Document ID: SEC-2006-0965-0001
Agency: sec
Document Type: Notice
Title: Self-regulatory organizations; proposed rule changes: Depository Trust Co. et al.
Posted Date: 2006-07-28T04:00Z

[Federal Register: July 28, 2006 (Volume 71, Number 145)]
[Notices]               
[Page 42890-42891]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr28jy06-116]                         

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-54173; File Nos. SR-DTC-2006-10, SR-FICC-2006-09, and 
SR-NSCC-2006-08]

 
Self-Regulatory Organizations; The Depository Trust Company, 
Fixed Income Clearing Corporation, and National Securities Clearing 
Corporation; Notice of Filing and Immediate Effectiveness of Proposed 
Rule Changes Whereby the President of Each Clearing Agency Shall Also 
Serve as Its Chief Executive Officer

July 19, 2006.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on June 5, 2006, The 
Depository Trust Company (``DTC'') and the National Securities Clearing 
Corporation (``NSCC'') and that on June 6, 2006, the Fixed Income 
Clearing Corporation (``FICC'') filed with the Securities and Exchange 
Commission (``Commission'') the proposed rule changes described in 
Items I, II, and III below, which items have been prepared primarily by 
DTC, FICC, and NSCC. The Commission is publishing this notice to 
solicit comments on the proposed rule changes from interested parties.
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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

    The purpose of the proposed rule changes is to provide that (1) 
DTC's President shall serve as its Chief Executive Officer (``CEO'') 
and (2) FICC's President shall serve as its CEO and is to make 
conforming changes to NSCC's By-Laws concerning NSCC's President 
serving as its CEO.\2\ The proposed rule changes also make conforming 
changes throughout so that the By-Laws of DTC, FICC, and NSCC are 
uniform.
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    \2\ NSCC's By-Laws currently provide that the President shall 
serve as NSCC's CEO. NSCC's proposed rule change makes conforming 
changes so that the language of NSCC's By-Laws is consistent with 
the language of the By-Laws of DTC and FICC.
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II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, DTC, FICC, and NSCC included 
statements concerning the purpose of and basis for the proposed rule 
changes and discussed any comments they received on the proposed rule 
changes. The text of these statements may be examined at the places 
specified in Item IV below. DTC, FICC, and NSCC have prepared 
summaries, set forth in sections (A), (B), and (C) below, of the most 
significant aspects of these statements.\3\
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    \3\ The Commission has modified the text of the summaries 
prepared by DTC, FICC, and NSCC.
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A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    The purpose of the proposed rule changes is (1) to amend DTC's By-
Laws so that DTC's President shall serve as its CEO \4\ and (2) to 
amend FICC's By-Laws so that FICC's President shall serve as its CEO 
\5\ and is to make conforming changes to NSCC's By-Laws.\6\ The 
proposed rule changes also make conforming changes throughout so that 
the By-Laws of DTC, FICC, and NSCC are uniform.
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    \4\ DTC By-Laws Article III, Section 3.3.
    \5\ FICC By-Laws Article III, Section 3.3.
    \6\ NSCC By-Laws Article III, Section 3.3.
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    DTC, FICC, and NSCC believe that the proposed rule changes are 
consistent with the requirements of Section 17A(b)(3)(A) of the Act \7\ 
and the rules and regulations thereunder applicable to DTC, FICC, and 
NSCC because they should better enable DTC, FICC, and NSCC to 
facilitate the prompt and accurate clearance and settlement of 
securities transactions.
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    \7\ 15 U.S.C. 78q-1.
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B. Self-Regulatory Organization's Statement on Burden on Competition

    DTC, FICC, and NSCC do not believe that the proposed rule change 
will have any impact on or impose any burden on competition.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    No written comments relating to the proposed rule change have been 
solicited or received. DTC, FICC, and NSCC will notify the Commission 
of any written comments received by DTC, FICC, and NSCC.

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

    The foregoing rule change has become effective upon filing pursuant 
to Section 19(b)(3)(A)(iii) of the Act \8\ and Rule 19b-4(f)(3) \9\ 
thereunder because the proposed rule changes are concerned solely with 
the administration of DTC, FICC, and NSCC. At any time within sixty 
days of the filing of the proposed rule changes, the Commission may 
summarily abrogate such rule changes 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.
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    \8\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \9\ 17 CFR 240.19b-4(f)(3).
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IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the proposed rule 
changes are 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 Numbers SR-DTC-2006-10, SR-FICC-2006-09, and SR-NSCC-2006-08 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 Numbers SR-DTC-2006-10, SR-FICC-

[[Page 42891]]

2006-09, and SR-NSCC-2006-08. These file numbers 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 changes that are filed with the Commission, and all 
written communications relating to the proposed rule changes 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 Section, 100 F Street, NE., Washington, DC 20549. Copies of 
such filings also will be available for inspection and copying at the 
principal offices of DTC, FICC, and NSCC and on DTC's Web site at 
https://login.dtcc.com/dtcorg/, and on FICC's Web site at http://www.ficc.com/gov/gov.docs.jsp?NS-query
, and on NSCC's Web site at 

http://www.nscc.com/legal/. 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-DTC-2006-10, SR-
FICC-2006-09, and SR-NSCC-2006-08 and should be submitted on or before 
August 18, 2006.

    For the Commission by the Division of Market Regulation, 
pursuant to delegated authority.\10\
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    \10\ 17 CFR 200.30-3(a)(12).
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Jill M. Peterson,
Assistant Secretary.
 [FR Doc. E6-12070 Filed 7-27-06; 8:45 am]

BILLING CODE 8010-01-P