Federal Register / Vol. 72, No. 186 / Wednesday, September 26, 2007 / Notices 54697 

1The rule requires an applicant to maintain 

records in the United States (which, without the 

requirement, could be available only in Canada or 

another foreign jurisdiction), which facilitates 

routine inspections and any special investigations 

of the fund by Commission staff. The registrant, 

however, only maintains its records in the United 

States and in no other jurisdiction. Therefore, the 

registrant’s maintenance of records in the United 

States does not impose an additional burden 

beyond the fund’s compliance with the Act’s 

requirements. This recordkeeping requirement is 

reflected in the information collection burdens 

applicable to those requirements for all registered 

funds. 

2The $56/hour figure for a Compliance Clerk is 

from the SIA Report on Office Salaries in the 

Securities Industry 2006, modified to account for an 

1800-hour work-year and multiplied by 2.93 to 

account for bonuses, firm size, employee benefits 

and overhead. 

only if the Commission finds that ‘‘by 

reason of special circumstances or 

arrangements, it is both legally and 

practically feasible effectively to enforce 

the provisions of the (Act).’’ The 

information collection requirements are 

necessary to assure that the substantive 

provisions of the Act may be enforced 

as a matter of contract right in the 

United States or Canada by the fund’s 

shareholders or by the Commission. 

Certain information collection 

requirements in rule 7d–1 are associated 

with complying with the Act’s 

provisions. These requirements are 

reflected in the information collection 

requirements applicable to those 

provisions for all registered funds. 

The Commission believes that one 

fund is registered under rule 7d–1 and 

currently active. Apart from 

requirements under the Act applicable 

to all registered funds, rule 7d–1 

imposes ongoing burdens to maintain 

records in the United States, and to 

update, as necessary, the foreign fund’s 

list of affiliated persons. The 

Commission staff estimates that the 

active registrant makes one response 

each year under the rule update its list 

of affiliated persons.1 Commission staff 

estimates that the response to update 

the list of affiliated persons requires 2 

hours of compliance clerk time at a cost 

of $56 per hour, for a total annual 

burden of 2 hours at a cost of $112.2 The 

estimated number of 2 burden hours is 

a reduction of 23.25 hours from the 

current allocation. The reduction is a 

result of the registrant’s elimination of 

duplicative records in the United States. 

All of the registrant’s records are only 

maintained in the United States. 

If a fund were to file an application 

under the rule, the Commission 

estimates that the rule would impose 

initial information collection burdens 

(for filing an application, preparing the 

specified charter, bylaw, and contract 

provisions, designations of agents for 

service of process, and an initial list of 

affiliated persons, and establishing a 

means of keeping records in the United 

States) of approximately 90 hours for 

the fund and its associated persons. The 

Commission is not including these 

hours in its calculation of the annual 

burden because no foreign fund has 

applied under rule 7d–1 to register 

under the Act in the last three years. 

After registration, a foreign fund may 

file a supplemental application seeking 

special relief designed for the fund’s 

particular circumstances. Because rule 

7d–1 does not mandate these 

applications and the fund determines 

whether to submit an application, the 

Commission has not allocated any 

burden hours for the applications. 

The estimates of burden hours are 

made solely for the purposes of the 

Paperwork Reduction Act. The 

estimates are not derived from a 

comprehensive or even a representative 

survey or study of Commission rules 

and forms. 

If a Canadian or other foreign fund in 

the future applied to register under the 

Act under rule 7d–1, the fund initially 

might have capital and start-up costs 

(not including hourly burdens) of an 

estimated $17,280 to comply with the 

rule’s initial information collection 

requirements. These costs include legal 

and processing-related fees for 

preparing the required documentation 

(such as the application, charter, bylaw, 

and contract provisions), designations 

for service of process, and the list of 

affiliated persons. Other related costs 

would include fees for establishing 

arrangements with a custodian or other 

agent for maintaining records in the 

United States, copying and 

transportation costs for records, and the 

costs of purchasing or leasing computer 

equipment, software, or other record 

storage equipment for records 

maintained in electronic or 

photographic form. 

The Commission expects that a fund 

and its sponsors would incur these costs 

immediately, and that the annualized 

cost of the expenditures would be 

$17,280 in the first year. Some 

expenditures might involve capital 

improvements, such as computer 

equipment, having expected useful lives 

for which annualized figures beyond the 

first year would be meaningful. These 

annualized figures are not provided, 

however, because, in most cases, the 

expenses would be incurred 

immediately rather than on an annual 

basis. The Commission is not including 

these costs in its calculation of the 

annualized capital/start-up costs 

because no foreign fund has applied 

under rule 7d–1 to register under the 

Act pursuant to rule 7d–1 in the last 

three years. 

We request written comment on: (a) 

Whether the collections of information 

are necessary for the proper 

performance of the functions of the 

Commission, including whether the 

information has practical utility; (b) the 

accuracy of the Commission’s estimate 

of the burdens of the collection of 

information; (c) ways to enhance the 

quality, utility, and clarity of the 

information collected; and (d) ways to 

minimize the burden of the collection of 

information on respondents, including 

through the use of automated collection 

techniques or other forms of information 

technology. Consideration will be given 

to comments and suggestions submitted 

in writing within 60 days of this 

publication. 

Please direct your written comments 

to R. Corey Booth, Director/Chief 

Information Officer, Securities and 

Exchange Commission, C/O Shirley 

Martinson, 6432 General Green Way, 

Alexandria, VA, 22312; or send an email to: PRA_Mailbox@sec.gov. 

Dated: September 18, 2007. 

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. E7–18920 Filed 9–25–07; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[File No. 500–1] 

In the Matter of Biomaxx Systems, Inc.; 

Order of Suspension of Trading 

September 24, 2007. 

It appears to the Securities and 

Exchange Commission that the market 

for securities of Biomaxx Systems, Inc. 

(‘‘Biomaxx,’’ trading symbol BMXSF), 

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 Biomaxx shares; (2) the financial 

performance and business prospects of 

Biomaxx; 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. 

mstockstill on PROD1PC66 with NOTICES

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