54698 Federal Register / Vol. 72, No. 186 / Wednesday, September 26, 2007 / Notices 

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

2 17 CFR 240.19b–4. 

3The Commission has modified parts of these 

statements. 

Therefore, it is ordered, pursuant to 

Section 12(k) of the Securities Exchange 

Act of 1934, that trading in the abovelisted company is suspended for the 

period of 9:30 a.m. EDT, September 24, 

2007 through 11:59 p.m. EDT, on 

October 5, 2007. 

By the Commission. 

Nancy M. Morris, 

Secretary. 

[FR Doc. 07–4759 Filed 9–24–07; 1:11 pm] 

BILLING CODE 8010–01–M 

SECURITIES AND EXCHANGE 

COMMISSION 

[File No. 500–1] 

In the Matter of Evolution Global 

Capital Partners, Inc.; Order of 

Suspension of Trading 

September 24, 2007. 

It appears to the Securities and 

Exchange Commission that the market 

for the securities of Evolution Global 

Capital Partners, Inc. (‘‘Evolution,’’

trading symbol EGCA), may be reacting 

to manipulative forces or deceptive 

practices and that there is insufficient 

current public information about the 

issuer upon which an informed 

investment decision may be made, 

particularly concerning (1) The identity 

of and prior securities fraud judgments 

against persons who appear to be 

involved in the offer and sale, or in 

connection with the purchase or sale, of 

Evolution shares; (2) the financial 

performance and business prospects of 

Evolution; and (3) offerings to foreign 

investors and any restrictions on the 

resale of shares. 

The Commission is of the opinion that 

the public interest and the protection of 

investors require a suspension of trading 

in the securities of the above-listed 

company. 

Therefore, it is ordered, pursuant to 

Section 12(k) of the Securities Exchange 

Act of 1934, that trading in the abovelisted company is suspended for the 

period of 9:30 a.m. EDT, September 24, 

2007 through 11:59 p.m. EDT, on 

October 5, 2007. 

By the Commission. 

Nancy M. Morris, 

Secretary. 

[FR Doc. 07–4760 Filed 9–24–07; 1:11 pm] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–56480; File No. SR–FINRA–

2007–011] 

Self-Regulatory Organizations; 

Financial Industry Regulatory 

Authority, Inc.; Notice of Filing of 

Proposed Rule Change To Amend 

NASD Rule 2711 and NYSE Rule 472 

Regarding a Member’s Disclosure and 

Supervisory Review Obligations When 

Distributing Third-Party Research 

September 20, 2007. 

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 

September 12, 2007, 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 

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 amend NASD 

Rule 2711 and NYSE Rule 472 with 

respect to a member’s disclosure and 

supervisory review obligations when it 

distributes or makes available thirdparty research reports. 

The text of the proposed rule change 

is available at FINRA, on FINRA’s Web 

site at http://www.finra.org, and in 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.3

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

NASD Rule 2711(h)(13) and NYSE 

Rule 472(k)(4) set forth a member’s 

disclosure and supervisory review 

obligations when the member 

distributes—i.e., ‘‘pushes out’’—or 

makes available a research report 

produced by a third party. A member 

that distributes a third-party research 

report must accompany the report with 

certain current applicable disclosures 

(‘‘third-party disclosures’’), as they 

pertain to the member: (1) If the member 

owns 1% or more of any class of equity 

securities of the subject company; (2) if 

the member or any affiliate has managed 

or co-managed a public offering of 

securities of the subject company or 

received compensation for investment 

banking services from the subject 

company in the past 12 months, or 

expects to receive or intends to seek 

compensation for such services in the 

next three months; (3) if the member 

makes a market in the subject 

company’s securities; and (4) any other 

actual, material conflict of interest of the 

research analyst or member of which the 

research analyst knows or has reason to 

know at the time the research report is 

distributed or made available. The thirdparty disclosure requirements do not 

apply if a member makes available to its 

customers non-affiliate research either 

upon request or through a membermaintained Web site. 

NASD Rule 2711(h)(13) further 

requires that a registered principal (or 

supervisory analyst approved pursuant 

to Rule 344 of the New York Stock 

Exchange) must review and approve by 

signature or initial any third-party 

research distributed by a member. 

Consistent with NASD Rule 

2210(d)(1)(B), the member must review 

such research to ensure that the 

applicable disclosures discussed above 

are complete and accurate (‘‘disclosure 

review’’) and the content of the research 

reports contains no untrue statement of 

material fact or is otherwise not false or 

misleading (‘‘content review’’). 

Similarly, NYSE Rule 472(k)(4) requires 

a supervisory analyst approved 

pursuant to New York Stock Exchange 

Rule 344 to approve by signature or 

initial any third-party research 

distributed by a member organization. 

Additionally, NYSE Rule 472(k)(4) 

requires a supervisory analyst or 

qualified person, designated pursuant to 

NYSE Rule 342(b)(1), to conduct the 

same disclosure and content review as 

NASD Rule 2711(h)(13). 

mstockstill on PROD1PC66 with NOTICES