[Federal Register Volume 62, Number 101 (Tuesday, May 27, 1997)]
[Notices]
[Pages 28750-28751]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-13804]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-38660; File No. SR-MBSCC-97-04]


Self-Regulatory Organizations; MBS Clearing Corporation; Notice 
of Filing and Immediate Effectiveness of Proposed Rule Change Relating 
to Modification of Schedule of Charges

May 20, 1997.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (``Act''), notice is hereby given that on April 3, 1997, the MBS 
Clearing Corporation (``MBSCC'') 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 
MBSCC. The Commission is publishing this notice to solicit comments 
from interested persons on the proposed rule change.
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    \1\ 15 U.S.C. 78s(b)(1).
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The proposed rule change modifies MBSCC's schedule of charges to 
classify certain charges as fees rather than penalties.

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

    In its filing with the Commission, MBSCC 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. MBSCC has prepared summaries, set forth in sections (A), 
(B), and (C) below, of the most significant aspects of such 
statements.\2\
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    \2\ The Commission has modified the text of the summaries 
prepared by MBSCC.
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(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 modify MBSCC's 
schedule of charges to classify certain charges as fees rather than 
penalties. Currently, MBSCC maintains a schedule of charges for dealer 
accounts, a schedule of changes for broker accounts, and a schedule of 
penalty fees. MBSCC believes it is more appropriate that the charges 
set forth on the schedule of penalty fees appear on the schedule of 
charges as ordinary charges because they are intended to encourage 
participants to take alternative actions, such as earlier submission of 
data, rather than penalize participants. Therefore, the entire schedule 
of penalty fees will be deleted, and those charges will now appear on 
the MBSCC schedule of charges.
    MBSCC believes the proposed rule change is consistent with the 
requirements of Section 17A(b)(3)(D) of the Act \3\ and the rules and 
regulations thereunder because it provides for the equitable allocation 
of reasonable dues, fees, and other charges among MBSCC's participants.
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    \3\ 15 U.S.C. 78q-1(b)(3)(D).

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[[Page 28751]]

(B) Self-Regulatory Organization's Statement on Burden on Competition

    MBSCC does not believe that the proposed rule change will impact or 
impose a burden on competition.

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

    No written comments have been solicited or received. MBSCC will 
notify the Commission of any written comments received by MBSCC.

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

    The foregoing rule change has became effective pursuant to Section 
19(b)(3)(A)(ii) \4\ of the Act and pursuant to Rule 19b-4(e)(2) \5\ 
promulgated thereunder in that the proposed rule change establishes or 
changes a due, fee, or other charge imposed by MBSCC. At any time 
within sixty days of the filing of such 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.
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    \4\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \5\ 17 CFR 240.19b-4(e)(2).
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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 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 also will be available 
for inspection and coping at the principal office of MBSCC. All 
submissions should refer to File No. SR-MBSCC-97-04 and should be 
submitted by June 17, 1997.

    For the Commission by the Division of Market Regulation, 
pursuant to delegated authority.\6\
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    \6\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 97-13804 Filed 5-23-97; 8:45 am]
BILLING CODE 8010-01-M