8810 Federal Register / Vol. 62, No. 38 / Wednesday, February 26, 1997 / Notices

4For example, the rules of the National Securities

Clearing Corporation (‘‘NSCC’’) and the

International Securities Clearing Corporation

(‘‘ISCC’’) provide NSCC and ISCC with liens on

property placed in their possession by their

participants. The language contained in the present

proposed rule change is substantially similar to the

language contained in NSCC’s and ISCC’s

respective rules. NSCC Rule 18, Section 2(f) and

ISCC Rule 18, Section 3.

5 15 U.S.C. 78q–1(b)(3)(F). 6 17 CFR 200.30–3(a)(12).

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

2The Commission has modified the text of the

summaries prepared by PTC.

(A) Self-Regulatory Organization’s

Statement of the Purpose of, and

Statutory Basis for, the Proposed Rule

Change

The purpose of the proposed rule

change is to modify MBSCC’s rules to

explicitly state that MBSCC has a lien

on all property placed in its possession

by its participants. Unlike other clearing

organizations, MBSCC’s rules do not

contain specific language stating that

MBSCC has such a lien.4 However,

according to MBSCC, MBSCC always

intended to have a lien on all property

placed in its possession by its

participants. Therefore, in order to

clarify this issue, the proposed rule

change adds language providing MBSCC

with assurances that, in the event one of

its participants fails to discharge its

liabilities, MBSCC will have first

priority with respect to the participant’s

property in MBSCC’s possession. The

proposed rule change also revises

MBSCC’s rules to clarify that any cash

received with respect to any deposits to

MBSCC’s participants fund and not yet

distributed to a participant is available

to MBSCC for satisfaction of participant

liabilities.

MBSCC believes that the proposed

rule change is consistent with the

requirements of Section 17A(b)(3)(F) of

the Act 5 and the rules and regulations

thereunder because it will facilitate the

prompt and accurate clearance and

settlement of securities transactions.

(B) Self-Regulatory Organization’s

Statement on Burden on Competition

MBSCC does not believe that the

proposed rule change will have an

impact on or impose a 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 relating to the

proposed rule change have been

solicited or received. MBSCC will notify

the Commission of any written

comments received by MBSCC.

III. Date of Effectiveness of the

Proposed Rule Change and Timing for

Commission Action

Within thirty-five 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

ninety 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 MBSCC 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

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 MBSCC. All submissions

should refer to the file number SR–

MBSCC–96–08 and should be submitted

by March 19, 1997.

For the Commission by the Division of

Market Regulation, pursuant to delegated

authority.6

Margaret H. McFarland,

Deputy Secretary.

[FR Doc. 97–4671 Filed 2–25–97; 8:45 am]

BILLING CODE 8010–01–M

[(Release No. 34–38313); File No. SR–PTC–

96–06]

Self-Regulatory Organizations;

Participants Trust Company; Notice of

Filing and Order Granting Accelerated

Approval of Proposed Rule Change to

Authorize the Release of Clearing Data

February 19, 1997.

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

Securities Exchange Act of 1934

(‘‘Act’’), notice is hereby given that on

November 22, 1996, the Participants

Trust Company (‘‘PTC’’) filed with the

Securities and Exchange Commission

(‘‘Commission’’) the proposed rule

change as described in Items I and II

below, which items have been prepared

primarily by PTC. The Commission is

publishing this notice and order to

solicit comments from interested

persons and to grant accelerated

approval of the proposed rule change.

I. Self-Regulatory Organization’s

Statement of the Terms of Substance of

the Proposed Rule Change

The proposed rule change modifies

Article VI of PTC’s rules to add a new

Rule 14 which authorizes PTC to release

transaction and other data relating to

participants obtained by PTC in the

normal course of business.

II. Self-Regulatory Organization’s

Statement of the Purpose of, and

Statutory Basis for, the Proposed Rule

Change

In its filing with the Commission, PTC

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. PTC has prepared

summaries, set forth in sections (A), (B),

and (C) below, of the most significant

aspects of such statements.2

(A) Self-Regulatory Organization’s

Statement of the Purpose of, and

Statutory Basis for, the Proposed Rule

Change

The purpose of the proposed rule

change is to modify Article VI of PTC’s

rules to add a new Rule 14 which

authorizes PTC to release transaction

and other data relating to participants

obtained by PTC in the normal course

of its business. The rule will permit PTC

to disclose such data to (1) regulatory,

self-regulatory, other similar

organizations, (2) clearing organizations

which are under the oversight of the
Federal Register / Vol. 62, No. 38 / Wednesday, February 26, 1997 / Notices 8811

3Securities Exchange Act Release No. 35809

(June 5, 1995), 60 FR 30912 [File No. SR–NSCC–

95–06] (order approving proposed rule change

establishing the CMS).

4 15 U.S.C. 78q–1(b)(3)(F). 5 17 CFR 200.30–3(a)(12).

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

2The Commission has modified parts of these

statements.

3Pub. L. 104–920, 110 Stat. 3416 (1996).

Commodity Futures Trading

Commission, and (3) to other entities as

may be authorized by a participant. The

proposed rule change will allow PTC to

participate in the National Securities

Clearing Corporation’s (‘‘NSCC’’)

Collateral Management Service

(‘‘CMS’’) 3 and to provide information to

the CMS database regarding PTC’s

participants’ net debit and credit

balances, participants’ fund deposits,

including excess (deficit) amounts, and

comprehensive data on underlying

collateral.

PTC believes the proposed rule

change is consistent with the

requirements of Section 17A of the Act

and the rules and regulations

thereunder because it sets forth PTC’s

responsibilities and obligations with

regard to releasing participant’s clearing

data and facilitates PTC’s participation

in the CMS database by permitting PTC

to provide participant information to the

CMS database.

(B) Self-Regulatory Organization’s

Statement on Burden on Competition

PTC does not believe that the

proposed rule change will impact or

impose a 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 have been

solicited or received. PTC will notify the

Commission of any written comments

received by PTC.

III. Date of Effectiveness of the

Proposed Rule Change and Timing for

Commission Action

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

requires that the rules of a clearing

agency be designed to assure the

safeguarding of securities and funds

which are in the custody or control of

the clearing agency or for which it is

responsible.4 The Commission believes

the proposed rule change is consistent

with PTC’s obligation under Section

17A(b)(3)(F) because the proposal sets

forth PTC’s responsibilities and

obligations with regard to releasing

participants’ clearing data and should

facilitate PTC’s participation in NSCC’s

CMS by allowing PTC to provide

participant information to NSCC for use

in its CMS. PTC’s and its participants’

participation in NSCC’s CMS should

help PTC and other clearing agencies to

better monitor their clearing members’

clearing fund, margin, and other similar

required deposits that protect the

clearing agencies against loss should a

member default on its obligations.

The Commission finds good cause for

approving the proposed rule change

prior to the thirtieth day after the date

of publication of notice of the filing

because accelerated approval will allow

PTC to immediately participate in

NSCC’s CMS thus allowing both PTC

and other clearing agency participants

in the CMS to benefit from the data

contained in CMS regarding common

participants.

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 also will be available for

inspection and copying at the principal

office of PTC. All submissions should

refer to File No. SR–PTC–96–06 and

should be submitted by March 19, 1997.

It is therefore ordered, pursuant to

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

proposed rule change (File No. SR–

PTC–96–06) be, and hereby is,

approved.

For the Commission by the Division of

Market Regulation, pursuant to delegated

authority.5

Margaret H. McFarland,

Deputy Secretary.

[FR Doc. 97–4751 Filed 2–25–97; 8:45 am]

BILLING CODE 8010–01–M

[Release No. 34–38318; File No. SR–SCCP–

96–14]

Self-Regulatory Organizations; Stock

Clearing Corporation of Philadelphia;

Notice of Filing and Order Granting

Accelerated Approval of a Proposed

Rule Change Implementing a

Collection Service for Regulatory Fees

February 20, 1997.

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

Securities Exchange Act of 1934

(‘‘Act’’),1 notice is hereby given that on

January 6, 1997, the Stock Clearing

Corporation of Philadelphia (‘‘SCCP’’)

filed with the Securities and Exchange

Commission (‘‘Commission’’) the

proposed rule change as described in

Items I and II below, which items have

been prepared primarily by SCCP. 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 proposed rule change will permit

SCCP to act as a collection agent for the

National Association of Securities

Dealers (‘‘NASD’’) for Section 31 fees.

II. Self-Regulatory Organization’s

Statement of the Purpose of, and

Statutory Basis for, the Proposed Rule

Change

In its filing with the Commission,

SCCP included statements concerning

the purpose of and statutory basis for

the proposed rule change. The text of

these statements may be examined at

the places specified in Item IV below.

SCCP has prepared summaries, set forth

in sections (A), (B), and (C) below, of the

most significant aspects of such

statements.2

(A) Self-Regulatory Organization’s

Statements of the Purpose of, and

Statutory Basis for the Proposed Rule

Change

SCCP proposes to serve as a collection

agent for the NASD for Section 31 fees

as required in the National Securities

Markets Improvement Act of 1996.3

Section 31 fees will apply to all

domestic and foreign securities listed on

the NASDAQ Stock Market with the

exception of convertible debt. Upon its

implementation, the fee will be 1/300th

of one percent based upon the aggregate

dollar amount of sales transacted by or

through any member other than those