Document ID: SEC-2006-0702-0001
Agency: sec
Document Type: Notice
Title: Agency information collection activities; proposals, submissions, and approvals
Posted Date: 2006-06-01T04:00Z

[Federal Register: June 1, 2006 (Volume 71, Number 105)]
[Notices]               
[Page 31227]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr01jn06-107]                         

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SECURITIES AND EXCHANGE COMMISSION

 
Submission for OMB Review; Comment Request

Upon Written Request, Copies Available From: Securities and Exchange 
Commission, Office of Filings and Information Services, Washington, DC 
20549.

Extension: Rules 17Ad-6 and 17Ad-7; SEC File No. 270-151; OMB 
Control No. 3235-0291.

    Notice is hereby given that, pursuant to the Paperwork Reduction 
Act of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange 
Commission (``Commission'') has submitted to the Office of Management 
and Budget a request for extension of the previously approved 
collection of information discussed below.

Rules 17Ad-6 and 17Ad-7: Recordkeeping Requirements for Transfer Agents

    Rule 17Ad-6 (17 CFR 240.17Ad-6) under the Securities Exchange Act 
of 1934 (15 U.S.C. 78b et seq.) requires every registered transfer 
agent to make and keep current records about a variety of information, 
such as: (1) Specific operational data regarding the time taken to 
perform transfer agent activities (to ensure compliance with the 
minimum performance standards in Rule 17Ad-2 (17 CFR 240.17Ad-2); (2) 
written inquiries and requests by shareholders and broker-dealers and 
response time thereto; (3) resolutions, contracts or other supporting 
documents concerning the appointment or termination of the transfer 
agent; (4) stop orders or notices of adverse claims to the securities; 
and (5) all canceled registered securities certificates.
    Rule 17Ad-7 (17 CFR 240.17Ad-7) under the Securities Exchange Act 
of 1934 (15 U.S.C. 78b et seq.) requires each registered transfer agent 
to retain the records specified in Rule 17Ad-6 in an easily accessible 
place for a period of six months to six years, depending on the type of 
record or document. Rule 17Ad-7 also specifies the manner in which 
records may be maintained using electronic, microfilm, and microfiche 
storage methods.
    These recordkeeping requirements ensure that all registered 
transfer agents are maintaining the records necessary to monitor and 
keep control over their own performance and for the Commission to 
adequately examine registered transfer agents on an historical basis 
for compliance with applicable rules. We estimate that approximately 
785 registered transfer agents will spend a total of 392,500 hours per 
year complying with Rules 17Ad-6 and 17Ad-7. Based on average cost per 
hour of $50, the total cost of compliance with Rule 17Ad-6 is 
$19,625,000.
    The retention period for the recordkeeping requirements under Rule 
17Ad-6 is six months to one year. In addition, such records must be 
retained for a total of two to six years or for one year after 
termination of the transfer agency, depending on the particular record 
or document. The recordkeeping requirements under Rules 17Ad-6 and 
17Ad-7 are mandatory to assist the Commission and other regulatory 
agencies with monitoring transfer agents and ensuring compliance with 
the rule. This rule does not involve the collection of confidential 
information. Please note that an agency may not conduct or sponsor, and 
a person is not required to respond to, a collection of information 
unless it displays a currently valid control number.
    General comments regarding the above information should be directed 
to the following persons: (i) Desk Officer for the Securities and 
Exchange Commission, Office of Information and Regulatory Affairs, 
Office of Management and Budget, Room 10102, New Executive Office 
Building, Washington, DC 20503; or send an e-mail to: 
David_Rostker@omb.eop.gov; and (ii) R. Corey Booth, Director/Chief 

Information Officer, Securities and Exchange Commission, C/O Shirley 
Martinson, 6432 General Green Way, Alexandria, Virginia 22312, or send 
an e-mail to PRA_Mailbox@sec.gov. Comments must be submitted to OMB 
within 30 days of this notice.

    Dated: May 22, 2006.
Nancy M. Morris,
Secretary.
[FR Doc. E6-8474 Filed 5-31-06; 8:45 am]

BILLING CODE 8010-01-P