[Federal Register Volume 60, Number 248 (Wednesday, December 27, 1995)]
[Notices]
[Pages 67007-67008]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-31305]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-36603; File No. SR-PSE-95-31]
Self-Regulatory Organizations; Notice of Filing of Proposed Rule
Change by the Pacific Stock Exchange Incorporated Relating to Pre-
Arbitration Hearing Document Exchanges
December 19, 1995.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on December 7, 1995, the
Pacific Stock Exchange Incorporated (``PSE'' or ``Exchange'') filed
with the Securities and Exchange Commission (``SEC'' or ``Commission'')
the proposed rule change as described in Items I, II, and III below,
which Items have been prepared by the self-regulatory organization. On
December 18, 1995, the Exchange submitted to the Commission Amendment
No. 1 to the proposed rule change.\2\ The Commission is publishing this
notice to solicit comments on the amended proposed rule change from
interested persons.
\1\ 15 U.S.C. 78s(b)(1).
\2\ The amendment corrected the proposal's reference to Section
15A(b)(6) as its statutory basis and deleted superfluous language
describing an affirmative obligation to supplement and correct
discovery. See Letter dated December 13, 1995, from Rosemary A.
MacGuiness, Senior Counsel, PSE, to Glen Barrentine, Senior Counsel/
Team Leader, SEC.
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I. Self-Regulatory Organization's Statement of the Terms of
Substance of the Proposed Rule Change
The Exchange proposes to increase the prehearing document exchange
deadline contained in PSE Rule 12, Arbitration, from ten (10) days to
twenty (20) days.
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.
[[Page 67008]]
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
Currently, the PSE's Arbitration Department responds to numerous
requests for additional, but late, discovery that arise from the
exchange of documents intended to be used by the parties at the
hearing. Accordingly, the Exchange is proposing to amend PSE Rule
12.14(c) to increase the amount of time before a hearing where the
parties are required to exchange documents from ten (10) days to twenty
(20) days. By increasing the time for exchanging prehearing memoranda,
the proposed rule change is intended to reduce the burden on the
Arbitration Department and the arbitrators in responding to last minute
discovery requests. The Securities Industry Conference on Arbitration
approved the proposed rule change as an amendment to the Uniform Code
of Arbitration at its meeting on October 21, 1994.
2. Statutory Basis
The PSE believes the proposed rule change is consistent with the
provisions of Section 6(b)(5) \3\ of the Act because it is designed to
facilitate the arbitration process by providing a more reasonable time
frame in which to address last minute discovery requests and alleviate
the burdens on the forum staff and arbitrators in dealing with such
requests.
\3\ 15 U.S.C 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange believes the proposed rule change will not impose any
burden on competition that is not necessary or appropriate in
furtherance of purposes of the Act.
C. Self-Regulatory Organization's Statement on Comments on the
Proposed Rule Change Received From Members, Participants, or Others
The Exchange has neither solicited nor received written comments.
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, N.W., Washington, D.C. 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, N.W.,
Washington, D.C. 20549. Copies of such filing also will be available
for inspection and copying at the principal office of the Pacific Stock
Exchange. All submissions should refer to File No. SR-PSE-95-31 and
should be submitted by January 17, 1996.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\4\
\1\ 17 C.F.R. 200.30-3(a)(12)
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 95-31305 Filed 12-26-95; 8:45 am]
BILLING CODE 8010-01-M