[Federal Register Volume 59, Number 201 (Wednesday, October 19, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-25886]


[[Page Unknown]]

[Federal Register: October 19, 1994]


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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-34830; File No. SR-MCC-94-11]

 

Self-Regulatory Organization; Midwest Clearing Corporation; 
Notice of Filing and Immediate Effectiveness of a Proposed Rule Change 
to Waive Certain Fees

October 12, 1994.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on October 3, 1994, the 
Midwest Clearing Corporation (``MCC'') filed with the Securities and 
Exchange Commission (``Commission'') the proposed rule change (File No. 
SR-MCC-94-11) as described in Items I, II, and III below, which Items 
have been prepared primarily by MCC. 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 Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The purpose of the proposed rule change is to continue to waive 
through December 31, 1994, (1) trade recording fees for trades in the 
Chicago Stock Exchange's Chicago Basket (``CXM'') and (2) secondary 
account maintenance fees for market-maker accounts opened for trading 
in the CXM.\2\
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    \2\The waiver of these fees previously was approved in 
Securities Exchange Act Release Nos. 33156 (November 4, 1993), 58 FR 
60076 [File No. SR-MCC-93-06] waiver of fees through December 31, 
1993); 33601 (February 8, 1994), 59 FR 7275 [File No. SR-MCC-93-10] 
(waiver of fees through March 31, 1994); and 33828 (March 28, 1994), 
59 FR 15956 [File No. SR-MCC-94-05] (waiver of fees through June 30, 
1994); 34326 (July 7, 1994), 59 FR 35773 [File No. SR-MCC-94-08] 
(waiver of fees through September 30, 1994).
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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, MCC included statements 
concerning the purpose of the 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. MCC 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 Proposed Rule Change

    MCC proposes to amend a portion of its Services and Schedule of 
Charges by waiving certain fees associated with trades in the CXM 
through December 31, 1994. Proposed additions are italicized and 
proposed deletions are bracketed:

                           Account Maintenance                          
------------------------------------------------------------------------
                                                                Charge/ 
                                                                 month  
------------------------------------------------------------------------
Participant Account Maintenance Fee:                                    
  (Local and Out of Town Accounts)...........................    $170.00
  (Specialist, Trading and Market Maker Accounts)............     160.00
Secondary Account (Specialist, Trading and Market Maker                 
 Accounts)...................................................     125.00
MCC Only Settlement Fee......................................     200.00
------------------------------------------------------------------------

    Secondary Account Maintenance Fees for market maker accounts opened 
for trading in the Chicago Basket (``CXM'') shall be waived through 
[September 30, 1994] December 31, 1994.

Trade Recording

    In addition, a discount of $0.15 per trade side recorded will be 
applied to the trade recording fees for trades of 1,000 shares and 
larger when a participant exceeds 10,000 recorded trade sides each 
month (excluding inbound RIO trades).
    All trade recording fees shall be waived for trades in the Chicago 
Basket (``CXM'') through [September 30, 1994] December 31, 1994.
    The proposed rule change is consistent with Section 17A of the 
Act\3\ in that it provides for the equitable allocation of a reasonable 
fee among MCC's clearing members as required by Section 17A(b)(3)(D) of 
the Act.\4\
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    \3\15 U.S.C. 78q-1.
    \4\15 U.S.C. 78q-1(b)(3)(D).
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(B) Self-Regulatory Organization's Statement on Burden on Competition

    MCC does not believe that the proposed rule change will impose any 
burden on competition that is not necessary or appropriate in 
furtherance of the purposes of the Act.

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

    Comments were neither solicited nor received.

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

    The foregoing rule change has become effective on filing pursuant 
to Section 19(b)(3)(A)(ii)\5\ of the Act and pursuant to Rule 19b-
4(e)(2)\6\ promulgated thereunder because the proposed rule change 
establishes or changes a due, fee, or other charge imposed by MCC. At 
any time within sixty days of the filing of this 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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    \5\15 U.S.C. 78s(b)(3)(A)(ii).
    \6\17 CFR 240.19b-4(e)(2) (1994).
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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 submission 
should file six copies thereof with the Secretary, Securities and 
Exchange Commission, 450 Fifth Street NW., Washington, D.C. 20549. 
Copies of the submissions, 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 in the 
Commission's Public Reference Section, 450 Fifth Street, N.W., 
Washington, D.C. 20549. Copies of such filings will also be available 
for inspection and copying at the principal offices of MCC. All 
submissions should refer to File No. SR-MCC-94-11 and should be 
submitted by November 9, 1994.

    For the Commission by the Division of Market Regulation, 
pursuant to delegated authority.\7\
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    \7\17 CFR 200.30-3(a)(12) (1994).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 94-25886 Filed 10-18-94; 8:45 am]
BILLING CODE 8010-01-M