Document ID: SEC-2007-1441-0001
Agency: sec
Document Type: Notice
Title: Self-regulatory organizations; proposed rule changes: American Stock Exchange LLC
Posted Date: 2007-10-16T04:00Z

[Federal Register: October 16, 2007 (Volume 72, Number 199)]
[Notices]               
[Page 58693-58694]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr16oc07-120]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-56635; File No. SR-Amex-2007-56]

 
Self-Regulatory Organizations; American Stock Exchange LLC; 
Notice of Filing of Proposed Rule Change Relating to Resolving 
Uncompared Transactions

October 10, 2007.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act'') \1\ notice is hereby given that on June 4, 2007, the American 
Stock Exchange LLC (``Amex'') filed with the Securities and Exchange 
Commission (``Commission'') and on September 18, 2007, amended the 
proposed rule change as described in Items I, II, and III below, which 
Items have been prepared primarily by Amex. The Commission is 
publishing this notice to solicit comments on the proposed rule change 
from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    Amex proposes to amend Rule 724 (``Agents to Resolve DKs'') and the 
corresponding Commentary to require each member to designate a 
representative away from the Amex's trading floor that is authorized to 
resolve uncompared transactions (``DKs'') on the members' behalf.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, Amex 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. Amex 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 the 
Statutory Basis for, the Proposed Rule Change

    Currently, Amex Rule 724 requires each member that executes 
transactions on Amex's trading floor (``Floor'') to designate another 
member on the Floor to act for it in its absence to resolve questions 
and to receive or sign DK notices relating to transactions it executes. 
Amex wishes to amend this requirement in order to accommodate members 
with limited resources and members that can handle their own DKs. Amex 
believes this proposal will benefit associate members that access Amex 
electronically and do not have the requisite personnel on the Floor. 
Amex states that it is not appropriate to require such firms to rely on 
an individual affiliated with another firm for this purpose.
    Specifically, this proposal would make it optional for a Floor 
member to designate another Floor member to act on its behalf regarding 
DK notices but would require each member to designate a member firm, 
allied member, registered representative, or any other person required 
to be registered as a broker-dealer under the Act that is physically 
located away from the Floor to act in this DK resolution capacity by 
means of telephone, e-mail, or fax submission.
    Amex states that it believes that the proposed rule change is 
consistent with Section 6 of the Act \2\ in general and furthers the 
objectives of Section 6(b)(5) \3\ in particular because the rule change 
is designed to prevent fraudulent and manipulative acts and practices, 
promote just and equitable principles of trade, foster cooperation and 
coordination with persons engaged in facilitating transactions in 
securities, and remove impediments to and perfect the mechanism of a 
free and open market and a national market system.
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    \2\ 15 U.S.C. 78f.
    \3\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    Amex believes that the proposed rule change does not impose 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

    Amex has not solicited or received written comments with respect to 
the proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Within thirty-five 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 ninety 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 rule-comments@sec.gov. Please include 

File Number SR-Amex-2007-56 on the subject line.

Paper Comments

     Send paper comments in triplicate to Nancy M. Morris, 
Secretary, Securities and Exchange Commission, 100 F Street, NE., 
Washington, DC 20549-1090.

All submissions should refer to File Number SR-Amex-2007-56. 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

[[Page 58694]]

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 Amex's principal office and on Amex's Web site (http://www.amex.com
). 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-
Amex-2007-56 and should be submitted on or before November 6, 2007.

    For the Commission by the Division of Market Regulation pursuant 
to delegated authority.\4\
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    \4\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E7-20363 Filed 10-15-07; 8:45 am]

BILLING CODE 8011-01-P