51088 Federal Register / Vol. 62, No. 189 / Tuesday, September 30, 1997 / Notices

1Commission rule 1.41(l) provides, in part, that:

Notwithstanding the provisions of paragraph (b)

of this section, all changes in trading months shall

be deemed approved by the Commission ten days

after written notice of such a change is received by

the Commission if:

(i) The change is consistent with a rule of the

contract market governing the listing of trading

months which has been approved by the

Commission, and with the Act and the

Commission’s regulations; * * *.

2 In this regard, the Commission notes that the

listing of contract months under the current

contract terms prior to the December notification’s

finding that the contracts’ terms are in violation of

section 5a(a)(10) of the Act is fundamentally

different from the listing of trading months after

such a finding has been made.

Re: Proposed Disapproval of Exchange

Listing for Trading of January 1999

Soybean Futures Contract and March

1999 Corn Futures Contract

Dear Mr. Arbor: The Commission is aware

that the Board of Trade of the City of Chicago

(CBT) notified its members on September 19,

1997, of its intent to propose listing for

trading the January 1999 soybean futures

contract and the March 1999 corn futures

contract.

The Commodity Futures Trading

Commission (Commission) hereby notifies

the CBT that listing the above contract

months is not consistent with the abbreviated

review provisions of Commission rule 1.41(l),

17 CFR 1.41(l), and will be subject to the

usual review and approval procedures under

section 5a(a)(12) of the Commodity Exchange

Act (Act) and rule 1.41(b). Commission rule

1.41(l) provides that all changes in contract

months shall be deemed approved by the

Commission ten days after notice of the

change is received by the Commission if

consistent with the Act and the

Commission’s regulations.1

The Commission, by letter dated December

19, 1996, notified the CBT that the delivery

terms of its corn and soybean futures

contracts are not consistent with the

requirements of section 5a(a)(10) of the Act.

In its December 19, 1996 notification, the

Commission stated:

[i]n light of the Commission’s

determination that the CBT’s futures

contracts in corn and soybeans no longer

comply with the requirements of section

5a(a)(10) of the Act, the CBT should refrain

from listing additional months for trading in

those contracts during the pendency of these

proceedings.

61 FR 67998, 67999 (December 26, 1997).

On September 15, 1997, the Commission

issued a proposed Order to change and to

supplement the CBT’s response to the

December 19, 1996 section 5a(a)(10) notice

and to disapprove, to change and to

supplement the terms proposed by the CBT

for the July and December 1999 corn and July

and November 1999 soybean futures

contracts, which were listed by the CBT

without Commission approval. The

Commission has notified the CBT under the

proposed Order that the CBT will have an

opportunity to be heard by the Commission

on October 15, 1997, or sooner if the CBT

requests.

The delivery specifications intended by the

CBT to be applicable to the January 1999

soybean futures contract and the March 1999

corn futures contract are the same as those

that the Commission proposed to disapprove

for application to the July and December

1999 corn futures contracts and the July and

November 1999 soybean futures contracts in

its Proposed Order of September 15, 1997.

Listing additional delivery months under

either the contract terms found by the

Commission to violate the provisions of

section 5a(a)(10) or under proposed terms on

which the Commission already has taken

action proposing disapproval is not

consistent with the provisions and policies of

the Act. The Commission proposes to

disapprove the listing of these contract

months on those grounds.

Because the Commission finds that listing

these trading months is not consistent with

Commission rule 1.41(l) and that

Commission review and approval under

section 5a(a)(12) and rule 1.41(b) is required

prior to their listing, their listing for trading

by the CBT is not legally authorized at the

present time. Moreover, the Commission

proposes under sections 5a(a)(10), 5a(a)(12),

8a (7) and 15 of the Act to disapprove the

listing for trading and to disapprove, to

change and to supplement the terms of the

January 1999 soybean futures contract and

the March 1999 corn futures contract on the

same bases and for the same reasons as it has

stated in its December 19, 1996 notification

and its Proposed Order of September 15,

1997.

A public hearing on the Proposed Order of

September 15, 1997, has been scheduled for

October 15, 1997, (or at an earlier date if the

CBT requests) at the Commission’s

Washington, D.C. office. The CBT also will

have an opportunity at that public hearing to

make an oral presentation before the

Commission on the matters raised in this

notice to disapprove the listing and to

disapprove, to change and to supplement the

January 1999 soybean futures contract and

the March 1999 corn futures contract. The

Commission will also accept written

comments from the CBT on this issue on or

before the date of the hearing.

The Commission also reserves all of its

authority under the Act to bring appropriate

legal action against the CBT for the violation

of section 5a(a)(12) of the Act and

Commission rules 1.41(b) and 1.41(l) which

require the CBT to obtain approval by the

Commission prior to listing new delivery

months for trading. Such reservation of

authority relates to the January, July and

November 1999 soybeans futures contracts

and the March, July and December 1999 corn

futures contracts, as well as any contract

months CBT attempts to list without prior

approval hereafter.2 As the Commission

noted in its Proposed Order of September 15,

1997, the Commission is prepared to approve

immediately the listing of delivery months

which incorporate the Commission’s

proposed changes and supplements.

The Commission hereby instructs the CBT

that it must notify all market participants that

the Commission has not approved the listing

of these contract months as required by law

and that the Commission has proposed to

disapprove the listing and to disapprove, to

change and to supplement the terms

proposed by the CBT.

By the Commission.

Jean A. Webb,

Secretary of the Commission.

The Commission has determined that

publication of this Proposed

Disapproval of Contract Listing and

Proposed Order to Disapprove, to

Change and to Supplement the Chicago

Board of Trade Proposal on Contract

Specifications relating to the January

1999 soybean futures contract and the

March 1999 corn futures contract for

public comment will assist the

Commission in its consideration of

these issues. Accordingly, the

Commission is requesting written

comments from interested members of

the public.

Issued in Washington, D.C., this 23rd day

of September, 1997, by the Commodity

Futures Trading Commission.

Jean A. Webb,

Secretary of the Commission.

[FR Doc. 97–25779 Filed 9–29–97; 8:45 am]

BILLING CODE 6351–01–P

DEPARTMENT OF DEFENSE

Department of the Air Force

HQ USAF Scientific Advisory Board

Meeting

The Science & Technology Panel

Review of Air Force Research

Laboratory (AFRL), in support of the HQ

USAF Scientific Advisory Board, will

meet in Dayton, OH on November 3–7,

1997, from 8:00 a.m. to 5:00 p.m.

The purpose of the meeting is to

gather information, receive briefings and

review AFRL.

The meeting will be closed to the

public in accordance with Section 552b

of Title 5, United States Code,

specifically subparagraphs (1) and (4)

thereof.

For further information, contact the

HQ USAF Scientific Advisory Board

Secretariat at (703) 697–8404.

Barbara A. Carmichael,

Alternate Air Force Federal Register Liaison

Officer.

[FR Doc. 97–25887 Filed 9–29–97; 8:45 am]

BILLING CODE 3910–01–P