[Federal Register Volume 59, Number 248 (Wednesday, December 28, 1994)]
[Unknown Section]
[Page ]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-31884]


[Federal Register: December 28, 1994]


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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-35126; File No. SR-MSTC-94-16]


Self-Regulatory Organizations; Midwest Securities Trust Company; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Relating to a Technical Correction to MSTC's Rules

December 20, 1994.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on November 10, 1994, the 
Midwest Securities Trust Company (``MSTC'') 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 
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. Sec. 78d(b)(1) (1988).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The proposed rule change involves a technical correction to Section 
3(i) of Rule 1 of Article IV of MSTC's rules in that it changes the 
term ``depository free position'' to ``segregated position.''

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

    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 Organizations's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    The purpose of the proposed rule change is to make a technical 
correction to Section 3(i) of Rule 1 of Article IV of MSTC's rules. The 
correction will change the term ``depository free position'' to 
``segregated position'' throughout Section 3(i). In a prior rule 
filing, MSTC made significant changes to its securities processing 
operations. Among other things, that rule filing instituted both real-
time and twenty-four hour processing of securities transactions.\2\ In 
connection with these enhancements, it was necessary to change the 
terminology for certain MSTC deposits. Specifically, MSTC redefined the 
term ``depository free position'' as ``segregated position'' throughout 
MSTC's rules.\3\ The prior rule filing and all amendments thereto,\4\ 
however, did not change this term in Section 3(i) of Rule 1 of Article 
IV of MSTC's rules. Accordingly, this rule filing makes this technical 
correction to MSTC's rules.
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    \2\For a description of these changes, refer to Securities 
Exchange Act Release No. 28877 (February 12, 1991), 56 FR 6892 [File 
No. SR-MSTC-90-01] (order approving proposed rule change).
    \3\A segregated position means the position of a participant 
with respect to securities credited to the depository account of 
such participant on the books of MSTC, other than securities in 
transfer positions. Article I, Definitions and General Provisions, 
MSTC Rules.
    \4\Securities Exchange Act Release No. 34039 (May 11, 1994), 59 
FR 25975 (order making technical correction to certain MSTC rules).
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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 has not solicited or received any comments. MSTC will notify 
the Commission of any written comments it receives.

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

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A)(i)\5\ of the Act and Rule 19b-4(e)(4)(1)\6\ thereunder in 
that it constitutes a stated policy, practice, or interpretation with 
respect to the meaning, administration, or enforcement of an existing 
MSTC rule. At any time within sixty days of the filing of this proposed 
rule change, the Commission summarily may abrogate the 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. Sec. 78s(b)(3)(A)(i) (1988).
    \6\17 CFR 240.19b-4(e)(1) (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 submissions 
should file six copies thereof with the Secretary, Securities and 
Exchange Commission, 450 Fifth Street, N.W., 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 communication 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, N.W., 
Washington, D.C. 20549. Copies of the filing also will be available for 
inspection and copying at the principal office of MSTC. All submissions 
should refer to File No. SR-MSTC-94-16 and should be submitted by 
January 17, 1995.

    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. 94-31884 Filed 12-27-94; 8:45 am]
BILLING CODE 8010-01-M