[Federal Register Volume 60, Number 229 (Wednesday, November 29, 1995)]
[Notices]
[Pages 61281-61282]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-29153]



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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-36506; File Nos. SR-SCCP-95-04 and SR-Philadep-95-06]


Self-Regulatory Organizations; Stock Clearing Corporation of 
Philadelphia and Philadelphia Depository Trust Company; Notice of 
Filing of Proposed Rule Changes Seeking Authority to Release Clearing 
Data Relating to Participants

November 22, 1995.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on July 7, 1995, the Stock 
Clearing Corporation of Philadelphia (``SCCP'') and the Philadelphia 
Depository Trust Company (``Philadep'') filed with the Securities and 
Exchange Commission (``Commission'') the proposed rule changes (File 
Nos. SR-SCCP-95-04 and SR-Philadep-95-06) as described in Items I, II, 
and III below, which items have been prepared primarily by SCCP and 
Philadep. On August 17, 1995, SCCP and Philadep each filed an amendment 
to its proposed rule change to clarify the parties to whom SCCP and 
Philadep will release clearing data and to define the term ``clearing 
data''.\2\ On September 25, 1995, SCCP and Philadep each filed a second 
amendment to its proposed rule change to supersede the prior 
amendments.\3\ On November 16, 1995, SCCP and Philadep each filed a 
third amendment to its proposed rule change to make certain technical 
corrections.\4\ The Commission is publishing this notice to solicit 
comments on the proposed rule changes from interested persons.

    \1\15 U.S.C. 78s(b)(1) (1988).
    \2\Letter from Sharon S. Metzker, Staff Counsel, SCCP and 
Philadep, to Peter R. Geraghty, Senior Counsel, Division of Market 
Regulation (``Division''), Commission (August 15, 1995).
    \3\Letter from Sharon S. Metzker, Staff Counsel, SCCP and 
Philadep, to Peter R. Geraghty, Senior Counsel, Division, Commission 
(September 22, 1995).
    \4\Letter from Sharon S. Metzker, Staff Counsel, SCCP and 
Philadep, to Christopher Concannon, Division, Commission (November 
16, 1995).
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I. Self-Regulatory Organizations' Statement of the Terms of Substance 
of the Proposed Rule Changes

    The purpose of the respective proposed rule changes is to modify 
SCCP Rule 28 and to add Rule 32 to Philadep's rules to authorize SCCP 
and Philadep to release data relating to their respective participants' 
clearance and settlement activities.

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

    In their filings with the Commission, SCCP and Philadep included 
statements concerning the purpose of and basis for the proposed rule 
changes and discussed any comments they received on the proposed rule 
changes. The text of these statements may be examined at the places 
specified in Item IV below. SCCP and Philadep have prepared summaries, 
set forth in sections (A), (B), and (C) below, of the most significant 
aspects of such statements.\5\

    \5\The Commission has modified the text of the summaries 
submitted by SCCP and Philadep.
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(A) Self-Regulatory Organizations' Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Changes

    The purpose of the respective proposed rule changes is to modify 
SCCP Rule 28 and to add Rule 32 to Philadep's rules to authorize SCCP 
and Philadep to release data relating to their respective participants' 
clearance and settlement activities. SCCP and Philadep receive 
transaction data and other data relating to their participants in the 
normal course of business. The rule changes set forth SCCP's and 
Philadep's obligations to preserve their participants' rights with 
respect to such data and the conditions under which SCCP and Philadep 
will disclose such data.
    The proposed rules will permit SCCP and Philadep to disclose such 
data to regulatory organizations, self-regulatory organizations, 
clearing organizations affiliated with or designated by contract 
markets trading specific futures products under the oversight of the 
Commodity Futures Trading Commission, and others under certain 
conditions. The proposed rule changes generally provide that the 
release of a participant's clearing data shall be conditioned upon 
either the submission of a written request or the execution of a 
written agreement.\6\ The proposed rules also define ``clearing data'' 
to mean transaction and other data which is received by SCCP and 
Philadep in the clearance and/or settlement process or such data, 
reports, or summaries which may be produced as a result of processing 
such data.

    \6\As self-regulatory organizations, SCCP and Philadep are 
authorized to cooperate and share data with other regulatory or 
self-regulatory organizations for regulatory purposes.
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    The proposed rule changes also will facilitate SCCP's and 
Philadep's participation in the National Securities Clearing 
Corporation's (``NSCC'') Collateral Management Service (``CMS'').\7\ 
The proposals will enable SCCP and Philadep to provide information 
regarding their respective participants funds, including excess or 
deficit amounts, and to provide comprehensive data on underlying 
collateral to NSCC for inclusion in the CMS. Participants of SCCP and 
Philadep that desire access to the CMS data will be required to execute 
a CMS participation application.

    \7\Generally, the CMS will provide participating participants 
and clearing agencies with access to information regarding clearing 
fund, margin, and other similar requirements and deposits. For a 
complete description of the CMS, refer to Securities Exchange Act 
Release No. 36091 (August 5, 1995), 60 FR 30912 [File No. SR-NSCC-
95-06] (order approving the CMS).
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    SCCP and Philadep believe the proposed rule changes are consistent 
with Section 17A of the Act and the rules and regulations thereunder 
because the rule proposals should help to safeguard securities and 
funds in their custody or control or for which they are responsible.

(B) Self-Regulatory Organizations' Statement on Burden on Competition

    SCCP and Philadep do not believe that the proposed rule change will 
impact or impose a burden on competition.

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

    No written comments have been solicited or received. SCCP and 
Philadep will notify the Commission of 

[[Page 61282]]
any written comments received by SCCP or Philadep.

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

    Within thirty-five days of the date of publication of this notice 
in the Federal Register or within such longer period (i) as the 
Commission may designate up to ninety 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 SCCP and Philadep consent, the Commission 
will:
    (a) By order approve such proposed rule changes or
    (b) Institute proceedings to determine whether the proposed rule 
changes 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, N.W., Washington, D.C. 20549. 
Copies of the submission, all subsequent amendments, all written 
statements with respect to the proposed rule changes that are filed 
with the Commission, and all written communications relating to the 
proposed rule changes 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 in the Commission's Public Reference Section, 450 Fifth Street, 
N.W., Washington, D.C. 20549. Copies of such filing will also be 
available for inspection and copying at the principal offices of SCCP 
and Philadep. All submissions should refer to the file numbers SR-SCCP-
95-04 or SR-Philadep-95-06 and should be submitted by December 29, 
1995.

    For the Commission by the Division of Market Regulation, 
pursuant to delegated authority.\8\

    \8\17 CFR 200.30-3(a)(12) (1994).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 95-29153 Filed 11-28-95; 8:45 am]
BILLING CODE 8010-01-M