9404 Federal Register / Vol. 86, No. 28 / Friday, February 12, 2021 / Notices 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3Capitalized terms used but not defined herein 

have the meanings specified in the ICC Clearing 

Rules (the ‘‘Rules’’). 

4Self-Regulatory Organizations; ICE Clear Credit 

LLC; Notice of Filing of Proposed Rule Change 

Relating to the ICC Clearing Participant Default 

Management Procedures, Exchange Act Release No. 

90841 (January 4, 2021), 86 FR 1555 (January 8, 

2021) (SR–ICC–2020–014) (‘‘Notice’’). 

5The description herein is substantially 

excerpted from the Notice. 

6See Notice, 86 FR at 1555. 

estimates that it would take 

approximately 15 minutes to create and 

submit each fingerprint card. The total 

time burden is therefore estimated to be 

approximately 70,451 hours, or 

approximately 18 hours per respondent, 

annually. 

In addition, the SROs charge an 

estimated $26 fee for processing 

fingerprint cards submitted 

electronically, resulting in a total annual 

cost to all 3,900 respondents of 

approximately $6,596,746, or 

approximately $1,691 per respondent 

per year. The SROs charge an estimated 

$41 fee for processing fingerprint cards 

submitted in hard copy, resulting in a 

total annual cost to all 3,900 

respondents of approximately 

$1,151,403, or approximately $295 per 

respondent per year. The combined 

annual cost to all respondents is thus 

approximately $7,748,149. 

Because the FBI will not accept 

fingerprint cards directly from 

submitting organizations, Commission 

approval of fingerprint plans from 

certain SROs is essential to carry out the 

Congressional goal to fingerprint 

securities industry personnel. Filing 

these plans for review assures users and 

their personnel that fingerprint cards 

will be handled responsibly and with 

due care for confidentiality. 

An agency may not conduct or 

sponsor, and a person is not required to 

respond to, a collection of information 

under the PRA unless it displays a 

currently valid OMB control number. 

The public may view background 

documentation for this information 

collection at the following website: 

www.reginfo.gov. Find this particular 

information collection by selecting 

‘‘Currently under 30-day Review—Open 

for Public Comments’’ or by using the 

search function. Written comments and 

recommendations for the proposed 

information collection should be sent 

within 30 days of publication of this 

notice to (i) www.reginfo.gov/public/do/ 

PRAMain and (ii) David Bottom, 

Director/Chief Information Officer, 

Securities and Exchange Commission, c/ 

o Cynthia Roscoe, 100 F Street NE, 

Washington, DC 20549, or by sending an 

email to: PRA_Mailbox@sec.gov. 

Dated: February 9, 2021. 

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2021–02959 Filed 2–11–21; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–91075; File No. SR–ICC– 

2020–014] 

Self-Regulatory Organizations; ICE 

Clear Credit LLC; Order Approving 

Proposed Rule Change Relating to the 

ICC Clearing Participant Default 

Management Procedures 

February 8, 2021. 

Introduction 

On December 22, 2020, ICE Clear 

Credit LLC (‘‘ICC’’) filed with the 

Securities and Exchange Commission 

(‘‘Commission’’), pursuant to Section 

19(b)(1) of the Securities Exchange Act 

of 1934 (‘‘Act’’) 1 and Rule 19b–4 

thereunder,2 a proposed rule change to 

revise its Clearing Participant (‘‘CP’’) 

Default Management Procedures (the 

‘‘Default Management Procedures’’).3

The proposed rule change was 

published for comment in the Federal 

Register on January 8, 2020.4 The 

Commission did not receive comments 

on the proposed rule change. For the 

reasons discussed below, the 

Commission is approving the proposed 

rule change. 

II. Description of the Proposed Rule 

Change 

ICC’s proposed rule change would 

make clarifying changes to the Default 

Management Procedures to formalize 

the process for convening remote 

meetings of ICC’s CDS Default 

Committee, and to update certain 

procedures for notifications by 

designated ICC officers as part of its CP 

default management process.5 This 

process includes the actions that ICC 

takes to determine that a CP is in default 

and to close-out the defaulting CP’s 

portfolio.6

Specifically, ICC proposes revisions to 

Subsection 4.4 (Secure Trading Facility) 

of the Default Management Procedures 

related to convening the ICC CDS 

Default Committee, which consists of 

designated employees of eligible CPs 

that have CDS trading experience and 

are deemed seconded to ICC to assist 

with default management and the closeout process. Currently, Subsection 4.4 

provides only for an in-person meeting 

of the CDS Default Committee in a 

private room at ICC’s New York offices 

(‘‘Secure Trading Facility’’). The 

proposed changes specify that ICC may 

convene its CDS Default Committee at 

the Secure Trading Facility or remotely 

by teleconference (‘‘Remote Trader 

Consultation’’) in the event the 

Committee is unable to meet in person. 

The proposed changes also specify that 

the ICC Chief Risk Officer (‘‘CRO’’) will 

decide whether to convene the CDS 

Default Committee in person or 

remotely, and that such decision will 

depend on the circumstances at the time 

of the declaration of the default. 

ICC also proposes updates to Section 

6 (Default Declaration). Currently, 

Subsection 6.1.5 (CCO Pre-Declaration 

Initiated Actions) requires the ICC Chief 

Compliance Officer (‘‘CCO’’) to inform 

default contacts at the Commission and 

the Commodity Futures Trading 

Commission (‘‘CFTC’’) by telephone of a 

potential CP default. The proposed 

changes to Subsection 6.1.5 would 

allow the CCO to inform the default 

contacts at Commission and the CFTC 

by telephone or email of a potential 

default, and further direct the CCO to 

inform other regulators of the potential 

default as may be required. Amended 

Subsection 6.4 (Default Declaration 

Notification) similarly directs the CCO 

to notify other regulators (in addition to 

the Commission and the CFTC) of a 

default if applicable, and replaces the 

word ‘‘all’’ with ‘‘above’’ in the phrase 

‘‘Upon the CCO confirming all 

notifications have been completed,’’ in 

the last paragraph of this subsection. 

The proposed updates to Subsection 

6.5.3 (CRO Post-Declaration 

Preparation) relate to the CRO’s actions 

to convene the CDS Default Committee 

after a declaration of default and to 

determine whether this Committee will 

meet in person or remotely at such postdeclaration phase. If the CRO convenes 

an in-person CDS Default Committee 

meeting at the Secure Trading Facility, 

the proposed updates to Subsection 

6.5.3 clarify that the CRO will work 

with ICC’s Risk Committee and other 

ICC staff as required to perform certain 

specified actions. The proposed 

revisions to Subsection 6.5.4 (CCO PostDeclaration Actions) make clarifications 

in respect of the notice that the CCO 

provides to the compliance personnel of 

a CDS Default Committee member 

following a declaration of a default, 

including the prospect that the CDS 

Default Committee may meet by 

teleconference. 

Federal Register / Vol. 86, No. 28 / Friday, February 12, 2021 / Notices 9405 

7 15 U.S.C. 78s(b)(2)(C). 

8 15 U.S.C. 78q–1(b)(3)(F). 

9 17 CFR 240.17Ad–22(e)(2)(i), (e)(2)(v), and 

(e)(13). 

10 15 U.S.C. 78q–1(b)(3)(F). 

11 15 U.S.C. 78q–1(b)(3)(F). 

12 17 CFR 240.17Ad–22(e)(2)(i) and (v). 13 17 CFR 240.17Ad–22(e)(2)(i) and (v). 

ICC also proposes changes to Section 

7 (CDS Default Committee 

Consultation). The proposed changes 

reference ICC’s ability to convene the 

CDS Default Committee remotely. 

Amended Subsection 7.1 (Convening a 

CDS Default Committee Meeting) 

formalizes the process for convening a 

CDS Default Committee for Remote 

Trader Consultation, including the 

procedure for the CRO to request that 

ICC’s Risk Department will provide the 

notice via email to CDS Default 

Committee members and what 

information is included in the notice. 

The changes also specify the particular 

email contents and other actions that 

would be taken for convening the CDS 

Default Committee at the Secure 

Trading Facility or by Remote Trader 

Consultation, respectively, or by either 

means. Amended Subsection 7.3 (Initial 

CDS Default Committee Meeting) 

specifies that ICC’s provision of access 

to the cleared portfolios of defaulting 

CPs are conducted where 

technologically practicable during the 

initial CDS Default Committee meeting. 

Current Subsection 7.3 does not contain 

the phrase ‘‘where technologically 

practicable.’’ In addition, amended 

Subsection 7.3 makes minor 

grammatical updates, including adding 

a parenthetical and updating the 

sentence structure for clarity. 

III. Commission Findings 

Section 19(b)(2)(C) of the Act directs 

the Commission to approve a proposed 

rule change of a self-regulatory 

organization if it finds that the proposed 

rule change is consistent with the 

requirements of the Act and the rules 

and regulations thereunder applicable to 

the organization presenting it.7 For the 

reasons given below, the Commission 

finds that the proposed rule change is 

consistent with Section 17A(b)(3)(F) of 

the Act 8 and Rules 17Ad–22(e)(2)(i), 

(e)(2)(v), and (e)(13) thereunder.9

A. Consistency With Section 

17A(b)(3)(F) of the Act 

Section 17A(b)(3)(F) of the Act 

requires, among other things, that the 

rules of ICC be designed to promote the 

prompt and accurate clearance and 

settlement of securities transactions 

and, to the extent applicable, derivative 

agreements, contracts, and transactions, 

to assure the safeguarding of securities 

and funds which are in the custody or 

control of ICC or for which it is 

responsible, and, in general, to protect 

investors and the public interest.10

The Commission believes that, by 

clarifying ICC’s process for convening 

remote meetings of its CDS Default 

Committee and updating its default 

notification procedures to regulators 

and CP trading and compliance 

personnel, the proposed rule change 

should enhance ICC’s ability to manage 

the risks associated with a CP default 

and the timely close-out of the 

defaulter’s CDS portfolio. Specifically, 

the Commission believes that, by 

including explicit authorization and 

instructions for the CRO to convene the 

CDS Default Committee for Remote 

Trader Consultation via teleconference 

if circumstances prevent the CDS 

Default Committee from meeting in 

person, the proposed rule change would 

enhance the ability of ICC to respond 

promptly to the risks posed by a given 

CP default situation and would provide 

particular processes for addressing a 

default via a Remote Trader 

Consultation. Likewise, the Commission 

believes that, by including updated 

notification procedures related to a CP 

default, ICC’s relevant stakeholders, 

such as the CDS Default Committee 

members, CP trading and compliance 

personnel, and regulators, would be 

better informed of the status of a CP 

default situation, thus facilitating their 

ability to participate in the default 

management process as needed and 

provide prompt and responsive 

feedback. 

Therefore, the Commission believes 

that the proposed rule change generally 

should provide ICC with enhanced 

clarity, efficiency and flexibility in how 

it manages and responds to the risks of 

CP defaults, which in turn should help 

ICC maintain its resilience in the event 

of a default. By improving ICC’s ability 

to manage a CP default, the Commission 

believes that the proposed rule change 

should also improve ICC’s ability to 

avoid losses that could result from a CP 

default. The Commission further 

believes that such losses, if not properly 

managed, could hinder ICC’s ability to 

continue operations and therefore clear 

and settle securities transactions and 

safeguard securities and funds in its 

custody or control. Therefore, for these 

reasons, the Commission finds that the 

proposed rule change should promote 

the prompt and accurate clearance and 

settlement of securities transactions and 

assure the safeguarding of securities and 

funds in ICC’s custody and control, 

consistent with the Section 17A(b)(3)(F) 

of the Act.11

B. Consistency With Rules 17Ad– 

22(e)(2)(i) and (v) 

Rules 17Ad–22(e)(2)(i) and (v) 

require, in relevant part, that ICC 

establish, implement, maintain, and 

enforce written policies and procedures 

reasonably designed to provide for 

governance arrangements that are clear 

and transparent and that specify clear 

and direct lines of responsibility.12

The Commission believes that the 

proposed rule change’s revisions to 

assign clear and updated 

responsibilities to the CRO and CCO 

during each phase of the default 

declaration process in the Default 

Management Procedures provide for 

governance arrangements that are clear 

and transparent and that specify clear 

and direct lines of responsibility. 

Specifically, the proposed rule change 

would update and clarify the CCO’s predeclaration, default declaration, and 

post-declaration notification 

responsibilities, so that information is 

imparted to all relevant stakeholders. 

Further, the proposed rule change 

would update and clarify the CRO’s 

post-declaration responsibilities, 

including documenting the CRO’s 

decision-making authority and actions 

for convening the CDS Default 

Committee at either an in-person 

meeting at the Secure Trading Facility 

or via Remote Trader Consultation by 

teleconference, depending on the 

circumstances at the time of the default 

declaration. In the Commission’s view, 

including these responsibilities should 

ensure that the relevant stakeholders 

have clear and transparent information 

on their respective roles and 

responsibilities at each phase of the 

default management process. 

Accordingly, the Commission believes 

that the proposed revisions to the 

Default Management Procedures are 

reasonably designed to provide for 

governance arrangements that are clear 

and transparent and that specify clear 

and direct lines of responsibility, 

consistent with Rules 17Ad–22(e)(2)(i) 

and (v).13

C. Consistency With Rule 17Ad– 

22(e)(13) 

Rule 17Ad–22(e)(13) requires ICC to 

establish, implement, maintain and 

enforce written policies and procedures 

reasonably designed to ensure that it has 

the authority and operational capacity 

to take timely action to contain losses 

and liquidity demands and continue to 

meet its obligations by, at a minimum, 

requiring its participants and, when 

practicable, other stakeholders to 

9406 Federal Register / Vol. 86, No. 28 / Friday, February 12, 2021 / Notices 

14 17 CFR 240.17Ad–22(e)(13). 

15 15 U.S.C. 78q–1(b)(3)(F). 

16 17 CFR 240.17Ad–22(e)(2)(i), (e)(2)(v), and 

(e)(13). 

17 15 U.S.C. 78s(b)(2). 

18 In approving the proposed rule change, the 

Commission considered the proposal’s impact on 

efficiency, competition, and capital formation. 15 

U.S.C. 78c(f). 

19 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

participate in the testing and review of 

its default procedures, including any 

close-out procedure, at least annually 

and following material changes thereto. 

By amending the Default Management 

Procedures to document and formalize 

the procedures for convening the CDS 

Default Committee remotely by 

teleconference, the proposed rule 

change would promote ICC’s ability to 

efficiently and safely manage its closeout process when the CDS Default 

Committee cannot meet in person, 

which would help to ensure that ICC 

has the authority and operational 

capacity to take timely action to contain 

losses and liquidity demands and 

continue to meet its obligations in the 

event of default. In addition, the 

Commission believes the proposed 

updates and clarification changes to the 

default notification procedures would 

ensure that ICC’s relevant stakeholders 

stay informed throughout the default 

management process and enable them to 

provide responsive feedback that may 

also help ICC to take timely action to 

contain losses and liquidity demands 

while meeting its obligations. For these 

reasons, the Commission finds that the 

proposed rule change is consistent with 

Rule 17Ad–22(e)(13).14

IV. Conclusion 

On the basis of the foregoing, the 

Commission finds that the proposed 

rule change is consistent with the 

requirements of the Act, and in 

particular, with the requirements of 

Section 17A(b)(3)(F) of the Act 15 and 

Rules 17Ad–22(e)(2)(i), (e)(2)(v), and 

(e)(13) thereunder.16

It is therefore ordered pursuant to 

Section 19(b)(2) of the Act 17 that the 

proposed rule change (SR–ICC–2020– 

014) be, and hereby is, approved.18

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.19

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2021–02868 Filed 2–11–21; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–104, OMB Control No. 

3235–0119] 

Proposed Collection; Comment 

Request 

Upon Written Request Copies Available 

From: Securities and Exchange 

Commission, Office of FOIA Services, 

100 F Street NE, Washington, DC 

20549–2736. 

Extension: 

Rule 12g3–2 

Notice is hereby given that, pursuant 

to the Paperwork Reduction Act of 1995 

(44 U.S.C. 3501 et seq.), the Securities 

and Exchange Commission 

(‘‘Commission’’) is soliciting comments 

on the collection of information 

summarized below. The Commission 

plans to submit this existing collection 

of information to the Office of 

Management and Budget for extension 

and approval. 

Rule 12g3–2 (17 CFR 240.12g3–2) 

under the Securities Exchange Act of 

1934 (the ‘‘Exchange Act’’) provides an 

exemption from Section 12(g) of the 

Exchange Act (15 U.S.C. 78l(g)) for 

foreign private issuers. Rule 12g3–2 is 

designed to provide investors in foreign 

securities with information about such 

securities and the foreign issuer. The 

information filed under Rule 12g3–2 

must be filed with the Commission and 

is publicly available. We estimate that it 

takes 8.95 hours per response to prepare 

and is filed by approximately 1,386 

respondents. Each respondent files an 

estimated 12 times submissions 

pursuant to Rule 12g3–2 per year for a 

total of 16,632 respondents. We estimate 

that 25% of 8.95 hours per response 

(2.237 hours per response) to provide 

the information required under Rule 

12g3–2 for a total annual reporting 

burden of 37,206 hours (2.237 hours per 

response × 16,632 responses). 

Written comments are invited on: (a) 

Whether this proposed collection of 

information is necessary for the proper 

performance of the functions of the 

agency, including whether the 

information will have practical utility; 

(b) the accuracy of the agency’s estimate 

of the burden imposed by the collection 

of information; (c) ways to enhance the 

quality, utility, and clarity of the 

information collected; and (d) ways to 

minimize the burden of the collection of 

information on respondents, including 

through the use of automated collection 

techniques or other forms of information 

technology. Consideration will be given 

to comments and suggestions submitted 

in writing within 60 days of this 

publication. 

An agency may not conduct or 

sponsor, and a person is not required to 

respond to, a collection of information 

unless it displays a currently valid 

control number. 

Please direct your written comment to 

David Bottom, Director/Chief 

Information Officer, Securities and 

Exchange Commission, c/o Cynthia 

Roscoe, 100 F Street NE, Washington, 

DC 20549 or send an email to: PRA_

Mailbox@sec.gov. 

Dated: February 8, 2021. 

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2021–02865 Filed 2–11–21; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–91078; File No. SR– 

CboeEDGX–2021–009] 

Self-Regulatory Organizations; Cboe 

EDGX Exchange, Inc.; Notice of Filing 

and Immediate Effectiveness of a 

Proposed Rule Change Relating To 

Amend the Fee Schedule 

February 8, 2021. 

Pursuant to Section 19(b)(1) of the 

Securities Exchange Act of 1934 (the 

‘‘Act’’),1 and Rule 19b–4 thereunder,2

notice is hereby given that on February 

1, 2021, Cboe EDGX Exchange, Inc. (the 

‘‘Exchange’’ or ‘‘EDGX’’) filed with the 

Securities and Exchange Commission 

(the ‘‘Commission’’) the proposed rule 

change as described in Items I, II, and 

III below, which Items have been 

prepared by the Exchange. The 

Commission is publishing this notice to 

solicit comments on the proposed rule 

change from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

Cboe EDGX Exchange, Inc. (the 

‘‘Exchange’’ or ‘‘EDGX’’) is filing with 

the Securities and Exchange 

Commission (‘‘Commission’’) a 

proposed rule change to amend the fee 

schedule. The text of the proposed rule 

change is provided in Exhibit 5. 

The text of the proposed rule change 

is also available on the Exchange’s 

website (http://markets.cboe.com/us/ 

options/regulation/rule_filings/edgx/), 

at the Exchange’s Office of the 

Secretary, and at the Commission’s 

Public Reference Room.