1116 Federal Register / Vol. 77, No. 5 / Monday, January 9, 2012 / Notices 

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

4 15 U.S.C. 78q–1. In approving this proposed 

rule change, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

and capital formation. 15 U.S.C. 78c(f). 

5 15 U.S.C. 78q–1(b)(3)(F). 

6 15 U.S.C. 78s(b)(2). 

7 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

those that may be withheld from the 

public in accordance with the 

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

available for Web site viewing and 

printing in the Commission’s Public 

Reference Room, 100 F Street NE., 

Washington, DC 20549 on official 

business days between the hours of 10 

a.m. and 3 p.m. Copies of such filing 

also will be available for inspection and 

copying at the principal office of CME. 

All comments received will be posted 

without change; the Commission does 

not edit personal identifying 

information from submissions. You 

should submit only information that 

you wish to make available publicly. All 

submissions should refer to File 

Number SR–CME–2011–19 and should 

be submitted on or before January 30, 

2012. 

IV. Commission’s Findings and Order 

Granting Accelerated Approval of 

Proposed Rule Change 

In its filing, CME requested that the 

Commission approve this request on an 

accelerated basis for good cause shown. 

CME cites the reason for granting this 

request on an accelerated basis as CME’s 

operations as a DCO, subject to 

regulation by the CFTC under the CEA. 

These rule changes are being made 

according to regulations promulgated by 

the CFTC, which were previously 

subject to notice and comment. Not 

approving this request on an accelerated 

basis will have a significant impact on 

CME’s operations as a DCO. 

Section 19(b) of the Act 3 directs the 

Commission to approve a proposed rule 

change of a self-regulatory organization 

if it finds that such proposed rule 

change is consistent with the 

requirements of the Act and the rules 

and regulations thereunder applicable to 

such organization. The Commission 

finds that the proposed rule changes are 

consistent with the requirements of the 

Act, in particular the requirements of 

Section 17A of the Act,4 and the rules 

and regulations thereunder applicable to 

CME. Specifically, the Commission 

finds that the proposed rule change is 

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

the Act which requires, among other 

things, that the rules of a clearing 

agency be designed to assure the 

safeguarding of securities and funds 

which are in the custody and control of 

the clearing agency because it should 

allow CME to enhance its risk 

management efforts, both in motoring 

the financial status of clearing members 

and porting customer accounts among 

clearing members.5

The Commission finds good cause, 

pursuant to Section 19(b)(2) of the Act,6

for approving the proposed rule change 

prior to the 30th day after the date of 

publication of notice in the Federal 

Register because the proposed rule 

change institutes the regulations of 

another regulatory agency, and those 

regulations were subject to notice and 

comment. 

V. Conclusion 

It is therefore ordered, pursuant to 

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

proposed rule change (SR–CME–2011– 

19) is approved on an accelerated basis. 

For the Commission by the Division of 

Trading and Markets, pursuant to delegated 

authority.7

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2012–98 Filed 1–6–12; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–66081; File No. SR–OCC– 

2011–18] 

Self-Regulatory Organizations; The 

Options Clearing Corporation; Notice 

of Filing and Order Granting 

Accelerated Approval of Proposed 

Rule Change Relating to DCO 60 Day 

Regulations 

January 3, 2012. 

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 December 

20, 2011, Options Clearing Corporation 

(‘‘OCC’’) filed with the Securities and 

Exchange Commission (‘‘Commission’’) 

the proposed rule change described in 

Items I and II below, which items have 

been prepared primarily by OCC. The 

Commission is publishing this Notice 

and Order to solicit comments on the 

proposed rule change from interested 

persons and to approve the proposed 

rule change on an accelerated basis. 

I. Self-Regulatory Organization’s 

Statement of Terms of Substance of the 

Proposed Rule Change 

The Options Clearing Corporation 

(‘‘OCC’’ or the ‘‘Corporation’’) proposes 

to amend its By-Laws and Rules as set 

forth below in order to ensure OCC’s 

technical compliance with final 

regulations promulgated by the 

Commodity Futures Trading 

Commission (‘‘CFTC’’) applicable to 

derivatives clearing organizations 

(‘‘DCOs’’). Material proposed to be 

added to OCC’s By-Laws and Rules as 

currently in effect is italicized and 

material proposed to be deleted is 

enclosed in bold brackets. 

THE OPTIONS CLEARING 

CORPORATION 

BY-LAWS 

* * * * * 

ARTICLE VI 

CLEARANCE OF EXCHANGE 

TRANSACTIONS 

* * * * * 

General Clearance Rule 

SECTION 1. [no change] 

...Interpretations and Policies 

.01–.02 [no change] 

.03 (a) Except as otherwise provided 

in the By-Laws or Rules (including 

Chapter XI thereof), the Corporation will 

promptly transfer all or any portion of 

a carrying Clearing Member’s segregated 

futures customer account maintained in 

accordance with Section 3(f) of this 

Article VI or segregated futures 

professional account maintained in 

accordance with Section 3(j) of this 

Article VI, and will, at the same time, 

transfer related funds (if any) upon the 

request of the carrying Clearing Member 

and the confirmation of the receiving 

Clearing Member that it will accept such 

transfer, provided that the request for 

transfer and confirmation of transfer are 

received by the Corporation in 

accordance with the procedures and 

within such timeframes as required by 

the Corporation. 

(b) Any transfer effected pursuant to 

this Interpretation and Policy .03 shall 

be subject to such policies and 

procedures as the Corporation 

determines are reasonably necessary for 

the protection of the Corporation, other 

Clearing Members, customers and the 

general public and the Corporation may 

refuse any transfer request that does not 

comply with such policies and 

procedures. 

(c) Any carrying Clearing Member 

requesting a transfer pursuant to this 

Interpretation and Policy .03 shall be 

deemed to have represented to the 

Corporation that: (1) such transfer is 

being made upon the instruction of the 

customer of the carrying Clearing 

Member to make such transfer, (2) the 

customer instructing the carrying 

Clearing Member to transfer its positions 

is not currently in default to the carrying 


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Federal Register / Vol. 77, No. 5 / Monday, January 9, 2012 / Notices 1117 

Clearing Member, and (3) any remaining 

positions of the customer will have 

appropriate margin at the carrying 

Clearing Member. 

(d) Any receiving Clearing Member 

consenting to a transfer of positions in 

accordance with Interpretation and 

Policy .03 shall be deemed to have 

represented to the Corporation that the 

transferred positions will have 

appropriate margin at the receiving 

Clearing Member. 

(e) No transfer of positions between 

Clearing Members pursuant to this 

Interpretation and Policy .03 shall 

require the close-out or re-booking of the 

positions. 

(f) The Corporation may refuse to 

effect a transfer pursuant to this 

Interpretation and Policy .03 if doing so 

would result in any account of the 

carrying or receiving Clearing Member 

having margin assets less than the 

Corporation deems necessary. 

(g) Any transfer effected pursuant to 

this Interpretation and Policy .03 shall 

be deemed to have been completed at 

such time as (1) position reports 

provided to the receiving Clearing 

Member indicate that the transferred 

position(s) is/are in the appropriate 

account of the receiving Clearing 

Member and (2) the transfer of any 

related funds has been finalized. 

RULES 

* * * * * 

CHAPTER VI 

MARGINS 

* * * * * 

Form of Margin Assets 

RULE 604. (a)–(c) [no change] 

(d) Funds and securities held by or 

subject to the instructions of the 

Corporation as margin shall, subject to 

the rights of the Corporation in respect 

thereof, remain the property of the 

respective Clearing Members for whose 

accounts such funds and securities are 

held. Funds and securities deposited in 

respect of a segregated futures account 

shall be held in accordance with the 

provisions of Section 4d of the 

Commodity Exchange Act and 

regulations thereunder. All other funds 

held by the Corporation as margin (other 

than funds invested by the Corporation 

pursuant to subsection (a) of this Rule 

and funds credited by the Corporation 

to a Liquidating Settlement Account 

pursuant to Chapter XI) shall be 

deposited to the credit of the 

Corporation in an account or accounts, 

designated as Clearing Member øtrust¿ 

margin accounts, with such banks, trust 

companies or other depositories as the 

Board of Directors may select. Such 

funds shall not be commingled with 

funds of the Corporation or used by the 

Corporation as working capital. To the 

extent that funds held by the 

Corporation as margin are invested by 

the Corporation in securities pursuant to 

subsection (a) of this Rule, the 

Corporation shall maintain records 

clearly identifying such securities as 

held in trust for Clearing Members. The 

Corporation shall have the right to 

commingle funds and securities held as 

margin for the account of any Clearing 

Member with funds and securities held 

as margin for other Clearing Members. 

(e)–(f) [no change] 

* * * * * 

CHAPTER XI 

SUSPENSION OF A CLEARING 

MEMBER 

* * * * * 

Notice to Corporation 

Rule 1101. A Clearing Member that is 

unable to meet its obligations, øor¿ is 

insolvent, or becomes the subject of a 

bankruptcy petition, receivership 

proceeding, or the equivalent shall 

immediately notify the Corporation by 

telephone of such event øthat it is 

unable to meet its obligations or is 

insolvent¿. Such notice shall be 

confirmed in writing promptly by said 

Clearing Member. 

Suspension 

Rule 1102. (a) The Board of Directors 

or the Chairman of the Corporation may 

summarily suspend any Clearing 

Member which: (i) has been and is 

expelled or suspended from any selfregulatory organization (as defined in 

Section 3(a) of the Securities Exchange 

Act of 1934, as amended, but not 

including the Municipal Securities 

Rulemaking Board, or as defined in the 

rules of the Commodity Futures Trading 

Commission); (ii) øis in default of¿ fails 

to make any delivery of øfunds or¿ 

cash, securities or other property to the 

Corporation in a timely manner as 

required by the By-Laws or Rules; (iii) 

øis in default of¿ fails to make any 

delivery of funds or securities to another 

Clearing Member required pursuant to 

the By-Laws or Rules; (iv) øis in default 

of¿ fails to make any delivery of funds 

or securities to the correspondent 

clearing corporation in a timely manner, 

has appointed an Appointed Clearing 

Member to act on its behalf and such 

Appointed Clearing Member øis in 

default of¿ fails to make any delivery of 

funds or securities to the correspondent 

clearing corporation in a timely manner 

or effects settlement at the 

correspondent clearing corporation 

through an identifiable subaccount in an 

account of CDS at the correspondent 

clearing corporation and CDS øis in 

default of¿ fails to make any delivery of 

funds or securities to the correspondent 

clearing corporation in a timely manner; 

(v) is in such financial or operating 

difficulty that the Board of Directors or 

the Chairman of the Corporation 

determines and so notifies the 

appropriate regulatory agency for such 

Clearing Member (or, in the case of a 

Non-U.S. Clearing Member, the 

appropriate Non-U.S. Regulatory 

Agency) and the Securities and 

Exchange Commission or the 

Commodity Futures Trading 

Commission that suspension is 

necessary for the protection of the 

Corporation, other Clearing Members, or 

the general public; or (vi) in the case of 

a Non-U.S. Clearing Member, has been 

and is expelled or suspended by its 

Non-U.S. Regulatory Agency or any 

securities exchange or clearing 

organization of which it is a member. In 

addition, the Corporation may 

summarily suspend any Clearing 

Member in accordance with Rule 707. In 

the event that any Clearing Member is 

suspended, the Corporation shall cease 

to act for it except as hereinafter 

specified. 

(b) [no change] 

... Interpretations and Policies 

.01 The occurrence of any of the events 

described in Rule 1102 shall constitute 

an event of ‘‘default’’ with respect to a 

Clearing Member. 

Creation of Liquidating Settlement 

Account 

Rule 1104 

(a)–(d) [no change] 

(e) For the avoidance of doubt, any 

margin assets in the firm lien account of 

a Clearing Member that has been 

suspended pursuant to Rule 1102 may 

be applied to cover losses with respect 

to such Clearing Member’s segregated 

futures account(s) if the assets in such 

segregated futures accounts are 

insufficient to cover a shortfall in such 

accounts. 

(f) For the avoidance of doubt, 

nothing in this Chapter XI or in any 

other provision of the By-Laws or Rules 

of the Corporation shall prevent the 

Corporation from transferring positions, 

cash, securities or other property carried 

in a segregated futures account of a 

defaulting Clearing Member to a nondefaulting Clearing Member at the 

direction of or with the consent of the 

transferring Clearing Member’s 


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1118 Federal Register / Vol. 77, No. 5 / Monday, January 9, 2012 / Notices 

representative or pursuant to an order of 

a court of competent jurisdiction. 

* * * * * 

II. Self-Regulatory Organization’s 

Statement of Purpose of, and Statutory 

Basis for, the Proposed Rule Change 

In its filing with the Commission, 

OCC included statements concerning 

the purpose 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 III below. OCC 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 Purpose of, and Statutory 

Basis for, the Proposed Rule Change 

The purpose of the proposed changes 

to OCC’s By-Laws and Rules is to ensure 

technical compliance with final 

regulations of the Commodity Futures 

Trading Commission (‘‘CFTC’’) 

applicable to derivatives clearing 

organizations (‘‘DCOs’’) that become 

effective on January 9, 2012. The CFTC’s 

final regulations implement many of the 

core principles applicable to DCOs 

under the Commodity Exchange Act. 

The Final DCO Regulations 

On October 18, 2011, the CFTC held 

an open meeting at which it issued final 

regulations implementing many of the 

new statutory core principles for DCOs 

enacted under the Dodd-Frank Act. 

While certain of these final regulations 

go into effect on May 7, 2012 and 

November 8, 2012, the majority of the 

final regulations go into effect on 

January 9, 2012. While OCC is already 

in compliance with most of the final 

regulations that go into effect on January 

9, 2012, OCC believes it appropriate to 

clarify certain of its rules to ensure 

technical compliance with the CFTC’s 

rules as described herein. 

Safekeeping of Funds 

CFTC Rule 39.15(c) requires each 

DCO to ‘‘hold funds and assets 

belonging to clearing members and their 

customers in a manner which 

minimizes the risk of loss or of delay in 

the access by the derivatives clearing 

organization to such funds and assets.’’ 

OCC Rule 604(d) provides that funds 

held by OCC as margin, other than 

funds and securities deposited in a 

segregated futures account, funds 

invested by OCC under Rule 604(a) and 

funds credited by OCC to a liquidating 

settlement account ‘‘shall be deposited 

to the credit of the Corporation in an 

account or accounts, designated as 

Clearing Member trust accounts, with 

such banks, trust companies or other 

depositories as the Board of Directors 

may select.’’ The designation of such 

accounts as ‘‘trust accounts’’ was 

originally intended to clarify that funds 

and securities held as margin remain the 

property of the depositing clearing 

member, subject to OCC’s security 

interest in such assets, and that those 

assets, unlike clearing fund deposits, 

cannot be applied to defaults of other 

clearing members. However, as the term 

‘‘trust’’ could potentially cause 

uncertainty and delay in obtaining the 

release of these assets to OCC, OCC is 

amending Rule 604(d) to replace the 

word ‘‘trust’’ with the word ‘‘margin.’’ 

Transfer of Customer Positions 

CFTC Rule 39.15(d) requires a DCO to 

have ‘‘rules providing that the 

derivatives clearing organization will 

promptly transfer all or a portion of a 

customer’s portfolio of positions and 

related funds at the same time from the 

carrying clearing member of the 

derivatives clearing organization to 

another clearing member of the 

derivatives clearing organization, 

without requiring the close-out and rebooking of the positions prior to the 

requested transfer, subject to the 

following conditions: (1) The customer 

has instructed the carrying clearing 

member to make the transfer; (2) The 

customer is not currently in default to 

the carrying clearing member; (3) The 

transferred positions will have 

appropriate margin at the receiving 

clearing member; (4) Any remaining 

positions will have appropriate margin 

at the carrying clearing member; and (5) 

The receiving clearing member has 

consented to the transfer.’’ Although 

OCC Interpretation and Policy .01(a) 

currently provides that ‘‘it is the policy 

of the Corporation to permit a Clearing 

Member to submit adjustments to its 

positions with the Corporation to (1) 

effect a transfer of accounts between 

Clearing Members,’’ no provision of 

OCC’s bylaws or rules specifically 

addresses the technical requirements of 

CFTC Rule 39.15(d) with respect to 

futures customer positions. In order to 

avoid any doubt about OCC’s 

compliance with this rule, OCC is 

proposing to add an additional 

Interpretation and Policy .03 to Section 

1 of Article VI of its By-Laws to address 

the technical requirements of the 

referenced CFTC Rule. 

CFTC Rule 39.16(c)(2) requires each 

DCO to ‘‘adopt rules that set forth its 

default procedures, including * * * (i) 

[t]he derivatives clearing organization’s 

definition of a default [and] (ii) [t]he 

actions that the derivatives clearing 

organization may take upon a default, 

which shall include the prompt transfer, 

liquidation, or hedging of the customer 

or house positions of the defaulting 

clearing member, as applicable.’’ 

Although OCC Rule 1102(a) provides a 

list of the grounds for suspension of a 

clearing member, those grounds are not 

expressly referred to as events of 

‘‘default,’’ and OCC’s By-Laws and 

Rules do not define the term ‘‘default.’’ 

OCC is therefore proposing to amend 

Rule 1102 to remove the word ‘‘default’’ 

from such rule and replace it with 

substantive provisions indicating the 

specific grounds for suspension of a 

clearing member, as well as to adopt a 

new Interpretation and Policy .01 that 

would expressly define the events listed 

in Rule 1102 as events of ‘‘default’’ with 

respect to a Clearing Member. In 

addition, OCC is proposing to add a new 

Rule 1104(f) to expressly provide that 

customer positions may be transferred 

in the event of a clearing member 

default. 

Use of House Funds To Cover Customer 

Defaults 

CFTC Rule 39.16(c)(2)(vi) requires 

each DCO to adopt rules including a 

‘‘provision that the excess house funds 

and assets of a defaulting clearing 

member shall be applied to cover losses 

with respect to a customer default, if the 

relevant customer funds and assets are 

insufficient to cover the shortfall.’’ 

While it is true that assets of a clearing 

member in a clearing member’s firm lien 

account may be so applied under OCC’s 

existing By-Laws and Rules, there is no 

provision in OCC’s Rules relating to the 

liquidation of a suspended clearing 

member that specifically mirrors the 

language of CFTC Rule 39.16(c)(2)(vi). 

OCC is therefore adding a new 

paragraph (e) to Rule 1104 to more 

closely track the requirement of the 

CFTC rule. 

Notice of Clearing Member Insolvency 

CFTC Rule 39.16(d) requires each 

DCO to ‘‘adopt rules that require a 

clearing member to provide prompt 

notice to the derivatives clearing 

organization if it becomes the subject of 

a bankruptcy petition, receivership 

proceeding, or the equivalent.’’ 

Although OCC Rule 1101 requires a 

clearing member that is ‘‘unable to meet 

its obligations or is insolvent [to] 

immediately notify the Corporation,’’ it 

is possible for a clearing member to 

become the subject of a bankruptcy 

petition without being unable to meet 

its obligations or actually being 

insolvent. OCC is therefore proposing to 

amend Rule 1101 to require a clearing 

member to notify OCC if the clearing 


tkelley on DSK3SPTVN1PROD with NOTICES
Federal Register / Vol. 77, No. 5 / Monday, January 9, 2012 / Notices 1119 

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

4 15 U.S.C. 78q–1. In approving this proposed 

rule change, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

and capital formation. 15 U.S.C. 78c(f). 

5 15 U.S.C. 78q–1(b)(3)(F). 

6 15 U.S.C. 78s(b)(2). 

7 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

member is the subject of a bankruptcy, 

receivership or equivalent proceeding. 

* * * 

The proposed changes are consistent 

with Section 17A of the Securities 

Exchange Act of 1934, as amended, 

because they are designed to permit 

OCC to perform clearing services for 

certain products that are subject to the 

jurisdiction of the CFTC without 

adversely affecting OCC’s obligations 

with respect to the prompt and accurate 

clearance and settlement of securities 

transactions or the protection of 

securities investors and the public 

interest. In addition, as a CFTCregistered DCO, OCC is required to 

comply with the CFTC’s core principles 

applicable to DCOs. The proposed rule 

change is not inconsistent with any 

rules of OCC. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

OCC does not believe that the 

proposed rule change would impose any 

burden on competition. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

Written comments were not and are 

not intended to be solicited with respect 

to the proposed rule change and none 

have been received. 

III. Solicitation of Comments 

Interested persons are invited to 

submit written data, views and 

arguments concerning the foregoing, 

including whether the proposed rule 

change is consistent with the Act. 

Comments may be submitted by any of 

the following methods: 

• Electronic comments may be 

submitted by using the Commission’s 

Internet comment form (http:// 

www.sec.gov/rules/sro.shtml), or send 

an email to rule-comments@sec.gov. 

Please include File No. SR–OCC–2011– 

18 on the subject line. 

• Paper comments should be sent in 

triplicate to Elizabeth M. Murphy, 

Secretary, Securities and Exchange 

Commission, 100 F Street NE., 

Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–OCC–2011–18. This file 

number should be included on the 

subject line if email is used. To help the 

Commission process and review your 

comments more efficiently, please use 

only one method. The Commission will 

post all comments on the Commission’s 

Internet Web site (http://www.sec.gov/ 

rules/sro.shtml). 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 Web site viewing and 

printing in the Commission’s Public 

Reference Room, 100 F Street NE., 

Washington, DC 20549 on official 

business days between the hours of 10 

a.m. and 3 p.m. Copies of such filing 

also will be available for inspection and 

copying at the principal office of OCC. 

All comments received will be posted 

without change; the Commission does 

not edit personal identifying 

information from submissions. You 

should submit only information that 

you wish to make available publicly. All 

submissions should refer to File 

Number SR–OCC–2011–18 and should 

be submitted on or before January 30, 

2012. 

IV. Commission’s Findings and Order 

Granting Accelerated Approval of 

Proposed Rule Change 

In its filing, OCC requested that the 

Commission approve this request on an 

accelerated basis for good cause shown. 

OCC cites the reason for granting this 

request on an accelerated basis as OCC’s 

operations as a DCO, subject to 

regulation by the CFTC under the CEA 

and that these rule changes are being 

made according to regulations 

promulgated by the CFTC, which were 

previously subject to notice and 

comment. Not approving this request on 

an accelerated basis will have a 

significant impact on OCC’s operations 

as a DCO. 

Section 19(b) of the Act 3 directs the 

Commission to approve a proposed rule 

change of a self-regulatory organization 

if it finds that such proposed rule 

change is consistent with the 

requirements of the Act and the rules 

and regulations thereunder applicable to 

such organization. The Commission 

finds that the proposed rule change is 

consistent with the requirements of the 

Act, in particular the requirements of 

Section 17A of the Act,4 and the rules 

and regulations thereunder applicable to 

OCC. Specifically, the Commission 

finds that the proposed rule change is 

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

the Act which requires, among other 

things, that the rules of a clearing 

agency be designed to promote the 

prompt and accurate clearance and 

settlement of derivative agreements, 

contracts, and transactions because it 

should allow OCC to comply with new 

CFTC regulatory requirements, thereby 

promoting the prompt and accurate 

clearance and settlement of derivative 

agreements, contracts, and 

transactions.5

The Commission finds good cause, 

pursuant to Section 19(b)(2) of the Act,6

for approving the proposed rule change 

prior to the 30th day after the date of 

publication of notice in the Federal 

Register because as a registered DCO 

OCC is required to comply with the new 

CFTC regulations by the time they 

become effective on January 9, 2012. 

V. Conclusion 

It is therefore ordered, pursuant to 

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

proposed rule change (SR–OCC–2011– 

18) is approved on an accelerated basis. 

For the Commission by the Division of 

Trading and Markets, pursuant to delegated 

authority.7

Kevin M. O’Neill, 

Deputy Secretary. 

[FR Doc. 2012–96 Filed 1–6–12; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–66080; File No. SR–FINRA– 

2011–073] 

Self-Regulatory Organizations; 

Financial Industry Regulatory 

Authority, Inc.; Notice of Filing of 

Proposed Rule Change Relating to 

Establishing a Governmental 

Accounting Standards Board 

Accounting Support Fee 

January 3, 2012. 

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 December 

19, 2011, Financial Industry Regulatory 

Authority, Inc. (‘‘FINRA’’) filed with the 

Securities and Exchange Commission 

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

rule change as described in Items I, II, 

and III below, which Items have been 

prepared by FINRA. The Commission is 

publishing this notice to solicit 

comments on the proposed rule change 

from interested persons. 


tkelley on DSK3SPTVN1PROD with NOTICES