Federal Register / Vol. 75, No. 196 / Tuesday, October 12, 2010 / Notices 62621 

35See supra note 26 for additional information 

regarding ISG. 

36 15 U.S.C. 78s(b)(2). 

37See Securities Exchange Act Release No. 61496, 

supra note 10. 

38See supra notes 6, 7, and 8. See also supra 

notes 9–12. 

39 15 U.S.C. 78s(b)(2). 

40 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

In addition, NYSE Arca Equities Rule 

8.201 sets forth certain requirements for 

ETP Holders acting as Market Makers in 

the Units. Pursuant to NYSE Arca 

Equities Rule 8.201(g), the Exchange is 

able to obtain information regarding 

trading in the Units and the underlying 

silver, silver futures contracts, options 

on silver futures, or any other silver 

derivative, through ETP Holders acting 

as registered Market Makers, in 

connection with such ETP Holders’ 

proprietary or customer trades through 

ETP Holders which they effect on any 

relevant market. In addition, the 

Exchange may obtain trading 

information via the Intermarket 

Surveillance Group (‘‘ISG’’) from other 

exchanges who are members of the 

ISG.35

Finally, the Commission notes that 

Commentary .04 to NYSE Arca Equities 

Rule 6.3 requires among other things 

that ETP Holders acting as a registered 

Market Maker in products listed under 

NYSE Arca Equities Rule 8.201 (and 

their affiliates) must establish, maintain 

and enforce written policies and 

procedures reasonably designed to 

prevent the misuse of any material 

nonpublic information with respect to 

such products, any physical asset or 

commodity underlying the product, 

related futures or options on futures, 

and any related derivative instruments. 

In support of this proposal, the 

Exchange has made representations 

including: 

(1) The Units will be subject to the 

initial and continued listing criteria 

under NYSE Arca Equities Rule 8.201. 

(2) The Exchange’s surveillance 

procedures are adequate to properly 

monitor Exchange trading of the Units 

in all trading sessions and to deter and 

detect violations of Exchange rules and 

applicable federal securities laws. 

Pursuant to NYSE Arca Equities Rule 

8.201(g), the Exchange is able to obtain 

information regarding trading in the 

Units and the underlying silver, silver 

futures contracts, options on silver 

futures, or any other silver derivative 

through ETP Holders acting as 

registered Market Makers, in connection 

with such ETP Holders’ proprietary or 

customer trades which they effect on 

any relevant market. In addition, the 

Exchange may obtain trading 

information via ISG from other 

exchanges who are members of the ISG 

and from the Investment Industry 

Regulatory Organization of Canada. 

(3) Prior to the commencement of 

trading, the Exchange will inform its 

ETP Holders in an Information Bulletin 

of the special characteristics and risks 

associated with trading the Units. 

Specifically, the Information Bulletin 

will discuss the following: (1) The 

procedures for purchases and 

redemptions of Units; (2) NYSE Arca 

Equities Rule 9.2(a), which imposes a 

duty of due diligence on its ETP Holders 

to learn the essential facts relating to 

every customer prior to trading the 

Units; (3) how information regarding the 

IIV is disseminated; (4) the requirement 

that ETP Holders deliver a prospectus to 

investors purchasing newly issued Units 

prior to or concurrently with the 

confirmation of a transaction; (5) the 

possibility that trading spreads and the 

resulting premium or discount on the 

Units may widen as a result of reduced 

liquidity of silver trading during the 

Core and Late Trading Sessions after the 

close of the major world silver markets; 

and (6) trading information. 

This approval order is based on the 

Exchange’s representations. 

The Commission finds good cause, 

pursuant to Section 19(b)(2) of the 

Act,36 for approving the proposed rule 

change prior to the 30th day after 

publication of notice in the Federal 

Register. The Exchange’s proposal to list 

and trade the Units does not present any 

novel or significant regulatory issues. 

Previously, the Commission approved a 

proposal by the Exchange to list and 

trade shares of a substantially similar 

trust that holds gold bullion pursuant to 

NYSE Arca Equities Rule 8.201.37

Additionally, the Commission has 

previously approved proposals to list 

and trade shares of trusts that hold 

silver bullion pursuant to NYSE Arca 

Equities Rule 8.201.38

VI. Conclusion 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,39 that the 

proposed rule change (SR–NYSEArca– 

2010–84) be, and it hereby is, approved 

on an accelerated basis. 

For the Commission, by the Division of 

Trading and Markets, pursuant to 

delegated authority.40

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–25496 Filed 10–8–10; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63036; File No. SR–Phlx– 

2010–131] 

Self-Regulatory Organizations; 

NASDAQ OMX PHLX, Inc.; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Update Rule 

1014 

October 4, 2010. 

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 27, 2010, NASDAQ OMX 

PHLX, Inc. (‘‘Phlx’’ or ‘‘Exchange’’) 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 the Exchange. 

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 

The Exchange proposes to revise Rule 

1014, Obligations and Restrictions 

Applicable to Specialists and Registered 

Options Traders, to delete provisions 

related to: (i) The obsolete terms 

AUTOM, Streaming Quote Option, 

electronic interface, AUTO–X, Book 

Sweep and Book Match; (ii) ‘‘trading on 

Phlx XL’’; (iii) the use of trading floor 

tickets; and (iii) [sic] subparagraphs 

(g)(iii) and (iv), the New Unit/New 

Option Enhanced Specialist 

Participation and New Product 

Enhanced Specialist Participation, 

respectively. The Exchange also 

proposes to make corollary changes to 

Floor Procedure Advice B–6, Priority of 

Options Orders for Equity Options, 

Index Options and U.S. Dollar-Settled 

Foreign Currency Options by Account 

Type, as explained further below. 

The text of the proposed rule change 

is available on the Exchange’s Web site 

at http://www.nasdaqtrader.com/ 

micro.aspx?id=PHLXfilings, at the 

principal office of the Exchange, at the 

Commission’s Public Reference Room, 

and on the Commission’s Web site at 

http://www.sec.gov. 


srobinson on DSKHWCL6B1PROD with NOTICES
62622 Federal Register / Vol. 75, No. 196 / Tuesday, October 12, 2010 / Notices 

3The Exchange intends to separately update the 

use of the terms ‘‘Phlx XL’’ and ‘‘Phlx XL II’’ in 

various other rules in a separate proposed rule 

change. 

4The Exchange’s minor rule plan consists of 

options floor procedure advices (‘‘OFPAs’’ or 

‘‘Advices’’) with preset fines, pursuant to Rule 19d– 

1(c) under the Act. 17 CFR 240.19d–1(c). Most 

OFPAs have corresponding options rules. 

5 15 U.S.C. 78f(b). 

6 15 U.S.C. 78f(b)(5). 

7 15 U.S.C. 78s(b)(3)(A). 

8 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6)(iii) requires the self-regulatory organization 

to give the Commission written notice of its intent 

to file the proposed rule change, along with a brief 

description and text of the proposed rule change, 

at least five business days prior to the date of filing 

of the proposed rule change, or such shorter time 

as designated by the Commission. Phlx has satisfied 

this requirement. 

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 

Exchange 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. The 

Exchange 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 

The purpose of the proposed rule 

change is to clarify various provisions in 

Rule 1014. Specifically, certain terms 

are obsolete, given the Exchange’s 

current use of the Phlx XL II System; 

these include: Streaming Quote Options, 

electronic interface, AUTO–X, Book 

Sweep and Book Match. Once the 

Exchange began enhancing its electronic 

trading systems, these provisions 

became outdated. For the same reason, 

references to ‘‘trading on Phlx XL’’ are 

both incorrect and unnecessary; all 

trading occurs through Phlx XL II.3 The 

same changes are proposed to Advice 

B–6 as well, which is part of the 

Exchange’s minor rule plan.4

The reference to trading floor tickets 

in Rule 1014(g)(i)(A)(1) and Advice B– 

6, Section B is being deleted, because 

Floor Brokers have long been required 

to record certain information into the 

Floor Broker Management System 

(‘‘FBMS’’), pursuant to Rule 1063. 

In addition, the Exchange proposes to 

delete subparagraphs (g)(iii), New Unit/ 

New Option Enhanced Specialist 

Participation, and (g)(iv), New Product 

Enhanced Specialist Participation, 

because these are no longer applied. All 

options are subject to the Specialist 

Enhanced Participation in Rule 

1014(g)(ii), which then applies to 

manual trades on the trading floor by 

virtue of Rule 1014(g)(v) and to 

automatically executed trades through 

Phlx XL II by virtue of Rule 

1014(g)(v)(ii). Accordingly, references to 

these now-deleted sub-paragraphs 

(g)(iii) and (g)(iv) are also being deleted 

in several places in Rule 1014. In 

addition, in Rule 1014(g)(ii), 

subparagraph (A) is proposed to be 

deleted, because it covers how it is 

determined what options are subject to 

the enhanced specialist participation, 

which is no longer relevant. The same 

changes are proposed to Advice B–6, 

Sections (C), (D) and (E). 

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 

of the Act 5 in general, and furthers the 

objectives of Section 6(b)(5) of the Act 6

in particular, in that it is designed to 

promote just and equitable principles of 

trade, to remove impediments to and 

perfect the mechanism of a free and 

open market and a national market 

system, and, in general to protect 

investors and the public interest, by 

updating an Exchange rule. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange 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 

No written comments were either 

solicited or received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Because the foregoing proposed rule 

change does not: (1) Significantly affect 

the protection of investors or the public 

interest; (2) impose any significant 

burden on competition; and (3) become 

operative for 30 days after the date of 

the filing, or such shorter time as the 

Commission may designate, if 

consistent with the protection of 

investors and the public interest, the 

proposed rule change has become 

effective pursuant to Section 19(b)(3)(A) 

of the Act 7 and Rule 19b–4(f)(6) 

thereunder.8

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission summarily may 

temporarily suspend such rule change if 

it 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. If the 

Commission takes such action, the 

Commission shall institute proceedings 

to determine whether the proposed rule 

should be approved or 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–Phlx–2010–131 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–Phlx–2010–131. 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 Web site viewing and 

printing 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 


srobinson on DSKHWCL6B1PROD with NOTICES
Federal Register / Vol. 75, No. 196 / Tuesday, October 12, 2010 / Notices 62623 

9 17 CFR 200.30–3(a)(12). 

copying at the principal office of the 

Exchange. 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 No. SR–Phlx–2010– 

131 and should be submitted on or 

before November 2, 2010. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.9

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–25495 Filed 10–8–10; 8:45 am] 

BILLING CODE 8011–01–P 

SOCIAL SECURITY ADMINISTRATION 

[Docket No. SSA 2010–0015] 

Privacy Act of 1974, as Amended; 

Computer Matching Program (SSA/ 

Internal Revenue Service (IRS))— 

Match Number 1016 

AGENCY: Social Security Administration 

(SSA). 

ACTION: Notice of a renewal of an 

existing computer matching program 

that is scheduled to expire on December 

31, 2010. 

SUMMARY: In accordance with the 

provisions of the Privacy Act, as 

amended, this notice announces a 

renewal of an existing computer 

matching program that we are currently 

conducting with IRS. 

DATES: IRS will file a report of the 

subject matching program with the 

Committee on Homeland Security and 

Governmental Affairs of the Senate; the 

Committee on Oversight and 

Government Reform of the House of 

Representatives, and the Office of 

Information and Regulatory Affairs, 

Office of Management and Budget 

(OMB). The matching program will be 

effective as indicated below. 

ADDRESSES: Interested parties may 

comment on this notice by either 

telefaxing to (410) 966-0869 or writing 

to the Executive Director, Office of 

Privacy and Disclosure, Office of the 

General Counsel, 617 Altmeyer 

Building, 6401 Security Boulevard, 

Baltimore, MD 21235–6401. All 

comments received will be available for 

public inspection at this address. 

FOR FURTHER INFORMATION CONTACT: The 

Executive Director, Office of Privacy 

and Disclosure, Office of the General 

Counsel as shown above. 

SUPPLEMENTARY INFORMATION: 

A. General 

The Computer Matching and Privacy 

Protection Act of 1988 (Pub. L. 100– 

503), amended the Privacy Act (5 U.S.C. 

552a) by describing the conditions 

under which computer matching 

involving the Federal Government could 

be performed and adding certain 

protections for persons applying for, 

and receiving, Federal benefits. Section 

7201 of the Omnibus Budget 

Reconciliation Act of 1990 (Pub. L. 101– 

508) further amended the Privacy Act 

regarding protections for such persons. 

The Privacy Act, as amended, 

regulates the use of computer matching 

by Federal agencies when records in a 

system of records are matched with 

other Federal, State, or local government 

records. It requires Federal agencies 

involved in computer matching 

programs to: 

(1) Negotiate written agreements with 

the other agency or agencies 

participating in the matching programs; 

(2) Obtain the approval of the 

matching agreement by the Data 

Integrity Boards (DIB) of the 

participating Federal agencies; 

(3) Publish notice of the computer 

matching program in the Federal 

Register; 

(4) Furnish detailed reports about 

matching programs to Congress and 

OMB; 

(5) Notify applicants and beneficiaries 

that their records are subject to 

matching; and 

(6) Verify match findings before 

reducing, suspending, terminating, or 

denying a person’s benefits or 

payments. 

B. SSA Computer Matches Subject to 

the Privacy Act 

We have taken action to ensure that 

all of our computer matching programs 

comply with the requirements of the 

Privacy Act, as amended. 

Jonathan R. Cantor, 

Executive Director, Office of Privacy and 

Disclosure, Office of the General Counsel. 

Notice of Computer Matching Program, 

SSA With the Internal Revenue Service 

(IRS) 

A. PARTICIPATING AGENCIES: 

SSA and IRS. 

B. PURPOSE OF THE MATCHING PROGRAM: 

The purpose of this matching program 

is to establish the terms under which 

IRS will disclose to us certain return 

information for use in verifying 

eligibility for, and/or the correct amount 

of, benefits provided under Title XVI of 

the Social Security Act (Act) to qualified 

aged, blind, and disabled persons, and 

Federally administered supplementary 

payments of the type described in 

section 1616(a) of such Act (including 

payments pursuant to an agreement 

entered into under section 212(a) of 

Pub. L. 93–66, 87 Stat. 152). 

C. AUTHORITY FOR CONDUCTING THE MATCHING

PROGRAM: 

Public Law 98–369, Deficit Reduction 

Act of 1984, requires agencies 

administering certain Federally-assisted 

benefit programs to use certain 

information to ensure proper 

distribution of benefit payments. 

Section 6103(l)(7) of the Internal 

Revenue Code (I.R.C.) (26 U.S.C. 

6103(l)(7)) authorizes IRS to disclose 

return information with respect to 

unearned income to Federal, State, and 

local agencies administering certain 

Federally-assisted benefit programs 

under the Act and the Food Stamp Act 

of 1977. 

Section 1631(e)(1)(B) of the Act (42 

U.S.C. 1383(e)(1)(B)) requires 

verification of Supplemental Security 

Income (SSI) eligibility and benefit 

amounts with independent or collateral 

sources. This section of the Act also 

provides that the ‘‘Commissioner of 

Social Security shall, as may be 

necessary, request and utilize 

information available pursuant to 

section 6103(l)(7) of the Internal 

Revenue Code of 1986’’ for purposes of 

Federally administered supplementary 

payments of the type described in 

section 1616(a) of the Act (including 

payments pursuant to an agreement 

entered into under section 212(a) of 

Pub. L. 93–66). 

D. CATEGORIES OF RECORDS AND PERSONS

COVERED BY THE MATCHING PROGRAM: 

We will provide IRS with identifying 

information with respect to applicants 

for and recipients of title XVI benefits 

available under programs specified in 

this Agreement from the Supplemental 

Security Income Record and Special 

Veterans Benefit (SSR), SSA/OASSIS 

60–0103, as published at 71 FR 1795 

(January 11, 2006). IRS will extract 

return information with respect to 

unearned income from the Information 

Return Master File (IRMF), Treas/IRS 

22.061, as published at 73 FR 42159 

(July 25, 2006), through the Disclosure 

of Information to Federal, State and 

Local Agencies (DIFSLA) program. 

E. INCLUSIVE DATES OF THE MATCHING PROGRAM: 

The matching program will become 

effective no sooner than 40 days after 

notice of the matching program is sent 

to Congress and OMB, or 30 days after 


srobinson on DSKHWCL6B1PROD with NOTICES