[Federal Register Volume 61, Number 90 (Wednesday, May 8, 1996)]
[Rules and Regulations]
[Page 20721]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-11451]



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SECURITIES AND EXCHANGE COMMISSION

17 CFR Part 200

[Release No. 34-37159]


Delegation of Authority to Director of Division of Enforcement

AGENCY: Securities and Exchange Commission.

ACTION: Final rule.

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SUMMARY: The Commission is amending its rules to delegate authority to 
the Director of the Division of Enforcement to authorize staff to 
appear in federal bankruptcy court where the debtor is involved with 
the subject matter of a Commission investigation, and to take necessary 
action therein to preserve potential Commission claims. This amendment 
will expedite and enhance the effectiveness of the enforcement process 
by enabling staff to meet bankruptcy court deadlines that affect 
potential Commission claims and to preserve and protect such claims.

EFFECTIVE DATE: May 8, 1996.

FOR FURTHER INFORMATION CONTACT: Judith R. Starr, Division Bankruptcy 
Counsel, Division of Enforcement, 202/942-4868.

SUPPLEMENTARY INFORMATION: The Securities and Exchange Commission today 
announced amendments to its rules governing delegation of authority to 
the Division of Enforcement (``Division'').
    The amendment to Rule 30-4 1 authorizes the Director of 
Division of Enforcement to approve staff appearances in federal 
bankruptcy court where the debtor is involved with the subject matter 
of a Commission investigation. This delegation will expedite and 
enhance the effectiveness of the enforcement process by enabling prompt 
action to protect and preserve potential claims. Notwithstanding this 
delegation of authority, in instances where contemplated action in a 
bankruptcy case raises any close or controversial issues, the Division 
may consult with the Commission before the action is filed in federal 
court.
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    \1\ 17 CFR 200.30-4.
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    The Commission finds, in accordance with Section 553(b)(3)(A) of 
the Administrative Procedure Act,2 that this amendment relates 
solely to agency organization, procedure, or practice, and does not 
relate to a substantive rule. Accordingly, notice and opportunity for 
public comment are unnecessary, and publication of the amendment 30 
days before its effective date is also unnecessary.
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    \2\ 5 U.S.C. 553(b)(3)(A).
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List of Subjects in 17 CFR Part 200

    Administrative practice and procedure, Authority delegations 
(Government agencies).

Text of Amendment

    For the reasons set out in the preamble, Title 17, Chapter II of 
the Code of Federal Regulations is amended as follows:

PART 200--ORGANIZATION; CONDUCT AND ETHICS; AND INFORMATION AND 
REQUESTS

    1. The authority citation for Part 200 continues to read in part as 
follows:

    Authority: 15 U.S.C. 77s, 78d-1, 78d-2, 78w, 78ll(d), 79t, 
77sss, 80a-37, 80b-11, unless otherwise noted.
* * * * *
    2. Section 200.30-4 is amended by adding paragraph (a)(11) to read 
as follows:


Sec. 200.30-4  Delegation of authority to Director of Division of 
Enforcement.

* * * * *
    (a) * * *
    (11) To authorize staff to appear in federal bankruptcy court to 
preserve Commission claims in connection with investigations pursuant 
to section 19(b) of the Securities Act of 1933 (15 U.S.C. 77s(b)), 
section 21(b) of the Securities Exchange Act of 1934 (15 U.S.C. 
78u(b)), section 18(c) of the Public Utility Holding Company Act of 
1935 (15 U.S.C. 79r(c)), section 42(b) of the Investment Company Act of 
1940 (15 U.S.C. 80a-41(b)) and section 209(b) of the Investment 
Advisers Act of 1940 (15 U.S.C. 80b-9(b)).
* * * * *
    By the Commission.

    Dated: May 2, 1996.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 96-11451 Filed 5-7-96; 8:45 am]
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