Federal Register / Vol. 74, No. 72 / Thursday, April 16, 2009 / Notices 17705 

20 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3The current FINRA rulebook consists of (1) 

FINRA Rules; (2) NASD Rules; and (3) rules 

incorporated from NYSE (‘‘Incorporated NYSE 

Rules’’) (together, the NASD Rules and Incorporated 

NYSE Rules are referred to as the ‘‘Transitional 

Rulebook’’). While the NASD Rules generally apply 

to all FINRA members, the Incorporated NYSE 

Rules apply only to those members of FINRA that 

are also members of the NYSE (‘‘Dual Members’’). 

The FINRA Rules apply to all FINRA members, 

unless such rules have a more limited application 

by their terms. For more information about the 

rulebook consolidation process, see FINRA 

Information Notice, March 12, 2008 (Rulebook 

Consolidation Process). 

4Members are subject to additional requirements 

regarding customer accounts. See, e.g., Rule 17a3(a)(9) under the Act (requiring records indicating 

the name and address of the beneficial owner of 

each cash and margin customer account). 17 CFR 

240.17a–3(a)(9). 

90 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 the self-regulatory 

organization consents, the Commission 

will: 

(A) By order approve the 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, 

including whether the proposed rule 

change is consistent with the Act. 

Comments may be submitted by any of 

the following methods: 

Electronic Comments 

• Use the Commission’s Internet 

comment form (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an e-mail to rulecomments@sec.gov. Please include File 

Number SR–NYSE–2009–08 on the 

subject line. 

Paper Comments 

• Send paper comments 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–NYSE–2009–08. This file 

number should be included on the 

subject line if e-mail 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 inspection and copying 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 the filing will also be available 

for inspection and copying at the 

principal office of the self-regulatory 

organization. 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–NYSE– 

2009–08 and should be submitted on or 

before May 7, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.20

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–8732 Filed 4–15–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–59745; File No. SR–FINRA– 

2009–017] 

Self-Regulatory Organizations; 

Financial Industry Regulatory 

Authority, Inc.; Notice of Filing of 

Proposed Rule Change To Adopt 

Incorporated NYSE Rule 406 

(Designation of Accounts) as a FINRA 

Rule in the Consolidated FINRA 

Rulebook 

April 10, 2009. 

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 March 26, 

2009, Financial Industry Regulatory 

Authority, Inc. (‘‘FINRA’’) (f/k/a 

National Association of Securities 

Dealers, Inc. (‘‘NASD’’)) 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 

substantially prepared by FINRA. 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 

FINRA is proposing to adopt 

Incorporated NYSE Rule 406 

(Designation of Accounts) as a FINRA 

rule in the consolidated FINRA 

rulebook with minor changes. The 

proposed rule change would renumber 

Incorporated NYSE Rule 406 as FINRA 

Rule 3250 in the consolidated FINRA 

rulebook. 

The text of the proposed rule change 

is available on FINRA’s Web site at 

http://www.finra.org, at the principal 

office of FINRA and at the 

Commission’s Public Reference Room. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, 

FINRA 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. FINRA 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 

1. Purpose 

As part of the process of developing 

a new consolidated rulebook 

(‘‘Consolidated FINRA Rulebook’’),3

FINRA is proposing to adopt 

Incorporated NYSE Rule 406 into the 

Consolidated FINRA Rulebook with 

minor changes, discussed below. The 

proposed rule change would renumber 

Incorporated NYSE Rule 406 as FINRA 

Rule 3250. Incorporated NYSE Rule 406 

provides that no member organization 

shall carry an account on its books in 

the name of a person other than that of 

the customer, except that an account 

may be designated by a number or 

symbol, provided the member has on 

file a written statement signed by the 

customer attesting the ownership of 

such account. In effect, this rule 

establishes a general requirement that a 

member must hold each customer 

account in the customer’s name, except 

that a member may identify a customer’s 

account with a number or symbol, as 

long as the member maintains 

documentation identifying the 

customer.4

Currently, Incorporated NYSE Rule 

406 applies only to Dual Members (i.e., 

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17706 Federal Register / Vol. 74, No. 72 / Thursday, April 16, 2009 / Notices 

5See, e.g., Robert S. Bartek, Exchange Hearing 

Panel Decision 73–60 (August 28, 1973); Jeffrey 

Alan Schultz, Exchange Hearing Panel Decision 82– 

23 (March 18, 1982); Kery Shane Hutner, Exchange 

Hearing Panel Decision 02–27 (January 31, 2002). 

See also NYSE Information Memo 78–80, Members’ 

Accounts and Initiating Orders on the NYSE Floor 

(November 10, 1978) (addressing, among other 

things, NYSE Rule 406(1), now Rule 406). 

6 15 U.S.C. 78o–3(b)(6). 

7 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(7). 

2 17 CFR 240.19b–7. 

3 7 U.S.C. 7a–2(c). 

members of both FINRA and NYSE), 

and NYSE has enforced the rule to 

address, among other things, sales 

practice abuses such as co-mingling of 

funds, failure to disclose ownership 

interests in accounts and unauthorized 

trading.5 FINRA proposes to adopt 

Incorporated NYSE Rule 406 as FINRA 

Rule 3250 as it believes that this rule 

will continue to be an important 

enforcement tool and should be 

expanded to apply to the entire FINRA 

membership. FINRA further notes that 

the Rule may provide members’ 

customers with a level of anonymity 

within the member and with certain 

external relationships that they find 

useful, while still allowing customers’ 

identities to be clearly known to 

members and available to regulators. 

Consequently, FINRA proposes to adopt 

Incorporated NYSE Rule 406 as FINRA 

Rule 3250 with minor changes to 

replace references to ‘‘member 

organization’’ or ‘‘organization’’ with 

the term ‘‘member.’’ 

As noted above, FINRA will announce 

the implementation date of the 

proposed rule change in a Regulatory 

Notice to be published no later than 90 

days following Commission approval. 

2. Statutory Basis 

FINRA believes that the proposed rule 

change is consistent with the provisions 

of Section 15A(b)(6) of the Act,6 which 

requires, among other things, that 

FINRA rules must be designed to 

prevent fraudulent and manipulative 

acts and practices, to promote just and 

equitable principles of trade, and, in 

general, to protect investors and the 

public interest. FINRA believes the 

proposed rule change will provide 

FINRA with an important tool to further 

ensure that FINRA members 

appropriately designate each customer 

account, while also providing a 

reasonable means of permitting 

customers to maintain a certain level of 

anonymity, subject to appropriate 

documentation identifying the owner. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

FINRA does not believe that the 

proposed rule change will result in any 

burden on competition that is 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 

Written comments were neither 

solicited nor received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Within 35 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 

90 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 the self-regulatory 

organization 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, 

including whether the proposed rule 

change is consistent with the Act. 

Comments may be submitted by any of 

the following methods: 

Electronic Comments 

• Use the Commission’s Internet 

comment form (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an e-mail to rulecomments@sec.gov. Please include File 

Number SR–FINRA–2009–017 on the 

subject line. 

Paper Comments 

• Send paper comments 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–FINRA–2009–017. This file 

number should be included on the 

subject line if e-mail 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 inspection and copying 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 FINRA. 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–FINRA–2009–017 and 

should be submitted on or before 

May 7, 2009. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.7

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E9–8655 Filed 4–15–09; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–59744; File No. SR–OC– 

2009–01] 

Self-Regulatory Organizations; One 

Chicago, LLC; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change Eliminating the $3 Market 

Price Maintenance Standard 

April 9, 2009. 

Pursuant to Section 19(b)(7) of the 

Securities Exchange Act of 1934 

(‘‘Act’’) 1 and Rule 19b–7 under the Act 2

notice is hereby given that on April 3, 

2009, One Chicago, LLC (‘‘OneChicago’’ 

or ‘‘Exchange’’) filed with the Securities 

and Exchange Commission 

(‘‘Commission’’) the proposed rule 

change as described in Items I, II, and 

III below, which Items have been 

prepared by the self-regulatory 

organization. The Commission is 

publishing this notice to solicit 

comments on the proposed rule change 

from interested persons. OneChicago 

also has filed the proposed rule change 

with the Commodity Futures Trading 

Commission (‘‘CFTC’’) under Section 

5c(c) of the Commodity Exchange Act 3

on February 27, 2009. 

mstockstill on PROD1PC66 with NOTICES