[Federal Register Volume 63, Number 3 (Tuesday, January 6, 1998)]
[Proposed Rules]
[Pages 451-453]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-157]


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SECURITIES AND EXCHANGE COMMISSION

17 CFR Chapter II

[Release Nos. 33-7491, 34-39496, 35-26806, 39-2360, IC-22978, IA-1690; 
File No. S7-34-97]


List of Rules To Be Reviewed Pursuant to the Regulatory 
Flexibility Act

AGENCY: Securities and Exchange Commission.

ACTION: Publication of list of rules scheduled for review.

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SUMMARY: The Securities and Exchange Commission is today publishing a 
list of rules to be reviewed pursuant to Section 610 of the Regulatory 
Flexibility Act. The list is published to provide the public with 
notice that these rules are scheduled for review by the agency and to 
invite public comment on them.

DATES: Public comments are due by January 31, 1998.

ADDRESSES: Persons wishing to submit written comments should file three 
copies with Jonathan G. Katz, Secretary, Securities and Exchange 
Commission, 450 Fifth Street, N.W., Room 6184, Stop 6-9, Washington, 
D.C. 20549. All submissions should refer to File No. S7-34-97, and will 
be available for public inspection and copying at the Commission's 
Public Reference Room, Room 1026, at the same address.

FOR FURTHER INFORMATION CONTACT:
Anne H. Sullivan, Office of the General Counsel, Securities and 
Exchange Commission 202-942-0954.

SUPPLEMENTARY INFORMATION: The Regulatory Flexibility Act (``RFA'') 
codified at 5 U.S.C. 600-611 requires agencies to review rules which 
have a significant economic impact upon a substantial number of small 
entities every ten years. The purpose of the review is ``to determine 
whether such rules should be continued without change, or should be 
amended or rescinded * * * to minimize any significant economic impact 
of the rules upon a substantial number of such small entities'' (5 
U.S.C. 610(a)).
    The RFA sets forth specific considerations that must be addressed 
in the review of each rule:
    <bullet> the continued need for the rule;
    <bullet> the nature of complaints or comments received concerning 
the rule from the public;
    <bullet> the complexity of the rule;
    <bullet> the extent to which the rule overlaps, duplicates or 
conflicts with other Federal rules, and, to the extent feasible, with 
State and local governmental rules; and
    <bullet> the length of time since the rule has been evaluated or 
the degree to which technology, economic conditions, or other factors 
have changed in the area affected by the rule (5 U.S.C. 610(c)).
    The Securities and Exchange Commission, as a matter of policy, 
reviews all rules which it publishes notice and comment for compliance 
with the RFA. Pursuant to the RFA, the rules and forms listed below are 
scheduled for review by staff of the Commission during the next twelve 
months. The rules are grouped according to which Division or Office of 
the Commission will review each rule:

Rule To Be Reviewed by the Office of the Chief Accountant

    Title: Article 10 of Regulation S-X (Interim Financial Statements).
    Citation: 17 CFR 210.10.
    Authority: 15 U.S.C. 77f, 77g, 77s(a), 77aa(25), 77a(26), 78l, 78m, 
78o(d), 78w(a), 79e(b), 79n, 79t(a), 80a-8, and 80a-29.

Rule To Be Reviewed by the Division of Corporation Finance

    Title: Rule 701 (Exemption for offers and sales of securities 
pursuant to certain compensatory benefit plans and contracts relating 
to compensation).
    Citation: 17 CFR 230.701.
    Authority: 15 U.S.C. 77a et seq.

Rule To Be Reviewed by the Division of Market Regulation

    Title: Rule 10b-21(T) (Short sales in connection with a public 
offering).
    Citation: 17 CFR 240.10b-21(T).
    Authority: 15 U.S.C. 77c, 77d, 77g, 77j, 77s, 77eee, 77ggg, 77nnn, 
77sss,

[[Page 452]]

77tt, 78c, 78d, 78i, 78l, 78m, 78n, 78o, 78p, 78s, 78w, 78x, 78l(d), 
79q, 80e-20, 80e-23, 80e-29, 80b-3, 80b-4 and 80b-11.

Rules and Forms to be Reviewed by the Division of Investment 
Management

    Title: Rule 482 (Advertising by an investment company as satisfying 
requirements of section 10).
    Citation: 17 CFR 230.482.
    Authority: 15 U.S.C. 77j(b) and 77s(a).

    Title: Rule 601 (Definitions of terms used in Secs. 230.601 to 
230.610a).
    Citation: 17 CFR 230.601.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 602 (Securities exempted).
    Citation: 17 CFR 230.602.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 603 (Amount of securities exempted).
    Citation: 17 CFR 230.603.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 604 (Filing of notification on Form 1-E).
    Citation: 17 CFR 230.604.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 605 (Filing and use of the offering circular).
    Citation: 17 CFR 230.605.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 606 (Offering not in excess of $100,000).
    Citation: 17 CFR 230.606.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 607 (Sales material to be filed).
    Citation: 17 CFR 230.607.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 608 (Prohibition of certain statements).
    Citation: 17 CFR 230.608.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 609 (Reports of sales hereunder).
    Citation: 17 CFR 230.609.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 610 (Suspension of exemption).
    Citation: 17 CFR 230.610.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 610a (Schedule A: Contents of offering circular for 
small business investment companies; Schedule B: Contents of offering 
circular for business development companies).
    Citation: 17 CFR 230.610a.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Form 1-E (Notification under Regulation E).
    Citation: 17 CFR 239.200.
    Authority: 15 U.S.C. 77c(b) and 77c(c) and 15 U.S.C. 80a-37.

    Title: Form 2-E (Report of sales pursuant to rule 609 of Regulation 
E).
    Citation: 17 CFR 239.201.
    Authority: 15 U.S.C. 77c(c) and 77s(a).

    Title: Rule 34b-1 (Sales literature deemed to be misleading).
    Citation:  17 CFR 270.34b-1.
    Authority: 15 U.S.C. 80a-24(b).

    Title: Rule 0-5 (Procedure with respect to applications and other 
matters) Formerly designated rule N-5; renamed rule 0-5 on August 29, 
1973.
    Citation: 17 CFR 270.0-5.
    Authority: 15 U.S.C. 80a-6(c) and 80a-37(a).

    Title: Rule 2a41-1 (Valuation of standby commitments by registered 
investment companies).
    Citation: 17 CFR 270.2a41-1.
    Authority: 15 U.S.C. 80a-6(c), 80a-22(c), and 80a-37(a).
    Title: Form N-23C-1 (Statement by registered closed-end investment 
company with respect to purchases of its own securities pursuant to 
Rule 23c-1 during the last calendar month).
    Citation: 17 CFR 274.201.
    Authority: 15 U.S.C. 80a-23(c)(3) and 80a-37(a).

    Title: Form N-18F-1 (Notification of election pursuant to Rule 18f-
1 under the Investment Company Act).
    Citation: 17 CFR 274.51.
    Authority: 15 U.S.C. 80a-6(c) and 80a-37(a).

    Title: Form N-17D-1 (Report filed by small business investment 
company (SBIC) registered under the Investment Company Act of 1940 and 
an affiliated bank, with respect to investments by the SBIC and the 
bank, submitted pursuant to paragraph (d)(3) of Sec. 270.17d-1 of this 
chapter).
    Citation: 17 CFR 274.200.
    Authority: 15 U.S.C. 80a-17(d) and 80a-37(a).

    Title: Form N-27D-1 (Accounting of segregated trust account).
    Citation: 17 CFR 274.127d-1.
    Authority: 15 U.S.C. 80a-27(d), 80a-27(f), 80a-38(a) and 15 U.S.C. 
6(c).

    Title: U-3A-2 (Annual reports pursuant to Rule 2 for exempt holding 
companies which are intrastate or predominantly operating companies).
    Citation: 17 CFR 259.402.
    Authority: 15 U.S.C. 79e, 79f, 79g, 79j, 79l, 79m, 79n and 79t.

    Title: U-5-S (Annual reports filed under section 5(c) of the Act).
    Citation: 17 CFR 259.5s.
    Authority: 15 U.S.C. 79e, 79f, 79g, 79j, 79l, 79m, 79n and 79t.

    Title: U-5-A (Notification or registration filed under section 5(a) 
of the Act).
    Citation: 17 CFR 259.5a.
    Authority: 15 U.S.C. 79e, 79f, 79g, 79j, 79l, 79m, 79n and 79t.

    Title: U-5-B (Registration statement filed under section 5(b) of 
the Act).
    Citation: 17 CFR 259.5b.
    Authority: 15 U.S.C. 79e, 79f, 79g, 79j, 79l, 79m, 79n and 79t.

    Title: U-1 (Application or declaration under the Public Utility 
Holding Company Act of 1935).
    Citation: 17 CFR 259.101.
    Authority: 15 U.S.C. 79f and 79g.

    Title: Rule 1 (Registration).
    Citation: 17 CFR 250.1.
    Authority: 15 U.S.C. 79c, 79f(b), 79i(c)(3) and 79t.

    Title: Rule 2 (Exemption of holding companies which are intrastate 
or predominantly operating companies).
    Citation: 17 CFR 250.2.
    Authority: 15 U.S.C. 79i.

    Title: Rule 3 (Exemption of certain banks).
    Citation: 17 CFR 250.3.
    Authority: 15 U.S.C. 79i.

    Title: Rule 4 (Exemption of certain brokers, dealers and 
underwriters).
    Citation: 17 CFR 250.4.
    Authority: 15 U.S.C. 79i.

    Title: Rule 5 (Exemption of certain foreign holding companies).
    Citation: 17 CFR 250.5
    Authority: 15 U.S.C. 79c.

    Title: Rule 6 (Termination of exemptions).
    Citation: 17 CFR 250.6.
    Authority: 15 U.S.C. 79c.

    Title: Rule 8 (Exemption of subsidiaries subject to jurisdiction of 
Interstate Commerce Commission).
    Citation: 17 CFR 250.8.
    Authority: 15 U.S.C. 79i.

    Title: Rule 10 (Effect of certain exemptions).
    Citation: 17 CFR 250.10.
    Authority: 15 U.S.C. 79b, 79d, 79e and 79c.

    Title: Rule 11 (Certain acquisitions by affiliates exempted from 
section 9(a)(2)).
    Citation: 17 CFR 250.11.
    Authority: 15 U.S.C. 79d, 79e, 79i and 77b.

    Title: Rule 12 (Exemption of certain public utility companies from 
the definition of subsidiary companies of holding companies).
    Citation: 17 CFR 250.12.
    Authority: 15 U.S.C. 79i.

    Title: Rule 23 (Procedure applicable to certain applications and 
declarations).
    Citation: 17 CFR 250.23.
    Authority: 15 U.S.C. 79f, 79i, 79j, 79g and 79l.

    Title: Rule 24 (Terms and conditions applicable to declaration and 
orders granting applications).
    Citation: 17 CFR 250.24.
    Authority: 15 U.S.C. 79f and 79i.

    Title: Rule 25 (Answers).
    Citation: 17 CFR 250.25.

[[Page 453]]

    Authority: 15 U.S.C. 79t.

    Title: Rule 26 (Financial statement and recordkeeping requirements 
for registered holding companies and subsidiaries).
    Citation: 17 CFR 250.26.
    Authority: 15 U.S.C. 79e, 79f, 79j, 79l, 79m, 79n, 79q and 79t.

    Title: Rule 27 (Classification accounts prescribed for utility 
companies not already subject thereto).
    Citation: 17 CFR 250.27.
    Authority: 15 U.S.C. 79e, 79f, 79j, 79l, 79m, 79n, 79q and 79t.

    Title: Rule 28 (Inconsistent financial statements).
    Citation: 17 CFR 250.28.
    Authority: 15 U.S.C. 79n.

    Title: Rule 47 (Exemption of public utility subsidiaries as to 
certain securities issued to the Rural Electrification Administration).
    Citation: 17 CFR 250.47.
    Authority: 15 U.S.C. 79m.

    Title: Rule 48 (Certain exemptions in connection with appliance 
sales and loans to officers or employees).
    Citation: 17 CFR 250.48.
    Authority: 15 U.S.C. 79i, 79f, 79e(b), 79i(c) and 79m.

    Title: Rule 49 (Certain exemptions granted to non-utility 
subsidiaries).
    Citation: 17 CFR 250.49.
    Authority: 15 U.S.C. 79f, 79b and 79i.

    Title: Rule 51 (Acquisitions pursuant to preliminary agreements and 
invitation for tenders).
    Citation: 17 CFR 250.51.
    Authority: 15 U.S.C. 79i.

    Title: Rule 60 (Meaning of word ``authorization'').
    Citation: 17 CFR 250.60.
    Authority: 15 U.S.C. 79k and 791.

    Title: Rule 61 (Solicitations other than in connection with a 
reorganization or transaction which is the subject of an application or 
declaration).
    Citation: 17 CFR 250.61.
    Authority: 15 U.S.C. 78n.

    Title: Rule 62 (Solicitations in connection with reorganization of 
transaction which is the subject of an application or declaration).
    Citation: 17 CFR 250.62.
    Authority: 15 U.S.C. 79b.

    Title: Rule 70 (Exemptions from section 17(c) of the Public Utility 
Holding Company Act).
    Citation: 17 CFR 250.70.
    Authority: 15 U.S.C. 79q(c), 79t(a), 79f(c), 79g, 79d and 79t.

    Title: Rule 0-2 (Consent to service of process to be furnished by 
non-resident investment advisers and by non-resident investment general 
partners or managing agents of investment advisers).
    Citation: 17 CFR 275.0-2.
    Authority: 15 U.S.C. 80b-11.

    Title: Form 4-R (Irrevocable appointment of agent for service of 
process, pleadings and other papers by individual non-resident 
investment adviser).
    Citation: 17 CFR 279.4.
    Authority: 15 U.S.C. 80b-11.

    Title: Form 5-R (Irrevocable appointment of agent for service of 
process, pleadings and other papers by corporation non-resident 
investment adviser).
    Citation: 17 CFR 279.5.
    Authority: 15 U.S.C. 80b-11.

    Title: Form 6-R (Irrevocable appointment of agent for service of 
process, pleadings and other papers by partnership non-resident 
investment adviser).
    Citation: 17 CFR 279.6.
    Authority: 15 U.S.C. 80b-11.

    Title: Form 7-R (Irrevocable appointment of agent for service of 
process, pleadings and other papers by non-resident general partner of 
an investment adviser).
    Citation 17 CFR 279.7.
    Authority: 15 U.S.C. 80b-11.

    The Commission invites public comment on both the list and the 
rules to be reviewed.

    Dated: December 29, 1997.

    By the Commission.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 98-157 Filed 1-5-98; 8:45 am]
BILLING CODE 8010-01-M