[Federal Register Volume 62, Number 47 (Tuesday, March 11, 1997)]
[Notices]
[Pages 11236-11237]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-5982]


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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-38366; File No. SR-MSRB-97-1]


Self-Regulatory Organizations; Notice of Filing and Immediate 
Effectiveness of Proposed Rule Change by the Municipal Securities 
Rulemaking Board Relating to Delivery of Official Statements to the 
Board

March 5, 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 February 20, 1997, the Municipal Securities Rulemaking Board 
(``Board'' or ``MSRB'') filed with the Securities and Exchange 
Commission (``Commission'' or ``SEC'') the proposed rule change (File 
No. SR-MSRB-97-1). The proposed rule change is described in Items, I, 
II, and III below, which Items have been prepared by the Board. The 
Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1) (1988).
    \2\ 17 CFR 240.19b-4 (1991).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Board is filing a proposed rule change to rule G-36 and Form G-
36(OS), relating to delivery of official statements to the Board 
(hereafter referred to as the ``proposed rule change''), which updates 
the citation to SEC Rule 15c2-12 in rule G-36 to correspond to the 
recently revised subsection of that Rule and which makes clear that 
limited placements only are exempt from rule G-36.

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 Board 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 
texts of these statements may be examined at the places specified in 
Item IV below. The Board 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

    Board rule G-36 requires that managing underwriters deliver to the 
Board copies of final official statements for most primary offerings of 
municipal securities, if an official statement was prepared. Rule G-36 
also requires Form G-36(OS) to be sent with the official statement. The 
Board enters the official statement into the Municipal Securities 
Information Library<Register> (``MSIL<Register>'') System.\3\ Rule G-36 
applies to all primary offerings with official statements, except for 
limited placements that are exempt under SEC Rule 15c2-12(d)(1)(i).
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    \3\ The MUNICIPAL SECURITIES INFORMATION LIBRARY and MSIL are 
registered trademarks of the Board.
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    Rule G-36 and Form G-36(OS) contain cross-references to SEC Rule 
15c2-12. The proposed rule change to rule G-36(c)(iii) and Form G-
36(OS) updates the citation to Rule 15c2-12 to correspond to the 
recently revised subsection of Rule 15c2-12 and makes clear that 
limited placements only are exempt from rule G-36.
    The Board believes the proposed rule change is consistent with 
Section 15B(b)(2)(C) of the Act, which provides that the Board's rules 
shall:

be designed to prevent fraudulent and manipulative acts and 
practices, to promote just and equitable principles of trade, to 
foster cooperation and coordination with persons engaged in 
regulating, clearing, settling, processing information with respect 
to, and facilitating transactions in municipal securities, to remove 
impediments to and perfect the mechanism of a free and open market 
in municipal securities, and, in general, to protect investors and 
the public interest.

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Board does not believe that the proposed rule change will 
impose any burden on competition not necessary or appropriate in 
furtherance of the purposes of the Act.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received from Members, Participants, or Others

    The Board has neither solicited nor received comments on the 
proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing 
for Commission Action

    Because the foregoing proposed rule change: (1) does not 
significantly affect the protection of investors or the public 
interest; (2) does not impose any significant burden on competition; 
(3) does not become operative for thirty days from February 20, 1997, 
the date on which it was filed, and the MSRB provided the Commission 
with written notice of its intent to file the proposed rule change at 
least five business days prior to the filing date, it has become 
effective pursuant to Section 19(b)(3)(A) of the Act \4\ and Rule 19b-
4(e)(6) \5\ thereunder. In particular, the Commission believes the 
proposal would qualify as a ``non-controversial filing'' in that the 
proposed standards do not significantly affect the protection of 
investors or the public interest and do not impose any significant 
burden on competition. At any time within sixty days of the filing of 
the proposed rule change, the Commission may summarily abrogate such 
rule change it if 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.
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    \4\ 15 U.S.C. Sec. 78s(b)(3)(A).
    \5\ 17 CFR 240.19b-4(e)(6).
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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. Copies of the filing will also be 
available for inspection and copying at the Board's principal offices. 
All submissions should refer to File No. SR-MSRB-97-1 and should be 
submitted by April 1, 1997.

    For the Commission by the Division of Market Regulation, 
pursuant to delegated authority.\6\
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    \6\ 17 CFR 200.30-3(a)(12).

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[[Page 11237]]

Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 97-5982 Filed 3-10-97; 8:45 am]
BILLING CODE 8010-01-M