[Federal Register Volume 62, Number 41 (Monday, March 3, 1997)]
[Notices]
[Page 9472]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-5082]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-38334; File No. SR-DCC-97-01]
Self-Regulatory Organizations; Delta Clearing Corp.; Notice of
Filing and Immediate Effectiveness of a Proposed Rule Change Relating
to the Amendment of Fees Charges for Repurchase Agreements
February 24, 1997.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on February 5, 1997, Delta
Clearing Corp. (``DCC'') 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
DCC. The Commission is publishing this notice to solicit comments on
the proposed rule change from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
---------------------------------------------------------------------------
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 amend DCC's fee
schedule for trades of repurchase and reverse repurchase agreement
(``repos'') involving U.S. Government Treasury Securities cleared
through DCC.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, DCC included statements
concerning the purpose of and statutory basis for the proposed rule
change. The text of these statements may be examined at the places
specified in Item IV below. DCC has prepared summaries, set forth in
sections (A), (B), and (C) below, of the most significant aspects of
such statements.\2\
---------------------------------------------------------------------------
\2\ The Commission has modified parts of these statements.
---------------------------------------------------------------------------
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
The purpose of the proposed rule change is to amend DCC's fee
schedule for the clearance of repos on U.S. Treasury Securities. The
new fees will be the greater of either:
A minimum charge per ticket of $9.00 per round turn \3\; or
---------------------------------------------------------------------------
\3\ There are no other charges for bank fees,. comparison,
federal pass through or money movements.
------------------------------------------------------------------------
Term of the trade Fee
------------------------------------------------------------------------
Overnight up to fourteen days in length... One-half (.50) basis point
per million per day on all
trades.
Fifteen to thirty-five days in length..... One-third (.33) basis point
per million per day on all
trades.
Greater than thirty-five days in length... One-fifth (.20) basis point
per million per day on all
trades.
------------------------------------------------------------------------
The proposed rule change complies with Section 17A(b)(3)(D) of the
Act \4\ which requires that the rules of a registered clearing agency
provide for equitable allocation of reasonable dues, fees, and other
charges for services which it provides to its participants. DCC
believes the proposed rule change will result in increased utilization
of its clearing services thereby resulting in more securities
transactions being cleared and settled through a registered clearing
agency environment.
---------------------------------------------------------------------------
\4\ 15 U.S.C. 78q-1(b)(3)(D).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
DCC 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
Because the foregoing rule change establishes or changes a due,
fee, or other charge imposed by DCC, it has become effective pursuant
to Section 19(b)(3)(A)(ii) of the Act \5\ and Rule 19b-4(e)(2)
thereunder.\6\ At any time within sixty days of the filing of the
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.
---------------------------------------------------------------------------
\5\ 15 U.S.C. 78q-1(b)(3)(A).
\6\ 17 CFR 240.19b-4(e)(2).
---------------------------------------------------------------------------
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 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 DCC. All submissions should refer to the
File No. SR-DCC-97-01 and should be submitted by March 24, 1997.
For the Commission by the Division of Market Regulation,
pursuant to delegated authority.\7\
---------------------------------------------------------------------------
\7\ 17 CFR 200.30-3 (a)(12).
---------------------------------------------------------------------------
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 97-5082 Filed 2-28-97; 8:45 am]
BILLING CODE 8010-01-M