[Federal Register Volume 59, Number 180 (Monday, September 19, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-23047]


[[Page Unknown]]

[Federal Register: September 19, 1994]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-34654; File No. SR-CSE-94-08]

 

Self-Regulatory Organizations; Notice of Filing of Proposed Rule 
Change by Cincinnati Stock Exchange, Inc. Relating to Exchange 
Membership Application Fees

September 12, 1994.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''), 15 U.S.C. 78s(b)(1), notice is hereby given that on August 
16, 1994, the Cincinnati Stock Exchange, Inc. (``CSE'' or ``Exchange'') 
filed with the Securities and Exchange Commission (``Commission'') the 
proposed rule change as described in Items I, II and III below, which 
Items have been prepared by the self-regulatory organization. The 
Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The CSE hereby proposed to amend the membership application fees 
imposed by the Exchange as follows:

------------------------------------------------------------------------
                      Item                       Currentfee  Proposedfee
------------------------------------------------------------------------
Yearly Membership Dues: (Quarterly Charge $625)      $2,500   \1\$2,500 
New Member Application Fee.....................         100       1,000 
Transfers:                                                              
  Responsible Party Change.....................          75         350 
  Firm Registration/Name Change................          75         350 
CBOE Exercise Application......................          75         350 
------------------------------------------------------------------------
\1\No Change.                                                           

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

    In its filing with the Commission, the self-regulatory organization 
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. The self-regulatory organization 
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 
Statutory Basis for, the Purposed Rule Change

1. Purpose
    The Exchange has determined to increase the fees associated with 
applications for membership to more accurately reflect the costs 
associated with the processing of applications and to place them more 
in line with the fees existing on other markets. The increases apply to 
the initial application fee as well as the fee to exercise a Chicago 
Board Options Exchange (``CBOE'') membership. The exercise process is 
part of the agreement for access between the two markets.\1\ 
Additionally, intra-firm transfers of individuals assigned to a 
membership are being raised to reflect the cost of processing the 
transfers.
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    \1\Pursuant to an agreement signed in November 1986, a CBOE 
member may be eligible to become a proprietary member of the CSE 
without having to purchase and own a certificate of proprietary 
membership (i.e., a seat on the Exchange), provided that the CBOE 
member meets all of the other requirements of eligibility set forth 
in the CSE's By-Laws. See Article II, Section 5.2 of the CSE's Code 
of Regulations (By-Laws).
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2. Statutory Basis
    The proposed rule change is consistent with Section 6(b) of the Act 
in general and furthers the objectives of Section 6(b)(5) in particular 
in that it is not designed to permit unfair discrimination between 
customers, issuers, brokers or dealers, and in general is designed to 
protect investors and the public interest.

B. Self-Regulatory Organization's Statement on Burden on Competition

    The CSE does not believe that the proposed rule change will impose 
any inappropriate 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 were either solicited or received with respect 
to the proposed rule change.

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

    Within 35 days of the publication of this notice in the Federal 
Register or within such other period (i) as the Commission may 
designate up to 90 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 the 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. 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. Sec. 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 filing will also be available for 
inspection and copying at the principal office of CSE. All submissions 
should refer to File No. SR-CSE-94-08 and should be submitted by 
October 11, 1994.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 94-23047 Filed 9-16-94; 8:45 am]
BILLING CODE 8010-01-M