[Federal Register Volume 63, Number 26 (Monday, February 9, 1998)]
[Notices]
[Pages 6588-6589]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-3118]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-39611; File No. SR-NSCC-97-15]


Self-Regulatory Organizations; National Securities Clearing 
Corporation; Notice of Filing and Order Granting Accelerated Approval 
of Proposed Rule Change Relating to Odd-lot Activity Reports

February 2, 1998.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on

[[Page 6589]]

December 22, 1997, the National Securities Clearing Corporation 
(``NSCC'') filed with the Securities and Exchange Commission 
(``Commission'') the proposed rule change as described in Items I and 
II below, which items have been prepared primarily by NSCC. The 
Commission is publishing this notice and order to solicit comments from 
interested persons on the proposed rule change and to grant accelerated 
approval of 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 will amend NSCC's procedures to eliminate 
the distribution of odd-lot activity reports.

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

    In its filing with the Commission, NSCC 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. NSCC 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 NSCC.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    NSCC currently produces odd-lot activity reports for distribution 
by the New York Stock Exchange (``NYSE''). The reports identify odd-lot 
trades executed on the NYSE each trading day and are provided to joint 
members of NSCC and NYSE in both print and machine readable output 
formats on the night of trade date.
    The purpose of the proposed rule change is to amend NSCC's rules to 
eliminate the distribution of the reports. NYSE requested the 
elimination because the odd-lot activity information is available in 
other reports currently distributed to members. NSCC will coordinate 
with the NYSE the process of discontinuing distribution.
    NSCC believes that the proposed rule change is consistent with the 
requirements of Section 17A of the Act \3\ and the rules and 
regulations thereunder because it fosters cooperation and coordination 
with other entities engaged in the clearance and settlement of 
securities transactions.
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    \3\ 15 U.S.C. 78q-1.
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(B) Self-Regulatory Organization's Statement on Burden on Competition

    NSCC 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

    No comments on the proposed rule change were solicited or received.

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

    Section 17A(b)(3)(F) of the Act requires that the rules of a 
clearing agency be designed to foster cooperation and coordination with 
persons engaged in the clearance and settlement of securities 
transactions.\4\ The Commission believes that the proposal is 
consistent with NSCC's obligations because it coordinates the 
dissemination of information by NSCC and NYSE.
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    \4\ 15 U.S.C. 78q-(b)(3)(F).
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    NSCC has requested that the Commission find good cause for 
approving the proposed rule change prior to the thirtieth day after the 
date of publication of notice in the Federal Register in order to allow 
NSCC to eliminate production of reports on the same day that the NYSE 
is scheduled to cease distribution of reports. Because accelerated 
approval will allow NSCC and NYSE to implement administrative 
efficiencies in an expedient and coordinated fashion, the Commission 
finds good cause for granting accelerated approval.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. 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 copying at the principal office of NSCC. All 
submissions should refer to File No. SR-NSCC-97-15 and should be 
submitted by March 2, 1998.

Conclusion

    It is therefore ordered, pursuant to Section 19(b)(2) of the Act, 
that the proposed rule change (File No. SR-NSCC-97-15) be and hereby is 
approved on an accelerated basis.

    For the Commission by the Division of Market Regulation, 
pursuant to delegated authority.\5\
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    \5\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 98-3118 Filed 2-6-98; 8:45 am]
BILLING CODE 8010-01-M