Document ID: SEC-2011-0268-0001
Agency: sec
Document Type: Notice
Title: Orders: In the Matter of Chicago Board Options Exchange, Inc.
Posted Date: 2011-03-02T05:00Z

[Federal Register Volume 76, Number 41 (Wednesday, March 2, 2011)]
[Notices]
[Page 11533]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-4575]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 63954; File No. SR-ISE-2009-35]

Securities Exchange Act of 1934; In the Matter of Chicago Board 
Options Exchange, Incorporated, 400 South LaSalle Street, Chicago, IL 
60605; Order Setting Aside the Order by Delegated Authority Approving 
SR-ISE-2009-35 and Dismissing CBOE's Petition for Review

February 24, 2011.
    On June 15, 2009, the International Securities Exchange, LLC 
(``ISE'') filed a proposed rule change with the Commission seeking to 
establish a Qualified Contingent Cross (``QCC'') Order. The proposed 
rule change was published for comment on June 26, 2009.\1\ On August 
28, 2009, the Commission approved, by authority delegated to the 
Division of Trading and Markets, the proposed rule change (``Approval 
Order'').\2\ On September 4, 2009, the Chicago Board Options Exchange 
(``CBOE'') filed a notice of intention to file a petition for review of 
the Approval Order and, on September 14, 2009, CBOE filed a petition 
for review with the Commission (``Petition for Review''). Under the 
Commission's Rules of Practice, the filing of CBOE's Petition for 
Review automatically stayed the Approval Order.\3\ On September 11, 
2009, ISE filed a motion to lift the automatic stay. On November 12, 
2009, the Commission granted CBOE's Petition for Review and denied a 
motion filed by ISE to lift the automatic stay.\4\
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    \1\ See Securities Exchange Act Release No. 60147 (June 19, 
2009), 74 FR 30651 (June 26, 2009).
    \2\ See Securities Exchange Act Release No. 60584 (August 28, 
2009), 74 FR 45663 (September 3, 2009).
    \3\ 17 CFR Sec.  201.431(e).
    \4\ See Securities Exchange Act Release Nos. 60988 and 60989.
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    On March 17, 2010, the Commission approved the placement in the 
public file of a memorandum by its Division of Risk, Strategy, and 
Financial Innovation (``RiskFin'') analyzing certain data relating to 
ISE's proposed rule change (``RiskFin Memo''). At the same time that 
the Commission approved placement of the RiskFin Memo in the public 
file, the Commission also issued an order extending the time to file 
statements in support of or in opposition to the Approval Order to give 
the public an opportunity to review the data and analysis in the 
RiskFin Memo.\5\
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    \5\ See Securities Exchange Act Release No. 61722.
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    On July 14, 2010, ISE filed a new proposed rule change to modify 
the requirements for QCC Orders (file number SR-ISE-2010-73). The 
Commission published for public comment the modified proposal.\6\ Also 
on July 14, 2010, ISE submitted a letter requesting that the Commission 
vacate the Approval Order concurrently with the approval of the new 
proposed rule, SR-ISE-2010-73.\7\
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    \6\ See Securities Exchange Act Release No. 62523 (July 16, 
2010), 75 FR 43211 (July 23, 2010).
    \7\ See letter from Michael J. Simon, Secretary and General 
Counsel, ISE, to Elizabeth M. Murphy, Secretary, Commission, dated 
July 14, 2010.
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    We have determined to construe ISE's request as a petition to 
vacate the Approval Order pursuant to Commission Rule of Practice 
431(a), which permits us to ``affirm, reverse, modify, set aside or 
remand for further proceedings, in whole or in part, any action made 
pursuant to'' delegated authority.\8\ We find that, in light of the 
filing of ISE's modified proposal regarding the QCC Orders,\9\ it is 
appropriate to grant ISE's request and set aside the Approval Order. We 
also find that, given this disposition of the Approval Order, CBOE's 
petition for review of that order has become moot.
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    \8\ 17 CFR 201.431(a).
    \9\ The Commission has this day issued a separate order 
approving SR-ISE-2010-73.
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    Accordingly, it is ordered that the August 28, 2009 order approving 
by delegated authority ISE's proposed rule change number SR-ISE-2009-
35, be, and it hereby is, set aside; and
    It is further ordered that the petition for review, filed by the 
Chicago Board Options Exchange on September 14, 2009, of the August 28, 
2009 order approving by delegated authority ISE's proposed rule change 
number SR-ISE-2009-35 be, and it hereby is, dismissed.

    By the Commission.
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011-4575 Filed 3-1-11; 8:45 am]
BILLING CODE 8011-01-P