Federal Register / Vol. 87, No. 7 / Tuesday, January 11, 2022 / Notices 1465 

1Based upon an average of 4 responses per year 

and an average of 20 hours spent preparing each 

response. 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–442, OMB Control No. 

3235–0498] 

Submission for OMB Review; 

Comment Request; Extension: Rule 

17a–12/Form X–17A–5 Part II 

Upon Written Request, Copies Available 

From: Securities and Exchange 

Commission, Office of FOIA Services, 

100 F Street NE, Washington, DC 

20549–2736 

Notice is hereby given that pursuant 

to the Paperwork Reduction Act of 1995 

(‘‘PRA’’) (44 U.S.C. 3501 et seq.), the 

Securities and Exchange Commission 

(‘‘Commission’’) has submitted to the 

Office of Management and Budget 

(‘‘OMB’’) a request for approval of 

extension of the previously approved 

collection of information provided for in 

Rule 17a–12 (17 CFR 240.17a–12) and 

Part II of Form X–17A–5 (17 CFR 

249.617) under the Securities Exchange 

Act of 1934 (15 U.S.C. 78a et seq.). 

Rule 17a–12 is the reporting rule 

tailored specifically for over-the-counter 

(‘‘OTC’’) derivatives dealers registered 

with the Commission, and Part II of 

Form X–17A–5, the Financial and 

Operational Combined Uniform Single 

(‘‘FOCUS’’) Report, is the basic 

document for reporting the financial 

and operational condition of OTC 

derivatives dealers. Rule 17a–12 

requires registered OTC derivatives 

dealers to file Part II of the FOCUS 

Report quarterly. Rule 17a–12 also 

requires that OTC derivatives dealers 

file audited financial statements 

(‘‘audited report’’) annually. 

The reports required under Rule 17a– 

12 provide the Commission with 

information used to monitor the 

operations of OTC derivatives dealers 

and to enforce their compliance with 

the Commission’s rules. These reports 

also enable the Commission to review 

the business activities of OTC 

derivatives dealers and to anticipate, 

where possible, how these dealers may 

be affected by significant economic 

events. 

There are currently five registered 

OTC derivatives dealers. The staff 

expects that three of those firms will 

register as Security-Based Swap Dealers 

within the next three years and 

therefore will no longer be subject to 

Rule 17a–12. Thus, only two OTC 

derivatives dealers will be subject to the 

requirements of Rule 17a–12. The staff 

estimates that the average amount of 

time necessary to prepare and file the 

quarterly reports required by the rule is 

eighty hours per OTC derivatives 

dealer 1 per year and that the average 

amount of time to prepare and file the 

annual audited report is 100 hours per 

OTC derivatives dealer per year, for a 

total reporting burden of 180 hours per 

OTC derivatives dealer annually. Thus 

the staff estimates that the total 

industry-wide time burden to comply 

with the requirements of Rule 17a–12 is 

360 hours per year (180 × 2). The 

Commission estimates that the average 

annual cost burden per OTC derivatives 

dealer for an independent public 

accountant to examine the financial 

statements is approximately $46,300 per 

respondent. Thus, the total industrywide annual cost burden is 

approximately $92,600 ($46,300 × 2). 

The retention period for the 

recordkeeping requirement under Rule 

17a–12 is not less than two years 

following the date the notice is 

submitted. The recordkeeping 

requirement under this rule is 

mandatory to assist the Commission in 

monitoring OTC derivatives dealers. 

This rule does not involve the collection 

of confidential information. 

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 John R. Pezzullo, 100 F Street NE, 

Washington, DC 20549, or by sending an 

email to: PRA_Mailbox@sec.gov. 

Dated: January 5, 2022. 

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–00252 Filed 1–10–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–264, OMB Control No. 

3235–0341] 

Submission for OMB Review; 

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 17Ad–4(b) & (c) 

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’’) has submitted to the 

Office of Management and Budget 

(‘‘OMB’’) a request for approval of 

extension of the previously approved 

collection of information provided for in 

Rule 17Ad–4(b) & (c) under the 

Securities Exchange Act of 1934 (15 

U.S.C. 78a et seq.). 

Rule 17Ad–4(b) & (c) (17 CFR 

240.17Ad–4) is used to document when 

transfer agents are exempt, or no longer 

exempt, from the minimum 

performance standards and certain 

recordkeeping provisions of the 

Commission’s transfer agent rules. 

Pursuant to Rule 17Ad–4(b), if the 

Commission or the Office of the 

Comptroller of the Currency (‘‘OCC’’) is 

the appropriate regulatory agency 

(‘‘ARA’’) for an exempt transfer agent, 

that transfer agent is required to prepare 

and maintain in its possession a notice 

certifying that it is exempt from certain 

performance standards and 

recordkeeping and record retention 

provisions of the Commission’s transfer 

agent rules. This notice need not be 

filed with the Commission or OCC. If 

the Board of Governors of the Federal 

Reserve System (‘‘Fed’’) or the Federal 

Deposit Insurance Corporation (‘‘FDIC’’) 

is the transfer agent’s ARA, that transfer 

agent must prepare a notice and file it 

with the Fed or FDIC. 

Rule 17Ad–4(c) sets forth the 

conditions under which a registered 

transfer agent loses its exempt status. 

Once the conditions for exemption no 

longer exist, the transfer agent, to keep 

the appropriate ARA apprised of its 

current status, must prepare, and file if 

the ARA for the transfer agent is the Fed 

or the FDIC, a notice of loss of exempt 

status under paragraph (c). The transfer 

agent then cannot claim exempt status 

under Rule 17Ad–4(b) again until it 

remains subject to the minimum 

performance standards for non-exempt 


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