remain confidential. If an individual can access the identities of
confidential sources, those sources may be unwilling to provide
information that
[[Page 7310]]
the Commission needs for its law enforcement activities. Finally, to
the extent records in this system of records are compiled solely for
the purpose of determining the suitability, eligibility, or
qualifications of an individual who is being considered for employment
with the Commission, the Commission is proposing to exempt this system
of records where the disclosure of records would reveal the identity of
somebody who provided information in the context of the Commission's
determination and who had expressly requested that their identity
remain confidential. The Commission has preliminarily determined that
such an exemption is necessary in order to obtain information relevant
to its eligibility determinations. Accordingly, the Commission is
proposing to exempt CFTC-31, pursuant to subsections (k)(2) and (k)(5)
of the Privacy Act \16\ and subject to the requirements and limitations
set forth therein, from the following provisions of the Privacy Act: 5
U.S.C. 552a(c)(3); (d)(1), (2), (3), and (4); (e)(1); (e)(4)(G), (H),
and (I); and (f).
---------------------------------------------------------------------------
\16\ 5 U.S.C. 552a(k)(2) and (k)(5), respectively.
---------------------------------------------------------------------------
Request for Comment
The Commission requests comment on the justification for and scope
of the CFTC-31 exemptions.
5. CFTC-32 Office of the Inspector General Investigative Files (CFTC-
32)
CFTC-32 contains records relevant to criminal and civil
investigations conducted by the Office of the Inspector General (OIG).
This system of records is included in the current Commission regulation
Sec. 146.13 with exemptions promulgated pursuant to subsections (j)(2)
and (k)(2) of the Privacy Act, the former for records related to the
OIG's criminal law enforcement activities and the latter for
investigatory records compiled for law enforcement purposes not within
the scope of subsection (j)(2). The Commission has preliminarily
concluded that a separate Privacy Act regulation Sec. 146.13 for
exemptions taken for this OIG system of records is not required by the
Privacy Act or OMB guidance. Accordingly, the Commission, after
consultation with the OIG, proposes to remove current Commission
regulation Sec. 146.13 and incorporate the exemptions for CFTC-32 into
proposed Commission regulation Sec. 146.12. Moreover, the Commission
is proposing to set forth the specific reasons for which this system of
records is being exempted from particular provisions of the Privacy
Act. To that end, the Commission is proposing to explain in revised
Commission regulation Sec. 146.12 that this system of records is being
exempted because the records must be protected from disclosure in order
to maintain the integrity of the investigative process and not provide
to any individual an opportunity to access records and compromise that
process, such as through the destruction of evidence, interference with
witnesses, or otherwise. In addition, the Commission is proposing to
exempt this system of records in order to keep confidential the
identity of sources who provided information to the Commission during
the course of the investigation under an express promise that their
identities would remain confidential. If an individual can access the
identities of confidential sources, those sources may be unwilling to
provide information that the Commission needs for its law enforcement
activities, federal employee and contractor witnesses may risk
retaliation in the federal workplace, and any witness may risk witness
interference tactics including threats, harassment, and physical and
emotional harm. Specifically, the Commission is proposing to exempt
this system of records, pursuant to subsection (j)(2) of the Privacy
Act \17\ and subject to the requirements and limitations set forth
therein, from the following provisions of the Privacy Act: 5 U.S.C.
552a(c)(3) and (4); (d)(1), (2), (3), and (4); (e)(1), (2), (3),
(4)(G)-(I), (5), and (8); (f); and (g). In addition, the Commission is
proposing to exempt this system of records, pursuant to subsection
(k)(2) of the Privacy Act \18\ and subject to the requirements and
limitations set forth therein, from the following provisions of the
Privacy Act: 5 U.S.C. 552a(c)(3); (d)(1), (2), (3), and (4); (e)(1);
(e)(4)(G), (H), and (I); and (f).
---------------------------------------------------------------------------
\17\ 5 U.S.C. 552a(j)(2).
\18\ 5 U.S.C. 552a(k)(2).
---------------------------------------------------------------------------
Request for Comment
The Commission requests comment on the justification for and scope
of the CFTC-32 exemptions. The Commission also requests comment on
whether the CFTC-32 exemptions should be included in proposed
Commission regulation Sec. 146.12 or remain in separate Commission
regulation Sec. 146.13.
6. CFTC-44 Personnel Clearance System (CFTC-44)
CFTC-44 contains records related to the background investigations
and security clearances of individuals who have been or are being
considered for access to Commission facilities, information technology
systems, and classified or confidential information. These records may
include statements from individuals who have provided information in
the course of a background investigation and have requested that their
identity remain confidential, and records that constitute investigatory
materials compiled for law enforcement purposes. This system of records
is identified in current regulation Sec. 146.12 by its predecessor
name, ``Exempted Employee Background Investigation Material,'' and the
current regulation exempts the system of records only pursuant to
subsection (k)(5) of the Privacy Act. The Commission is proposing to
identify this system of records by its proper title and number and to
set forth the specific reasons for which it is being exempted from
particular provisions of the Privacy Act pursuant to both subsection
(k)(2) and (k)(5) of the Privacy Act.\19\ To that end, to the extent
records in this system of records are compiled solely for the purpose
of determining an individual's suitability, eligibility, or
qualifications for employment with the Commission, the Commission is
proposing to explain in the revised Commission regulation Sec. 146.12
that this system of records is exempt where the disclosure of records
would reveal the identity of somebody who provided information in the
context of the Commission's determination and who had expressly
requested that their identity remain confidential in order to maintain
the promised confidentiality and enable the Commission to obtain
information relevant to its eligibility determinations. In addition, to
the extent records in this system of records pertain to law enforcement
investigations, the Commission is proposing to exempt this system of
records because the records must be protected from disclosure in order
to maintain the integrity of the investigative process and not provide
to any individual the opportunity to compromise that process, such as
through the destruction of evidence, interference with witnesses, or
otherwise. The Commission is also proposing to exempt this system of
records in order to keep confidential the identity of sources who
provided information to the Commission during the course of the
investigation under an express promise that their identities would
remain confidential. If an individual can access the identities of
confidential sources, those sources may be unwilling to provide
information that the Commission needs for its law enforcement
activities. Specifically, the Commission is proposing to exempt this
[[Page 7311]]
system of records, pursuant to subsections (k)(2) and (k)(5) of the
Privacy Act \20\ and subject to the requirements and limitations set
forth therein, from the following provisions of the Privacy Act: 5
U.S.C. 552a(c)(3); (d)(1), (2), (3), and (4); (e)(1); (e)(4)(G), (H),
and (I); and (f).
---------------------------------------------------------------------------
\19\ 5 U.S.C. 552a(k)(2) and (k)(5).
\20\ 5 U.S.C. 552a(k)(2) and (k)(5).
---------------------------------------------------------------------------
Request for Comment
The Commission requests comment on the justification for and scope
of the CFTC-44 exemptions.
7. CFTC-49 Whistleblower Records (CFTC-49)
CFTC-49 contains records related to whistleblower tips, complaints
and referrals, records related to investigations and inquiries into
whistleblower complaints, and records related to the whistleblower
award claim and determination process. This system of records is not
currently identified in Commission regulation Sec. 146.12 as a system
of records that the Commission has exempted. The Commission is
proposing to exempt this system of records because the records are
compiled for law enforcement purposes and must be protected from
disclosure in order to maintain the integrity of the whistleblower
process and not provide to any individual an opportunity to access
records and compromise an investigation, such as through the
destruction of evidence, interference with witnesses, or otherwise. In
addition, the Commission is proposing to exempt this system of records
in order to keep confidential the identity of sources who provided
information during the course of the investigation under an express
promise that their identities would remain confidential. If an
individual can access the identities of confidential sources, those
sources may be unwilling to provide information that the Commission
needs to investigate whistleblower tips, complaints, and referrals.
Specifically, the Commission proposes to exempt this system of records,
pursuant to subsection (k)(2) of the Privacy Act \21\ and subject to
the requirements and limitations set forth therein, from the following
provisions of the Privacy Act: 5 U.S.C. 552a(c)(3); (d)(1), (2), (3),
and (4); (e)(1); (e)(4)(G), (H), and (I); and (f).
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\21\ 5 U.S.C. 552a(k)(2).
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Request for Comment
The Commission requests comment on the justification for and scope
of the CFTC-49 exemptions.
II. Related Matters
A. Regulatory Flexibility Act
The Regulatory Flexibility Act (RFA) requires federal agencies to
consider whether the rules they propose will have a significant
economic impact on a substantial number of small entities and, if so,
to provide a regulatory flexibility analysis regarding the economic
impact on those entities.\22\
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\22\ 5 U.S.C. 601 et seq.
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The proposed regulations, issued under the Privacy Act, exempt
certain systems of records maintained by the Commission from certain
provisions of the Privacy Act, primarily those provisions related to an
individual's right to access and seek amendment of those records.
Individuals are defined in the Privacy Act as United States citizens or
aliens lawfully admitted to the United States for permanent
residence.\23\ Small entities, as defined in the RFA, are not
individuals under the Privacy Act and are not provided rights
thereunder; therefore, small entities are outside the scope of the
proposed regulations. Accordingly, the Chairman, on behalf of the
Commission, hereby certifies pursuant to 5 U.S.C. 605(b), that this
proposed rule will not have a significant economic impact on a
substantial number of small entities.
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\23\ 5 U.S.C. 552a(a)(2).
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B. Paperwork Reduction Act
The Paperwork Reduction Act (PRA) imposes certain requirements on
federal agencies in connection with their conducting or sponsoring any
collection of information.\24\ The Commission may not conduct or
sponsor, and a respondent is not required to respond to, a request for
collection of information unless the information collection request
displays a currently valid control number issued by OMB. This proposed
rule does not contain a ``collection of information,'' as defined in
the PRA. Accordingly, the requirements imposed by the PRA are not
applicable to this proposed rule.
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\24\ 5 U.S.C. 3501 et seq.
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C. Cost-Benefit Considerations
Section 15(a) of the Commodity Exchange Act (CEA) provides that,
before promulgating a regulation under the CEA or issuing an order, the
Commission shall consider the costs and benefits of the action of the
Commission.\25\ Section 15(a) further specifies that the costs and
benefits shall be evaluated in light of five broad areas of market and
public concern: (1) protection of market participants and the public;
(2) efficiency, competitiveness, and financial integrity of the futures
markets; (3) price discovery; (4) sound risk management practices; and
(5) other public interest considerations.\26\ The proposed rules are
being promulgated under the Privacy Act and pertain to the rights of
individuals with respect to records the Commission maintains about
them. The proposed rules are not being promulgated under the CEA.
Therefore, the Commission preliminarily finds that the considerations
enumerated in section 15(a)(2) of the CEA are not applicable here.
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\25\ 7 U.S.C. 19(a).
\26\ 7 U.S.C. 19(a)(2).
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Request for Comment
The Commission requests comment on whether its preliminary finding
is correct.
D. Antitrust Considerations
Section 15(b) of the CEA requires the Commission to take into
consideration the public interest to be protected by the antitrust laws
and endeavor to take the least anticompetitive means of achieving the
purposes of the CEA, in issuing any order or adopting any Commission
rule or regulation (including any exemption under section 4(c) or
4c(b)), or in requiring or approving any bylaw, rule, or regulation of
a contract market or registered futures association established
pursuant to section 17 of the CEA.\27\ The Commission believes that the
public interest to be protected by the antitrust laws is generally to
protect competition. The Commission has considered the proposed rule to
determine whether it is anticompetitive and has preliminarily
identified no anticompetitive effects.
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\27\ 7 U.S.C. 19(b).
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Because the Commission has preliminarily determined that the
proposed rule is not anticompetitive and has no anticompetitive
effects, the Commission has not identified any less anticompetitive
means of achieving the purposes of the Act.
Request for Comment
The Commission requests comment on whether the proposed rule is
anticompetitive and, if it is, what the anticompetitive effects are and
whether there are less anticompetitive means of achieving the relevant
purposes of the Act that would otherwise be served by adopting the
proposed rule. The Commission also requests comment on whether the
proposed rule implicates any other specific public interest to be
protected by the antitrust laws.
[[Page 7312]]
List of Subjects in 17 CFR Part 146
Privacy.
For the reasons stated in the preamble, the Commodity Futures
Trading Commission proposes to amend 17 CFR part 146 as follows:
PART 146--RECORDS MAINTAINED ON INDIVIDUALS
0
1. The authority citation for part 146 continues to read as follows:
Authority: 88 Stat. 1896 (5 U.S.C. 552a), as amended; 88 Stat.
1389 (7 U.S.C. 4a(j)).
0
2. Revise Sec. 146.12 to read as follows:
Sec. 146.12 Exemptions.
The Commission is exempting from certain provisions of the Privacy
Act the systems of records set forth in this section. In addition, when
these systems of records and any other of the Commission's systems of
records maintain a record received from another system of records that
is exempted from one or more provisions of the Privacy Act, the
Commission will claim the same exemptions for that record that are
claimed for the system of records from which it originated.
(a) CFTC-1 Enforcement Matter Register and Matter Indices. The
system of records identified as CFTC-1 Enforcement Matter Register and
Matter Indices contains an index and registry of enforcement
investigations. Pursuant to 5 U.S.C. 552a(k)(2) and subject to the
requirements and limitations set forth therein, the Commission is
exempting this system of records from the following provisions of the
Privacy Act: 5 U.S.C. 552a(c)(3); (d)(1), (2), (3), and (4); (e)(1);
(e)(4)(G), (H), and (I); and (f), and from the following corresponding
sections of this part: 146.3; 146.5; 146.6(d); 146.11(a)(7), (8), and
(9); and 146.7(a). Exemptions from these particular subsections of the
Privacy Act and sections of this part promulgated thereunder are
justified for the following reasons:
(1) From subsection (c)(3) (Accounting of Certain Disclosures),
because release of the accounting of certain disclosures could alert
the subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and the recipient entity. Release of such information to the subject of
an investigation could reasonably be anticipated to impede and
interfere with the Commission's efforts to identify and investigate
unlawful activities.
(2) From subsection (d)(1), (2), (3), and (4) (Access and
Amendment), because individual access to these records could alert the
subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and others. Providing a subject with access to these records could
impair the effectiveness of the Commission's investigations and could
significantly impede the investigation by providing the opportunity for
the subject to destroy documentary evidence, improperly influence
witnesses and confidential sources, fabricate testimony, and engage in
other activities that could compromise the investigation. In addition,
providing an individual with access to these records may reveal the
identity of a source who furnished information under an express promise
that their identity would remain confidential. Allowing the subject of
the investigation to amend records in this system of records could
likewise interfere with ongoing law enforcement proceedings and impose
an impossible administrative burden by requiring law enforcement
investigations to be continuously reinvestigated.
(3) From subsection (e)(1) (Relevancy and Necessity of
Information), because in the course of investigations into potential
violations of law, the significance of certain information may not be
clear or the information may not be strictly relevant or necessary to a
specific investigation; but, effective law enforcement requires the
retention of all information that may aid in establishing patterns of
unlawful activity and providing investigative leads.
(4) From subsection (e)(4)(G), (H), and(I) (Agency Requirements)
and (f) (Agency Rules), because the Commission is not required to
establish requirements, rules, or procedures related to access and
amendment of records in a system of records that is exempt from the
individual access and amendment provisions in subsection (d) of the
Privacy Act.
(b) CFTC-10 Investigatory Records. The system of records identified
as CFTC-10 Investigatory Records contains records compiled for law
enforcement purposes, including records developed during an
investigation of violations or potential violations of the Commodity
Exchange Act. Pursuant to 5 U.S.C. 552a(k)(2) and subject to the
requirements and limitations set forth therein, the Commission is
exempting this system of records from the following provisions of the
Privacy Act: 5 U.S.C. 552a(c)(3); (d)(1), (2), (3), and (4); (e)(1);
(e)(4)(G), (H), and (I); and (f), and from the following corresponding
sections of this part: 146.3; 146.5; 146.6(d); 146.11(a)(7), (8), and
(9); and 146.7(a). Exemptions from these particular subsections of the
Privacy Act and sections of this part promulgated thereunder are
justified for the following reasons:
(1) From subsection (c)(3) (Accounting of Certain Disclosures),
because release of the accounting of certain disclosures could alert
the subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and the recipient entity. Release of such information to the subject of
an investigation could reasonably be anticipated to impede and
interfere with the Commission's efforts to identify and investigate
unlawful activities.
(2) From subsection (d)(1), (2), (3), and (4) (Access and
Amendment), because individual access to these records could alert the
subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and others. Providing a subject with access to these records could
impair the effectiveness of the Commission's investigations and could
significantly impede the investigation by providing the opportunity for
the subject to destroy documentary evidence, improperly influence
witnesses and confidential sources, fabricate testimony, and engage in
other activities that could compromise the investigation. In addition,
providing an individual with access to these records may reveal the
identity of a source who furnished information under an express promise
that their identity would remain confidential. Allowing the subject of
the investigation to amend records in this system of records could
likewise interfere with ongoing law enforcement proceedings and impose
an impossible administrative burden by requiring law enforcement
investigations to be continuously reinvestigated.
(3) From subsection (e)(1) (Relevancy and Necessity of
Information), because in the course of investigations into potential
violations of law, the significance of certain information may not be
clear or the information may not be strictly relevant or necessary to a
specific investigation; but, effective law enforcement requires the
retention of all information that may aid in establishing patterns of
unlawful activity and providing investigative leads.
(4) From subsection (e)(4)(G), (H), and(I) (Agency Requirements)
and (f) (Agency Rules), because the Commission is not required to
establish
[[Page 7313]]
requirements, rules, or procedures related to access and amendment of
records in a system of records that is exempt from the individual
access and amendment provisions in subsection (d) of the Privacy Act.
(c) CFTC-12 National Futures Association (NFA) Applications Suite
System. The system of records identified as CFTC-12 National Futures
Association (NFA) Applications Suite System contains records held by
NFA on behalf of the Commission, by delegated authority to support the
Commission's registration and other regulatory authority. These records
include records pertaining to the fitness of individuals to be
registered with the Commission and engage in business activities that
are subject to the Commission's jurisdiction and records pertaining to
disciplinary or other adverse action investigated or taken with respect
to individual registrants. Pursuant to 5 U.S.C. 552a(k)(2) and subject
to the requirements and limitations set forth therein, the Commission
is exempting this system of records from the following provisions of
the Privacy Act: 5 U.S.C. 552a(c)(3); (d)(1), (2), (3), and (4);
(e)(1); (e)(4)(G), (H), and (I); and (f), and from the following
corresponding sections of this part: 146.3; 146.5; 146.6(d);
146,11(a)(7), (8), and (9); and 146.7(a). Exemptions from these
particular subsections of the Privacy Act are justified for the
following reasons:
(1) From subsection (c)(3) (Accounting of Certain Disclosures),
because release of accountings of certain disclosures could alert the
subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and the recipient entity. Release of such information to the subject of
an investigation could reasonably be anticipated to impede and
interfere with the Commission's efforts to identify and investigate
unlawful activities.
(2) From subsection (d)(1), (2), (3), and (4) (Access and
Amendment), because individual access to these records could alert the
subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and others. Providing a subject with access to these records could
impair the effectiveness of the Commission's investigations and could
significantly impede the investigation by providing the opportunity for
the subject to destroy documentary evidence, improperly influence
witnesses and confidential sources, fabricate testimony, and engage in
other activities that could compromise the investigation. In addition,
providing an individual with access to these records may reveal the
identity of a source who furnished information under an express promise
that their identity would remain confidential. Allowing the subject of
the investigation to amend records in this system of records could
likewise interfere with ongoing law enforcement proceedings and impose
an impossible administrative burden by requiring law enforcement
investigations to be continuously reinvestigated.
(3) From subsection (e)(1) (Relevancy and Necessity of
Information), because in the course of investigations into potential
violations of law, the significance of certain information may not be
clear or the information may not be strictly relevant or necessary to a
specific investigation; but, effective law enforcement requires the
retention of all information that may aid in establishing patterns of
unlawful activity and providing investigative leads.
(4) From subsection (e)(4)(G), (H), and (I) (Agency Requirements)
and (f) (Agency Rules), because the Commission is not required to
establish requirements, rules, or procedures related to access and
amendment of records in a system of records that is exempt from the
individual access and amendment provisions in subsection (d) of the
Privacy Act.
(d) CFTC-31 Closed Commission Meetings. The system of records
identified as CFTC-31 Closed Commission Meetings contains records about
individuals who are the subject of discussion at closed Commission
meetings, including those who are the subject of investigations or who
are being considered for employment. These records may include
statements from individuals who have provided information in the course
of an applicant's or employee's background investigation or other
Commission investigation and who have requested that their identities
remain confidential. Pursuant to 5 U.S.C. 552a(k)(2) and (k)(5) and
subject to the requirements and limitations set forth therein, the
Commission is exempting this system of records from the following
provisions of the Privacy Act: 5 U.S.C. 552a(c)(3); (d)(1), (2), (3),
and (4); (e)(1); (e)(4)(G), (H), and (I); and (f), and from the
following corresponding sections of this part: 146.3; 146.5; 146.6(d);
146.11(a)(7), (8), and (9); and Sec. 146.7(a). Exemptions from these
particular subsections of the Privacy Act are justified for the
following reasons:
(1) From subsection (c)(3) (Accounting of Certain Disclosures),
because release of the accounting of certain disclosures could alert
the subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and the recipient entity. Release of such information to the subject of
an investigation could reasonably be anticipated to impede and
interfere with the Commission's efforts to identify and investigate
unlawful activities.
(2) From subsection (d)(1), (2), (3), and (4) (Access and
Amendment), because individual access to these records could alert the
subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and others. Providing a subject with access to these records could
impair the effectiveness of the Commission's investigations and could
significantly impede the investigation by providing the opportunity for
the subject to destroy documentary evidence, improperly influence
witnesses and confidential sources, fabricate testimony, and engage in
other activities that could compromise the investigation. In addition,
providing an individual with access to these records may reveal the
identity of a source who furnished information under an express promise
that their identity would remain confidential. Allowing the subject of
the investigation to amend records in this system of records could
likewise interfere with ongoing law enforcement proceedings and impose
an impossible administrative burden by requiring law enforcement
investigations to be continuously reinvestigated.
(3) From subsection (e)(1) (Relevancy and Necessity of
Information), because in the course of investigations into potential
violations of law, the significance of certain information may not be
clear or the information may not be strictly relevant or necessary to a
specific investigation; but, effective law enforcement requires the
retention of all information that may aid in establishing patterns of
unlawful activity and providing investigative leads.
(4) From subsection (e)(4)(G), (H), and (I) (Agency Requirements)
and (f) (Agency Rules), because the Commission is not required to
establish requirements, rules, or procedures related to access and
amendment of records in a system of records that is exempt from the
individual access and amendment provisions in subsection (d) of the
Privacy Act.
(e) CFTC-32, Office of the Inspector General Investigative Files.
The system
[[Page 7314]]
of records identified as CFTC-32 Office of the Inspector General
Investigative Files contains records relevant to criminal and civil
investigations conducted by the Office of the Inspector General,
including records about individuals being investigated for fraudulent
and abusive activities. Pursuant to 5 U.S.C. 552a(j)(2) and subject to
the requirements and limitations set forth therein, the Commission is
exempting this system of records from the following provisions of the
Privacy Act: 5 U.S.C. 552a(c)(3) and (4); (d)(1), (2), (3), and (4);
(e)(1), (2), (3), (4)(G)-(I), (5), and (8); (f); and (g), and from the
following corresponding sections of this part: 146.3; 146.4; 146.5;
146.6(b), (d), and (e); 146.7(a), (c), and (d); 146.8; 146.9; 146.10;
and 146.11(a)(7), (8), and (9). In addition, pursuant to 5 U.S.C.
552a(k)(2) and subject to the requirements and limitations set forth
therein, the Commission is exempting this system of records from the
following provisions of the Privacy Act: 5 U.S.C. 552a(c)(3); (d)(1),
(2), (3), and (4); (e)(1); (e)(4)(G), (H), and (I); and (f), and from
the following corresponding sections of this part: 146.3; 146.5;
146.6(d); 146.11(a)(7), (8), and (9); and 146.7(a). Exemptions from
these particular subsections of the Privacy Act are justified for the
following reasons:
(1) From subsection (c)(3) (Accounting of Certain Disclosures),
because release of the accounting of certain disclosures could alert
the subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and the recipient entity. Release of such information to the subject of
an investigation could reasonably be anticipated to impede and
interfere with the Commission's efforts to identify and investigate
unlawful activities.
(2) From subsection (c)(4) (Notice of Correction), because this
system is exempt from the access and amendment provisions of subsection
(d), as noted in paragraph (e)(3) of this section.
(3) From subsection (d)(1), (2), (3), and (4) (Access and
Amendment), because individual access to these records could alert the
subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and others. Providing a subject with access to these records could
impair the effectiveness of the Commission's investigations and could
significantly impede the investigation by providing the opportunity for
the subject to destroy documentary evidence, improperly influence
witnesses and confidential sources, fabricate testimony, and engage in
other activities that could compromise the investigation. In addition,
providing an individual with access to these records may reveal the
identity of a source who furnished information under an express promise
that their identity would remain confidential. Allowing the subject of
the investigation to amend records in this system of records could
likewise interfere with ongoing law enforcement proceedings and impose
an impossible administrative burden by requiring law enforcement
investigations to be continuously reinvestigated.
(4) From subsection (e)(1) (Relevancy and Necessity of Information)
and (5) (Accuracy, Timeliness, Relevance, and Completeness), because in
the course of investigations into potential violations of law, the
significance of certain information may not be clear or the information
may not be strictly relevant or necessary to a specific investigation;
but, effective law enforcement requires the retention of all
information that may aid in establishing patterns of unlawful activity
and providing investigative leads.
(5) From subsection (e)(2) (Collect from Individual), because in a
law enforcement investigation the requirement that information be
collected to the greatest extent possible from the subject individual
would present a serious impediment to law enforcement, in that the
subject of the investigation would be informed of the existence of the
investigation and would therefore be able to avoid detection,
apprehension, or legal obligations or duties.
(6) From subsection (e)(3) (Privacy Act Statement), because to
comply with the requirements of this subsection during the course of an
investigation could impede the information gathering process and hamper
the investigation.
(7) From subsection (e)(4)(G), (H), and (I) (Agency Requirements)
and (f) (Agency Rules), because the Commission is not required to
establish requirements, rules, or procedures related to access and
amendment of records in a system of records that is exempt from the
individual access and amendment provisions in subsection (d) of the
Privacy Act.
(8) From subsection (e)(8) (Serve Notice), because the application
of this provision could prematurely reveal an ongoing criminal
investigation to the subject of the investigation, present a serious
impediment to law enforcement by interfering with the ability to issue
subpoenas or otherwise gather information, and reveal investigative
techniques, procedures, or evidence.
(9) From subsection (g) (Civil Remedies), because this system of
records is exempt from the individual access and amendment provisions
in subsection (d) of the Privacy Act for the reasons noted in paragraph
(e)(3) of this section; therefore, the Commission is not subject to
civil action for failure to adhere to those requirements.
(f) CFTC-44 Personnel Clearance System. The system of records
identified as CFTC-44 Personnel Clearance System contains records
related to the background investigations and security clearances of
individuals who have been or are being considered for access to
Commission facilities, information technology systems, and classified
or confidential information. These records may include statements from
individuals who have provided information in the course of a background
investigation and have requested that their identity remain
confidential. Pursuant to 5 U.S.C. 552a(k)(2) and (k)(5) and subject to
the requirements and limitations set forth therein, the Commission is
exempting this system of records from the following provisions of the
Privacy Act: 5 U.S.C. 552a(c)(3); (d)(1), (2), (3), and (4); (e)(1);
(e)(4)(G), (H), and (I); and (f), and from the following corresponding
sections of this part: 146.3; 146.5; 146.6(d); 146.11(a)(7), (8), and
(9); and 146.7(a). Exemptions from these particular subsections of the
Privacy Act are justified for the following reasons:
(1) From subsections (c)(3) (Accounting of Certain Disclosures),
because release of the accounting of certain disclosures could alert
the subject of an investigation to the extent of that investigation and
reveal investigative interests of the Commission and the recipient
entity that were previously unknown to the individual. Release of such
information to the subject of an investigation could reasonably be
anticipated to impede and interfere with the Commission's efforts to
adequately assess an individual when making a decision about the
individual's access to Commission facilities, information technology
systems, and classified and confidential information.
(2) From subsection (d)(1), (2), (3), and (4) (Access and
Amendment), because the records contained in this system may be related
to ongoing investigations, and individual access to these records could
alert the subject of an investigation to the extent of that
investigation and reveal investigative interests of the Commission and
others that were previously unknown to the
[[Page 7315]]
individual. Providing a subject with access to these records could
impair the effectiveness of the Commission's investigations and could
significantly impede the investigation by providing the opportunity for
the subject to destroy documentary evidence, improperly influence
witnesses and confidential sources, fabricate testimony, and engage in
other activities that could compromise the investigation. In addition,
providing an individual with access to these records may reveal the
identity of a source who furnished information under an express promise
that their identity would remain confidential. Amendment of the records
in this system of records would interfere with ongoing law enforcement
proceedings and impose an impossible administrative burden by requiring
law enforcement investigations to be continuously reinvestigated.
(3) From subsection (e)(1) (Relevancy and Necessity of
Information), because in the course of conducting and adjudicating
background investigations, the significance of certain information may
not be clear or the information may not be strictly relevant or
necessary to a specific investigation; but, effective investigations
require the retention of all information that may aid in the
investigation and provide investigative leads.
(4) From subsection (e)(4)(G), (H), and (I) (Agency Requirements)
and (f) (Agency Rules), because the Commission is not required to
establish requirements, rules, or procedures related to access and
amendment of records in a system of records that is exempt from the
individual access and amendment provisions in subsection (d) of the
Privacy Act.
(g) CFTC-49 Whistleblower Records. The system of records identified
as CFTC-49 Whistleblower Records contains records related to
whistleblower tips, complaints and referrals, records related to
investigations and inquiries into whistleblower complaints, and records
related to the whistleblower award claim and determination process.
Pursuant to 5 U.S.C. 552a(k)(2) and subject to the requirements and
limitations set forth therein, the Commission is exempting this system
of records from the following provisions of the Privacy Act: 5 U.S.C.
552a(c)(3); (d)(1), (2), (3), and (4); (e)(1); (e)(4)(G), (H), and (I);
and (f), and from the following corresponding sections of this part:
146.3; 146.5; 146.6(d); 146.11(a)(7), (8), and (9); and 146.7(a).
Exemptions from these particular subsections of the Privacy Act are
justified for the following reasons:
(1) From subsection (c)(3) (Accounting of Certain Disclosures),
because release of the accounting of certain disclosures could alert
the subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and the recipient entity. Release of such information to the subject of
an investigation could reasonably be anticipated to impede and
interfere with the Commission's efforts to identify and investigate
unlawful activities.
(2) From subsection (d)(1), (2), (3), and (4) (Access and
Amendment), because individual access to these records could alert the
subject of an investigation to the existence and extent of that
investigation and reveal the investigative interests of the Commission
and others. Providing a subject with access to these records could
impair the effectiveness of the Commission's investigations and could
significantly impede the investigation by providing the opportunity for
the subject to destroy documentary evidence, improperly influence
witnesses and confidential sources, fabricate testimony, and engage in
other activities that could compromise the investigation. Allowing the
subject of the investigation to amend records in this system of records
could likewise interfere with ongoing law enforcement proceedings and
impose an impossible administrative burden by requiring law enforcement
investigations to be continuously reinvestigated.
(3) From subsection (e)(1) (Relevancy and Necessity of
Information), because in the course of investigations, the significance
of certain information may not be clear or the information may not be
strictly relevant or necessary to a specific investigation; but,
effective investigations require the retention of all information that
may aid in the investigation or aid in establishing patterns of
activity and provide investigative leads.
(4) From subsection (e)(4)(G), (H), and (I) (Agency Requirements)
and (f) (Agency Rules), because the Commission is not required to
establish requirements, rules, or procedures related to access and
amendment of records in a system of records that is exempt from the
individual access and amendment provisions in subsection (d) of the
Privacy Act.
Sec. 146.13 [Removed]
0
3. Remove Sec. 146.13.
Issued in Washington, DC, on January 24, 2024, by the
Commission.
Christopher Kirkpatrick,
Secretary of the Commission.
Note: The following appendix will not appear in the Code of
Federal Regulations.
Appendix to Privacy Act Regulations--Commission Voting Summary
On this matter, Chairman Behnam and Commissioners Johnson,
Goldsmith Romero, Mersinger, and Pham voted in the affirmative. No
Commissioner voted in the negative.
[FR Doc. 2024-01684 Filed 2-1-24; 8:45 am]
BILLING CODE 6351-01-P