Federal Register / Vol. 62, No. 30 / Thursday, February 13, 1997 / Notices 6823

Research, CBOE, dated June 26, 1996 (conforming

that the traffic generated is within OPRA’s

capacity).

12 17 CFR 200.30–3(a)(12) (1994).

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

2 17 CFR 240.19b–4.

3The Exchange filed Amendment No. 1 to

accurately reflect the expiration date of the three

month extension of the waiver. See Letter from

Michael D. Pierson, Senior Attorney, Regulatory

Policy, PSE, to John V. Ayanian, Attorney, Office

of Market Supervision, Division of Market

Regulation, Commission, dated January 27, 1997

(‘‘Amendment No. 1’’).

4See Securities Exchange Act Release No. 36841

(February 14, 1996), 61 FR 6666 (February 21,

1996).

5See Securities Exchange Act Release No. 37901

(October 31, 1996), 61 FR 57508 (November 6,

1996).

6See Amendment No. 1, supra note 3.

7 15 U.S.C. 78f(b)(5).

2. Statutory Basis

The proposed rule change is

consistent with Section 6(b) of the Act

in general and furthers the objectives of

Section 6(b)(5) in particular in that it

will permit trading in options based on

the World Property Index pursuant to

rules designed to prevent fraudulent

and manipulative acts and practices and

to promote just and equitable principles

of trade, and thereby will provide

investors with the ability to invest in

options based on an additional index.

B. Self-Regulatory Organization’s

Statement on Burden on Competition

CBOE does not believe that the

proposed rule change will impose any

inappropriate burden on competition.

C. Self-Regulatory Organization’s

Statement on Comments on the

Proposed Rule Change Received from

Members, Participants or others

No written comments were solicited

or received with respect to the proposed

rule change.

III. Date of Effectiveness of the

Proposed Rule Change and Timing for

Commission Action

Within 35 days of the date of

publication of this notice in the Federal

Register or within such longer period (i)

as the Commission may designate up to

90 days of such date if it finds such

longer period to be appropriate and

publishes its reasons for so finding or

(ii) as to which the self-regulatory

organization consents, the Commission

will:

(a) By order approve such proposed

rule change, or

(B) Institute proceedings to determine

whether the proposed rule change

should be disapproved.

IV. Solicitation of Comments

Interested persons are invited to

submit written data, views and

arguments concerning the foregoing.

Persons making written submissions

should file six copies thereof with the

Secretary, Securities and Exchange

Commission, 450 Fifth Street, N.W.

Washington, D.C. 20549. Copies of the

submission, all subsequent

amendments, all written statements

with respect to the proposed rule

change that are filed with the

Commission, and all written

communications relating to the

proposed rule change between the

Commission and any person, other than

those that may be withheld from the

public in accordance with the

provisions of 5 U.S.C. 552, will be

available for inspection and copying in

the Commission’s Public Reference

Section, 450 Fifth Street, N.W.,

Washington, D.C. 20549. Copies of such

filing will also be available for

inspection and copying at the principal

office of the CBOE. All submissions

should refer to the file number in the

caption above and should be submitted

by March 6, 1997.

For the Commission by the Division of

Market Regulation, pursuant to delegated

authority.12

Margaret H. McFarland,

Deputy Secretary.

[FR Doc. 97–3539 Filed 2–12–97; 8:45 am]

BILLING CODE 8010–01–M

[Release No. 34–38254; File No. SR–PSE–

97–03]

Self-Regulatory Organizations; Notice

of Filing and Immediate Effectiveness

of Proposed Rule Change and

Amendment No. 1 to the Proposed

Rule Change by the Pacific Stock

Exchange Incorporated Relating to a

Waiver of All Customer, Firm and

Market Maker Transaction Fees for

Transactions in FLEX Equity Options

Until April 29, 1997

February 6, 1997.

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

Securities Exchange Act of 1934 (‘‘Act’’)

and Rule 19b–4 thereunder,2 notice is

hereby given that on January 27, 1997,

the Pacific Stock Exchange Incorporated

(‘‘PSE’’ or ‘‘Exchange’’) filed with the

Securities and Exchange Commission

(‘‘Commission’’ or ‘‘SEC’’) the proposed

rule change as described in Items I, II

and III below, which Items have been

prepared by the PSE. The Exchange

filed with the Commission Amendment

No. 1 to the proposed rule change on

January 28, 1997.3 The Commission is

publishing this notice to solicit

comments on the proposed rule change,

as amended, from interested persons.

I. Self-Regulatory Organization’s

Statement of the Terms of Substance of

the Proposed Rule Change

The PSE is proposing to extend for a

three month period its waiver of all

customer, firm and Market Maker

transaction fees for transactions in FLEX

Equity Options.

II. Self-Regulatory Organization’s

Statement of the Purpose of, and

Statutory Basis for, the Proposed Rule

Change

In its filing with the Commission, the

PSE included statements concerning the

purpose of and basis for the proposed

rule change, as amended, and discussed

any comments it received on the

proposed rule change, as amended. The

text of these statements may be

examined at the places specified in Item

IV below. The PSE has prepared

summaries, set forth in sections A, B

and C below, of the most significant

aspects of such statements.

A. Self-Regulatory Organization’s

Statement of the Purpose of, and

Statutory Basis for, the Proposed Rule

Change

1. Purpose

On February 14, 1996, the

Commission approved an Exchange

proposal for the listing and trading of

Flexible Exchange (FLEX) Options on

equity securities, pursuant to Rule

8.100.4 The Exchange commenced

trading of FLEX Equity Options on

October 24, 1996. On October 31, 1996,

the Commission approved an Exchange

proposal to waive for three months all

customer, firm and market maker

transaction fees for transactions in FLEX

Equity Options.5 The Exchange is now

proposing to extend this waiver for

three additional months, ending on

Wednesday, April 29, 1997.6 The

purpose of the waiver is to encourage

customers, firms and market makers to

execute transactions in FLEX Equity

Options on the Exchange and respond to

competitive actions in the industry.

2. Statutory Basis

The proposal is consistent with

Section 6(b)(5) 7 of the Act because it is

designed to facilitate transactions in

securities.

B. Self-Regulatory Organization’s

Statement on Burden on Competition

The Exchange does not believe that

the proposed rule change, as amended,

will impose any burden on competition.
6824 Federal Register / Vol. 62, No. 30 / Thursday, February 13, 1997 / Notices

8 15 U.S.C. 78s(b)(3)(A).

9 17 CFR 19b–4(e).

10 17 CFR 200.30–3(a)(12).

1 15 U.S.C. § 78s(b)(1).

2 17 CFR 240.19b–4.

3On February 4, 1997, the PSE submitted a

technical amendment that (1) designates the

provisos in PSE Rule 2.12(b) as (A) and (B); and (2)

replaces references in PSE Rules 10.13(j)(2) and

10.13(k)(iii)(2) to PSE Rule 2.12(a) with references

to PSE Rule 2.12(b). See Letter form Michael D.

Pierson, Senior Attorney, Regulatory Policy, PSE, to

Yvonne Fraticelli, OMS, Division of Market

Regulation, Commission, dated February 3, 1997

(‘‘Amendment No. 1’’).

4See Securities Exchange Act Release Nos, 33347

(December 15, 1993), 58 FR 67888 (December 22,

1993) (order approving File No. SR–PSE–93–21)

(adopting charges for late filing of SIPC–6 and

SIPC–7 reports); and 32510 (June 24, 1993), 58 FR

335491 (July 1, 1993) (order approving File No. SR–

PSE–92–15) (approving amendment to the

Exchange’s Minor Rule Plan relating to late SIPC

reports).

5Under PSE Rule 2.12(b)(2), the charge for late

filings are as follows: (1) $200.00 for reports that are

1 to 30 days late; (2) $400.00 for reports that are

31 to 60 days late; and (3) $800.00 for reports that

are 61 to 90 days late.

6The fines under PSE Rule 10.13 are: (1)

$1,200.00 for a first violation: (2) $1,800.00 for a

second violation; and (3) $2,400.00 for a third

violation.

7 In addition, PSE Rule 10.13(j)(2) provides that

the failure to file a Form SIPC–6 or Form SIPC–7

within five days after the receipt of SIPC’s final

notice will result in a formal disciplinary action.

C. Self-Regulatory Organization’s

Statement on Comments on the

Proposed Rule Change Received From

Members, Participants, or Others

Written comments on the proposed

rule change, as amended, were neither

solicited nor received.

III. Date of Effectiveness of the

Proposed Rule Change and Timing for

Commission Action

The foregoing rule change, as

amended, establishes or changes a due,

fee, or other charge imposed by the

Exchange and therefore, has become

effective pursuant to section

19(b)(3)(A) 8 of the Act and

subparagraph (e) of Rule 19b–4 9

thereunder. At any time within 60 days

of the filing of such proposed rule

change, the Commission may summarily

abrogate such rule change if it appears

to the Commission that such action is

necessary or appropriate in the public

interest, for the protection of investors,

or otherwise in furtherance of the

purposes of the Act.

IV. Solictation of Comments

Interested persons are invited to

submit written data, views and

arguments concerning the foregoing.

Persons making written submissions

should file six copies thereof with the

Secretary, Securities and Exchange

Commission, 450 Fifth Street, N.W.,

Washington, D.C. 20549. Copies of the

submission, all subsequent

amendments, all written statements

with respect to the proposed rule

change, as amended, that are filed with

the Commission, and all written

communications relating to the

proposed rule change, as amended,

between the Commission and any

person, other than those that may be

withheld from the public in accordance

with the provisions of 5 U.S.C. § 552,

will be available for inspection and

copying in the Commission’s Public

Reference Room, 450 Fifth Street, N.W.,

Washington, D.C. 20549. Copies of such

filing will also be available for

inspection and copying at the principal

office of the PSE. All submissions

should refer to File No. SR–PSE–97–03

and should be submitted by March 6,

1997.

For the Commission, by the Division of

Market Regulation, pursuant to delegated

authority.10

Margaret H. McFarland,

Deputy Secretary.

[FR Doc. 97–3538 Filed 2–12–97; 8:45 am]

BILLING CODE 8010–01–M

[Release No. 34–38257; File No. SR–PSE–

97–04]

Self-Regulatory Organizations; Notice

of Filing and Immediate Effectiveness

of Proposed Rule Change and

Amendment No. 1 to the Proposed

Rule Change by the Pacific Stock

Exchange, Inc., Relating to Late SIPC

Reports

February 7, 1997.

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

Securities Exchange Act of 1934

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

notice is hereby given that on January

28, 1997, the Pacific Stock Exchange,

Inc. (‘‘PSE’’ or ‘‘Exchange’’) filed with

the Securities and Exchange

Commission (‘‘Commission’’) the

proposed rule change as described in

Items I, II and III below, which Items

have been prepared by the PSE.3 The

Commission is publishing this notice to

solicit comments on the proposed rule

change from interested persons.

I. Self-Regulatory Organization’s

Statement of the Terms of Substance of

the Proposed Rule Change

The PSE proposes to amend

paragraph (b)(2) of PSE Rule 2.12,

‘‘Financial Reports,’’ and paragraph

(k)(2) of PSE Rule 10.13, ‘‘Minor Rule

Plan,’’ to replace references to ‘‘Form

SIPC–6’’ and ‘‘Form SIPC–7’’ with

general references to ‘‘Securities

Investor Protection Corporation

(‘‘SIPC’’) forms and assessments’’ or

‘‘such forms and assessments as are

required pursuant to the Securities

Investor Protection Act of 1970

(‘‘SIPA’’).’’

The text of the proposed rule change

is available at the office of the Secretary,

PSE, and at the Commission.

II. Self-Regulatory Organization’s

Statement of the Purpose of, and

Statutory Basis for, the Proposed Rule

Change

In its filing with the Commission, the

Exchange included statements

concerning the purpose of and basis for

the proposed rule change and discussed

any comments it received on the

proposed rule change. The text of these

statements may be examined at the

places specified in Item IV below. The

Exchange has prepared summaries, set

forth in sections (A), (B), and (C) below,

of the most significant aspects of such

statements.

(A) Self-Regulatory Organization’s

Statement of the Purpose of, and the

Statutory Basis for, the Proposed Rule

Change

(a) Purpose

Currently, PSE Rule 2.12(b)(2)

requires members to file with the

Exchange a Form SIPC–6 or Form SIPC–

7 pursuant to SIPA.4 PSE Rule 2.12(b)(2)

provides a late filing charge for

members who fail to file such

documents in a timely manner.5 In

addition, PSE Rule 2.12(b)(2) provides

that a member who files its Form SIPC–

6 or Form SIPC–7 within five business

days of receipt of SIPC’s final late notice

is subject to a fine pursuant to PSE Rule

10.13,6 and that a member who fails to

file its Form SIPC–6 or Form SIPC–7

within five business days after its

receipt of SIPC’s final late notice is

subject to formal disciplinary action

pursuant to PSE Rule 10.4, ‘‘Hearing.’’ 7

The Exchange purposes to amend PSE

Rules 2.12(b)(2) and 10.13 (j) and (k) to

replace references to ‘‘Form SIPC–6’’

and ‘‘Form SIPC–7’’ with general

references to ‘‘SIPC form and

assessment’’ and ‘‘such forms and

assessments as are required’’ pursuant

to SIPA. The Exchange is taking this

action because SIPC recently has

replaced Forms SIPC–6 and SIPC–7

with Form SIPC–4. The Exchange

believes that the use of a general

reference to SIPC filings, rather than

references to specific SIPC forms, will

obviate the need for additional rule