[Federal Register Volume 59, Number 95 (Wednesday, May 18, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-12043]


[[Page Unknown]]

[Federal Register: May 18, 1994]


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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-34039; File No. SR-MSTC-94-07]

 

Self-Regulatory Organizations; Midwest Securities Trust Company; 
Filing and Immediate Effectiveness of Proposed Rule Change Relating to 
the Definition of ``Segregated Position''

May 11, 1994.
    Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on March 14, 1994, the 
Midwest Securities Trust Company (``MSTC'') filed with the Securities 
and Exchange Commission (``Commission'') the proposed rule change (File 
No. SR-MSTC-94-07) as described in Items I, II, and III below, which 
Items have been prepared primarily by MSTC. 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) (1988).
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I. Self-Regulatory Organizations Statement of the Terms of Substance of 
the Proposed Rule Change

    MSTC submits the following rule change to make a technical 
correction to sections 2(a) and 2(d) of Rule 1 (Delivery and Withdrawal 
of Securities) of Article II (Settlement Services) of MSTC's Rules.

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

    In its filing with the Commission, MSTC 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. MSTC 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 Purposes of, and 
Statutory Basis for, the Proposed Rule Changes

    The purpose of the proposal is to make a technical revision to 
sections 2(a) and 2(d) of Rule 1 of Article II of MSTC's Rules. In File 
No. SR-MSTC-90-01 certain enhancements were adopted to MSTC's operating 
system.\2\ As part of those enhancements, MSTC redefined the term 
``depository free position'' as ``segregated position,'' and as a 
result, MSTC replaced ``depository free position'' with ``segregated 
position'' throughout MSTC's rules. However, File No. SR-MSTC-90-01 and 
the amendments thereto inadvertently did not change this term in 
Sections 2(a) and 2(d) of Rule 1 of Article II. This rule filing, File 
No. SR-MSTC-94-07, makes that technical revision.
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    \2\Securities Exchange Act Release No. 28877 (February 12, 
1991), 56 FR 6892 [File No. SR-MSTC-90-01] (order approving proposed 
rule change).
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    The proposed rule change is consistent with sections 17A(b)(3) (A) 
and (F) of the Act in that it facilitates the prompt and accurate 
clearance and settlement of securities transactions and will assure the 
safeguarding of securities and funds which are in MSTC's custody or 
control or for which MSTC is responsible.\3\
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    \3\15 U.S.C. 78q-1(b)(3) (A) and (F) (1988).
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(B) Self-Regulatory Organization's Statements on Burden on Competition

    MSTC believes that no burden will be placed on competition as a 
result of the proposed rule change.

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

    MSTC neither solicited nor received written comments on the 
proposed rule change.

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

    The foregoing rule change has become effective pursuant to section 
19(b)(3)(A)(i1) of the Act\4\ and subparagraph (e)(4) of Rule 19b-4 
thereunder\5\ because it effects a change in an existing service of 
MSTC that: (i) Does not adversely affect the safeguarding of securities 
or funds in the custody or control of MSTC or for which MSTC is 
responsible and (ii) does not significantly affect the respective 
rights or obligations of MSTC or persons using the service. At any time 
within sixty days of the filing of such proposed rule change, the 
Commission may summarily abrogate 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.
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    \4\15 U.S.C. 78s(b)(3)(A)(i) (1988).
    \5\17 CFR 240.19b-4(e)(4) (1993).
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IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing. Persons making written submissions 
should file six copies thereof with the Secretary, Securities and 
Exchange Commission, 450 Fifth Street, NW., Washington, DC 20549. 
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 at the 
Commission's Public Reference Section, 450 Fifth Street, NW., 
Washington, DC 20549. Copies of such filings will also be available for 
inspection and copying at the principal office of MSTC. All submissions 
should refer to File No. SR-MSTC-94-07 and should be submitted by June 
8, 1994.

    For the Commission by the Division of Market Regulation, 
pursuant to delegated authority.\6\
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    \6\17 CFR 200.30-3(a)(12) (1993).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 94-12043 Filed 5-17-94; 8:45 am]
BILLING CODE 8010-01-M