11324 Federal Register / Vol. 76, No. 41 / Wednesday, March 2, 2011 / Rules and Regulations 

123 Stat. 1734; Pub. L. 111–203, 124 Stat. 

1376. 

Subpart E—Special Rules for Certain 

Home Mortgage Transactions 

■ 2. Section 226.35 is amended by 

revising paragraph (a)(1) and adding 

paragraph (b)(3)(v) to read as follows: 

§ 226.35 Prohibited acts or practices in 

connection with higher-priced mortgage 

loans. 

(a) Higher-priced mortgage loans—(1) 

For purposes of this section, except as 

provided in paragraph (b)(3)(v) of this 

section, a higher-priced mortgage loan is 

a consumer credit transaction secured 

by the consumer’s principal dwelling 

with an annual percentage rate that 

exceeds the average prime offer rate for 

a comparable transaction as of the date 

the interest rate is set by 1.5 or more 

percentage points for loans secured by 

a first lien on a dwelling, or by 3.5 or 

more percentage points for loans 

secured by a subordinate lien on a 

dwelling. 

* * * * * 

(b) * * * 

(3) * * * 

(v) ‘‘Jumbo’’ loans. For purposes of 

this § 226.35(b)(3), for a transaction with 

a principal obligation at consummation 

that exceeds the limit in effect as of the 

date the transaction’s interest rate is set 

for the maximum principal obligation 

eligible for purchase by Freddie Mac, 

the coverage threshold set forth in 

paragraph (a)(1) of this section for loans 

secured by a first lien on a dwelling 

shall be 2.5 or more percentage points 

greater than the applicable average 

prime offer rate. 

* * * * * 

■ 3. In Supplement I to Part 226: 

■ A. Under Section 226.1—Authority, 

Purpose, Coverage, Organization, 

Enforcement and Liability, new 

paragraph 1(d)(5)–1.iii is added. 

■ B. Under Section 226.35—Prohibited 

Acts or Practices in Connection With 

Higher-Priced Mortgage Loans, 35(b) 

Rules for higher-priced mortgage loans, 

35(b)(3) Escrows, new heading 

35(b)(3)(v) ‘‘Jumbo’’ loans and new 

paragraphs 1 and 2 are added. 

Supplement I to Part 226—Official Staff 

Interpretations 

* * * * * 

Subpart A—General 

Section 226.1—Authority, Purpose, Coverage, 

Organization, Enforcement and Liability 

Paragraph 1(d)(5). 

1. Effective dates. 

i. * * * 

ii. * * * 

iii. The final rule revising escrow 

requirements under § 226.35(b)(3) published 

on March 2, 2011 applies to certain closedend extensions of consumer credit secured by 

the consumer’s principal dwelling. See 

§ 226.35(a). Covered transactions for which 

an application is received by a creditor on or 

after April 1, 2011 are subject to 

§ 226.35(b)(3), as revised. 

* * * * * 

Subpart E—Special Rules for Certain 

Home Mortgage Transactions 

* * * * * 

Section 226.35—Prohibited Acts or Practices 

in Connection With Higher-Priced Mortgage 

Loans 

* * * * * 

35(b) Rules for higher-priced mortgage 

loans. 

* * * * * 

35(b)(3) Escrows. 

* * * * * 

35(b)(3)(v) ‘‘Jumbo’’ loans. 

1. Special threshold for ‘‘jumbo’’ loans. For 

purposes of the escrow requirement in 

§ 226.35(b)(3) only, the coverage threshold 

stated in § 226.35(a)(1) for first-lien loans (1.5 

or more percentage points greater than the 

average prime offer rate) does not apply to a 

loan with a principal obligation that exceeds 

the limit in effect as of the date the loan’s rate 

is set for the maximum principal obligation 

eligible for purchase by Freddie Mac 

(‘‘jumbo’’ loans). The Federal Housing 

Finance Agency (FHFA) establishes and 

adjusts the maximum principal obligation 

pursuant to 12 U.S.C. 1454(a)(2) and other 

provisions of federal law. Adjustments to the 

maximum principal obligation made by 

FHFA apply in determining whether a 

mortgage loan is a ‘‘jumbo’’ loan to which the 

separate coverage threshold in 

§ 226.35(b)(3)(v) applies. 

2. Escrow requirements only. Under 

§ 226.35(b)(3)(v), for ‘‘jumbo’’ loans, the 

annual percentage rate threshold is 2.5 or 

more percentage points greater than the 

average prime offer rate. This threshold 

applies solely in determining whether a 

‘‘jumbo’’ loan is subject to the escrow 

requirement of § 226.35(b)(3). The 

determination of whether ‘‘jumbo’’ first-lien 

loans are subject to the other protections in 

§ 226.35, such as the ability to repay 

requirements under § 226.35(b)(1) and the 

restrictions on prepayment penalties under 

§ 226.35(b)(2), is based on the 1.5 percentage 

point threshold stated in § 226.35(a)(1). 

* * * * * 

By order of the Board of Governors of the 

Federal Reserve System, February 23, 2011. 

Jennifer J. Johnson, 

Secretary of the Board. 

[FR Doc. 2011–4384 Filed 3–1–11; 8:45 am] 

BILLING CODE 6210–01–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 39 

[Docket No. FAA–2011–0149; Directorate 

Identifier 2011–CE–001–AD; Amendment 

39–16616; AD 2011–05–07] 

RIN 2120–AA64 

Airworthiness Directives; Allied Ag Cat 

Productions, Inc. Models G–164, G– 

164A, G–164B, G–164B With 73′′ Wing 

Gap, G–164B–15T, G–164B–34T, G– 

164B–20T, G–164C, G–164D, and G– 

164D With 73′′ Wing Gap Airplanes 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Final rule; request for 

comments. 

SUMMARY: We are superseding an 

existing airworthiness directive (AD) for 

the products listed above. That AD 

currently requires repetitively 

inspecting the interior and the exterior 

of the main tubular spar of the rudder 

assembly for corrosion, taking necessary 

corrective action if corrosion is found, 

and applying corrosion protection. This 

AD retains the requirements of the 

previous AD and changes the 

compliance time for certain products 

listed above. This AD was prompted by 

our determination that the compliance 

time specified for Models G–164, G– 

164A, and G–164B airplanes does not 

adequately address the unsafe 

condition. We are issuing this AD to 

detect and correct corrosion in the 

rudder main tubular spar, which could 

result in failure of the rudder main spar 

tube. This failure could lead to loss of 

directional control. 

DATES: This AD is effective March 17, 

2011. 

The Director of the Federal Register 

approved the incorporation by reference 

of certain publications listed in this AD 

as of December 19, 2008 (73 FR 67372, 

November 14, 2008). 

We must receive any comments on 

this AD by April 18, 2011. 

ADDRESSES: You may send comments by 

any of the following methods: 

• Federal eRulemaking Portal: Go to 

http://www.regulations.gov. Follow the 

instructions for submitting comments. 

• Fax: 202–493–2251. 

• Mail: U.S. Department of 

Transportation, Docket Operations, 

M–30, West Building Ground Floor, 

Room W12–140, 1200 New Jersey 

Avenue, SE., Washington, DC 20590. 

• Hand Delivery: U.S. Department of 

Transportation, Docket Operations, 

M–30, West Building Ground Floor, 

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Federal Register / Vol. 76, No. 41 / Wednesday, March 2, 2011 / Rules and Regulations 11325 

Room W12–140, 1200 New Jersey 

Avenue, SE., Washington, DC 20590, 

between 9 a.m. and 5 p.m., Monday 

through Friday, except Federal holidays. 

For service information identified in 

this AD, contact Allied Ag Cat 

Productions, Inc., 301 West Walnut 

Street, P.O. Box 482, Walnut Ridge, 

Arkansas 72479; telephone: (870) 886– 

2418. You may review copies of the 

referenced service information at the 

FAA, Small Airplane Directorate, 901 

Locust St., Kansas City, Missouri 64016. 

For information on the availability of 

this material at the FAA, call (816) 329– 

4148. 

Examining the AD Docket 

You may examine the AD docket on 

the Internet at http:// 

www.regulations.gov; or in person at the 

Docket Management Facility between 

9 a.m. and 5 p.m., Monday through 

Friday, except Federal holidays. The AD 

docket contains this AD, the regulatory 

evaluation, any comments received, and 

other information. The street address for 

the Docket Office (phone: 800–647– 

5527) is in the ADDRESSES section. 

Comments will be available in the AD 

docket shortly after receipt. 

FOR FURTHER INFORMATION CONTACT: 

Andrew McAnaul, Aerospace Engineer, 

ASW–150 (c/o MIDO–43), 10100 

Reunion Place, Suite 650, San Antonio, 

Texas 78216; phone: (210) 308–3365; 

fax: (210) 308–3370; e-mail: 

andrew.mcanaul@faa.gov. 

SUPPLEMENTARY INFORMATION: 

Discussion 

On October 23, 2008, we issued AD 

2008–22–21, Amendment 39–15718 

(73 FR 67372, November 14, 2008), for 

all Allied Ag Cat Productions, Inc. 

Models G–164, G–164A, G–164B, G– 

164B with 73′′ wing gap, G–164B–15T, 

G–164B–34T, G–164B–20T, G–164C, G– 

164D, and G–164D with 73′′ wing gap 

airplanes. 

That AD supersedes AD 78–08–09, 

Amendment 39–3191 (43 FR 16699, 

April 20, 1978), and requires 

repetitively inspecting the interior and 

the exterior of the main tubular spar of 

the rudder assembly for corrosion, 

taking necessary corrective action if 

corrosion is found, and applying 

corrosion protection. That AD resulted 

from failure of the rudder main tubular 

spar on a Model G164B airplane not 

previously affected by AD 78–08–09. 

AD 78–08–09 required a one-time 

inspection of the interior of the rudder 

main tubular spar for corrosion and 300- 

hour repetitive inspections of the 

exterior of the rudder main tubular spar 

for corrosion. 

Actions Since AD was Issued 

Since we issued AD 2008–22–21, we 

determined the compliance time of the 

initial inspection for Models G–164, G– 

164A, and G–164B airplanes (airplanes 

previously affected by AD 78–08–09) 

allows the interior of the rudder main 

tubular spar to remain unchecked for 

corrosion for up to an additional 5 years 

beyond the effective date of AD 2008– 

22–21. This compliance time does not 

adequately address the unsafe 

condition. 

We are issuing this AD to detect and 

correct corrosion in the rudder main 

tubular spar, which could result in 

failure of the rudder main spar tube. 

This failure could lead to loss of 

directional control. 

FAA’s Determination 

We are issuing this AD because we 

evaluated all the relevant information 

and determined the unsafe condition 

described previously is likely to exist or 

develop in other products of the same 

type design. 

AD Requirements 

This AD requires repetitively 

inspecting the interior and the exterior 

of the main tubular spar of the rudder 

assembly for corrosion, taking necessary 

corrective action if corrosion is found, 

and applying corrosion protection. 

FAA’s Justification and Determination 

of the Effective Date 

An unsafe condition exists that 

requires the immediate adoption of this 

AD. The FAA has found that the risk to 

the flying public justifies waiving notice 

and comment prior to adoption of this 

rule because failure of the rudder main 

tubular spar could lead to loss of 

directional control. Therefore, we find 

that notice and opportunity for prior 

public comment are impracticable and 

that good cause exists for making this 

amendment effective in less than 30 

days. 

Comments Invited 

This AD is a final rule that involves 

requirements affecting flight safety, and 

we did not provide you with notice and 

an opportunity to provide your 

comments before it becomes effective. 

However, we invite you to send any 

written data, views, or arguments about 

this AD. Send your comments to an 

address listed under the ADDRESSES

section. Include Docket Number FAA– 

2011–0149 and Directorate Identifier 

2011–CE–001–AD at the beginning of 

your comments. We specifically invite 

comments on the overall regulatory, 

economic, environmental, and energy 

aspects of this AD. We will consider all 

comments received by the closing date 

and may amend this AD because of 

those comments. 

We will post all comments we 

receive, without change, to http:// 

www.regulations.gov, including any 

personal information you provide. We 

will also post a report summarizing each 

substantive verbal contact we receive 

about this AD. 

Costs of Compliance 

We estimate that this AD affects 2,700 

airplanes of U.S. registry. 

We estimate the following costs to 

comply with this AD: 

ESTIMATED COSTS

Action Labor cost Parts cost Cost per 

product 

Cost on 

U.S. 

operators 

Drill access hole and visual inspection [retained actions from existing AD].4 work-hours X $85 per hour = $340 .......... Not applicable ........... $340 $918,000 

We have no way of determining the 

cost of repairs, parts replacement, or the 

number of airplanes that may require 

repair or parts replacement based on the 

result of the proposed inspections. 

Authority for This Rulemaking 

Title 49 of the United States Code 

specifies the FAA’s authority to issue 

rules on aviation safety. Subtitle I, 

section 106, describes the authority of 

the FAA Administrator. Subtitle VII, 

Aviation Programs, describes in more 

detail the scope of the Agency’s 

authority. 

We are issuing this rulemaking under 

the authority described in subtitle VII, 

part A, subpart III, section 44701, 

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11326 Federal Register / Vol. 76, No. 41 / Wednesday, March 2, 2011 / Rules and Regulations 

‘‘General requirements.’’ Under that 

section, Congress charges the FAA with 

promoting safe flight of civil aircraft in 

air commerce by prescribing regulations 

for practices, methods, and procedures 

the Administrator finds necessary for 

safety in air commerce. This regulation 

is within the scope of that authority 

because it addresses an unsafe condition 

that is likely to exist or develop on 

products identified in this rulemaking 

action. 

Regulatory Findings 

This AD will not have federalism 

implications under Executive Order 

13132. This AD will 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 that this AD: 

(1) Is not a ‘‘significant regulatory 

action’’ under Executive Order 12866, 

(2) Is not a ‘‘significant rule’’ under 

DOT Regulatory Policies and Procedures 

(44 FR 11034, February 26, 1979), 

(3) Will not affect intrastate aviation 

in Alaska, and 

(4) Will 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. 

Adoption of the Amendment 

Accordingly, under the authority 

delegated to me by the Administrator, 

the FAA amends part 39 of the Federal 

Aviation Regulations (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 

removing Airworthiness Directive (AD) 

2008–22–21, Amendment 39–15718 (73 

FR 67372, November 14, 2008) and 

adding the following new AD: 

2011–05–07 Allied Ag Cat Productions, 

Inc.: Amendment 39–16616; Docket No. 

FAA–2011–0149; Directorate Identifier 

2011–CE–001–AD. 

Effective Date 

(a) This AD is effective March 17, 2011. 

Affected ADs 

(b) This AD supersedes AD 2008–22–21, 

Amendment 39–15718. 

Applicability 

(c) This AD applies to the following Allied 

Ag Cat Productions, Inc. model airplanes, all 

serial numbers, that are certificated in any 

category: 

MODELS

G–164 ........................................... G–164A ......................................... G–164B ......................................... G–164B with 73′′ wing gap. 

G–164B–15T ................................. G–164B–20T ................................. G–164B–34T ................................. G–164C. 

G–164D ......................................... G–164D with 73′′ wing gap.

Subject 

(d) Joint Aircraft System Component 

(JASC)/Air Transport Association (ATA) of 

America Code 55, Stabilizers. 

Unsafe Condition 

(e) This AD was prompted by reports of the 

rudder main tubular spar failing and our 

determination that the previous compliance 

times specified for Models G–164, G–164A, 

and G–164B airplanes do not adequately 

address the unsafe condition. We are issuing 

this AD to detect and correct corrosion in the 

rudder main tubular spar, which could result 

in failure of the rudder main spar tube. This 

failure could lead to loss of directional 

control. 

Compliance 

(f) Comply with this AD within the 

compliance times specified, unless already 

done. 

Actions Compliance Procedures 

(1) Drill an access hole and do a visual inspection using a borescope of the lower end internal cavity of the rudder main spar tube for 

corrosion and do a visual inspection of the 

exterior of the rudder main spar tube for corrosion.

Initially inspect within the next 30 days after 

March 17, 2011 (the effective date of this 

AD), unless already done within the previous 60 months. Repetitively inspect thereafter at intervals not to exceed 60 months 

from the last inspection.

Following Steps 1 through 3 of Grumman 

American Aviation Corporation Ag-Cat 

Service Bulletin No. 61, dated June 6, 

1977. 

(2) If corrosion is found during any inspection 

required in paragraph (f)(1) of this AD, repair 

in accordance with Chapter 4 of FAA Advisory Circular 43.13–1B, Chg 1, dated September 27, 2001, or replace the damaged 

part(s).

Before further flight after any inspection in 

which corrosion is found.

As specified in Steps 5 and 6 of Grumman 

American Aviation Corporation Ag-Cat 

Service Bulletin No. 61, dated June 6, 

1977, and following Chapter 4 of FAA Advisory Circular 43.13–1B, Chg 1, dated September 27, 2001, which can be found at 

http://rgl.faa.gov/. 

(3) After each inspection, repair, or replacement 

required in this AD, corrosion protect the spar 

tube internal cavity by filling with warm, raw 

linseed oil, Paralketone, or CRC3 (LPS 

Heavy Duty Rust Inhibitor Type 3), or suitable equivalent protector for alloy steel, and 

allow to drain. Seal access hole with Scotch 

caulking compound, a suitable silicone based 

sealant, or equivalent.

Before further flight after each inspection required in paragraph (f)(1) of this AD and 

after each repair or replacement required in 

paragraph (f)(2) of this AD.

As specified in Step 4 of Grumman American 

Aviation Corporation Ag-Cat Service Bulletin No. 61, dated June 6, 1977. 

(4) Verify rigging check of the rudder ................ Before further flight after each inspection required in paragraph (f)(1) of this AD and 

after each repair or replacement required in 

paragraph (f)(2) of this AD.

Following Ag-Cat Maintenance Manual pages 

6–14 through 6–16, copyright 1978; or AgCat G–164D Maintenance Manual pages 6– 

24 and 6–29, copyright 1995, as applicable. 

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Federal Register / Vol. 76, No. 41 / Wednesday, March 2, 2011 / Rules and Regulations 11327 

1 31 U.S.C. 5311 et seq. 

2See Section 17 of the Exchange Act (15 U.S.C. 

78q) and 31 CFR 103.12 (redesignated as 31 CFR 

1010.301). 

3See 31 CFR 103.56(a)(6) (redesignated as 31 CFR 

1010.810(a)(6)). 

4See Exchange Act Release No. 18321 (December 

10, 1981); 46 FR 61454 (December 17, 1981) (‘‘Rule 

17a–8 Adopting Release’’). 

5Transfer and Reorganization of Bank Secrecy 

Act Regulation; Proposed Rule, 73 FR 66414 

(November 7, 2008); Transfer and Reorganization of 

Bank Secrecy Act Regulation; Final Rule, 75 FR 

65806 (October 26, 2010). 

Actions Compliance Procedures 

(5) Only install a rudder that has been inspected as specified in paragraph (f)(1) of 

this AD, is found free of corrosion, has had 

the corrosion protection applied, and has 

been sealed as specified in paragraph (f)(3) 

of this AD.

As of 30 days after March 17, 2011 (the effective date of this AD).Not applicable. 

Alternative Methods of Compliance 

(AMOCs) 

(g)(1) The Manager, Fort Worth Airplane 

Certification Office, 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 ACO, send it to the 

attention of the person identified in the 

Related Information section of this AD. 

(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. 

Related Information 

(h) For more information about this AD, 

contact Andrew McAnaul, Aerospace 

Engineer, ASW–150 (c/o MIDO–43), 10100 

Reunion Place, Suite 650, San Antonio, 

Texas 78216; phone: (210) 308–3365; fax: 

(210) 308–3370; e-mail: 

andrew.mcanaul@faa.gov. 

Material Incorporated by Reference 

(i) You must use Grumman American 

Aviation Corporation Ag-Cat Service Bulletin 

No. 61, dated June 6, 1977; Ag-Cat 

Maintenance Manual pages 6–14 through 

6–16, copyright 1978; and Ag-Cat G–164D 

Maintenance Manual pages 6–24 and 6–29, 

copyright 1995, to do the actions required by 

this AD, unless the AD specifies otherwise. 

(1) The Director of the Federal Register 

previously approved the incorporation by 

reference of Grumman American Aviation 

Corporation Ag-Cat Service Bulletin No. 61, 

dated June 6, 1977; Ag-Cat Maintenance 

Manual pages 6–14 through 6–16, copyright 

1978; and Ag-Cat G–164D Maintenance 

Manual pages 6–24 and 6–29, copyright 

1995, on December 19, 2008 (73 FR 67372, 

November 14, 2008). 

(2) For service information identified in 

this AD, contact Allied Ag Cat Productions, 

Inc., 301 West Walnut Street, P.O. Box 482, 

Walnut Ridge, Arkansas 72479; telephone: 

(870) 886–2418. 

(3) You may review copies of the service 

information at the FAA, Small Airplane 

Directorate, 901 Locust St., Kansas City, 

Missouri 64016. For information on the 

availability of this material at the FAA, call 

(816) 329–4148. 

(4) You may also review copies of the 

service information that is incorporated by 

reference at the National Archives and 

Records Administration (NARA). For 

information on the availability of this 

material at an NARA facility, call 202–741– 

6030, or go to http://www.archives.gov/ 

federal_register/code_of_federal_regulations/ 

ibr_locations.html. 

Issued in Kansas City, Missouri, on 

February 17, 2011. 

Earl Lawrence, 

Manager, Small Airplane Directorate, Aircraft 

Certification Service. 

[FR Doc. 2011–4160 Filed 3–1–11; 8:45 am] 

BILLING CODE 4910–13–P 

SECURITIES AND EXCHANGE 

COMMISSION 

17 CFR Part 240 

[Release No. 34–63949] 

Technical Amendments to Rule 17a–8: 

Financial Recordkeeping and 

Reporting of Currency and Foreign 

Transactions 

AGENCY: Securities and Exchange 

Commission. 

ACTION: Final rule; technical 

amendments. 

SUMMARY: The Securities and Exchange 

Commission (‘‘Commission’’) is adopting 

technical amendments to Rule 17a–8 

under the Securities and Exchange Act 

of 1934 (‘‘Exchange Act’’) to update a 

reference within the rule to the 

implementing regulations of the 

Currency and Foreign Transactions 

Reporting Act of 1970, as amended 

(commonly referred to as the Bank 

Secrecy Act or the ‘‘BSA’’). The BSA’s 

implementing regulations are 

promulgated and administered by the 

Financial Crimes Enforcement Network 

(‘‘FinCEN’’), a bureau within the 

Department of the Treasury. The 

reference to the BSA’s implementing 

regulations in Rule 17a–8 is being 

updated in response to FinCEN’s 

reorganization of those regulations into 

a new chapter of the Code of Federal 

Regulations (‘‘CFR’’). 

DATES: Effective Date: March 1, 2011. 

FOR FURTHER CONTACT INFORMATION: John 

J. Fahey, Office of Chief Counsel, 

Division of Trading and Markets, 

Securities and Exchange Commission; 

(202) 551–5550; 100 F Street, NE., 

Washington, DC 20549. 

I. Supplementary Material 

A. Background 

The BSA,1 as implemented through 

regulations issued and administered by 

FinCEN, requires financial institutions, 

including broker-dealers registered with 

the Commission, to make, keep, retain 

and report certain records that are 

useful for the purposes of criminal, tax, 

or regulatory investigations or 

proceedings.2 FinCEN administers the 

BSA and its implementing regulations, 

and the Commission has oversight 

authority for broker-dealers’ compliance 

with the BSA’s requirements.3 Exchange 

Act Rule 17a–8 requires broker-dealers 

to comply with the reporting, 

recordkeeping and record retention 

requirements of the BSA’s 

implementing regulations as found in 

part 103 of title 31 of the CFR.4

FinCEN recently reorganized the 

BSA’s implementing regulations into a 

new chapter within title 31 of the CFR.5

As part of this reorganization, FinCEN 

moved the regulations reflected in 31 

CFR Part 103 into 31 CFR Chapter X. 

When Chapter X becomes effective on 

March 1, 2011, 31 CFR Part 103 will be 

deleted, thereby rendering the 

references to ‘‘part 103 of title 31’’ of the 

CFR in Exchange Act Rule 17a–8 

incorrect. 

B. Technical Amendments to Rule 

17a–8 

The Commission is amending Rule 

17a–8 to conform the current CFR 

references to the BSA’s implementing 

regulations to those that will apply as a 

result of FinCEN’s reorganization of 

these regulations. Accordingly, the two 

references to ‘‘part 103 of title 31’’ in 

Exchange Act Rule 17a–8 will be 

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