[Federal Register Volume 63, Number 203 (Wednesday, October 21, 1998)]
[Notices]
[Pages 56281-56282]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-28195]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-40539; File No. SR-NYSE-98-31]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change by the New York Stock Exchange,
Inc. to Amend Rule 46 to Increase the Number of Floor Governors
October 9, 1998.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ notice is hereby given that on September 30, 1998, the
New York Stock Exchange, Inc. (``NYSE'' or ``Exchange'') 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 by the Exchange. The Commission is publishing this notice to
solicit comments on the proposed rule change from interested persons.
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\1\ 15 U.S.C. 78s(b)(1).
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I. Self-Regulatory Organizations's Statement of the Terms of
Substance of the Proposed Rule Change
The proposed rule change consists of amendments to Rule 46 to
increase the number of Floor Governors. The text of the proposed rule
change is available at the Office of the Secretary, NYSE and is
available at the Commission
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 NYSE 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 NYSE has prepared summaries, set forth in Section A,
B, and C below, of the most significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The increase in trading volume and number of listed securities in
recent years has resulted in higher demand for the services of Floor
governors who are responsible for overseeing unusual market situations
on the trading Floor. Therefore, to maintain sufficient levels of Floor
Governor supervision and timely response, the Exchange proposes to
amend Rule 46 to increase the number of Floor Governors from 16 to 20.
The last increase in Floor Governors occurred in 1980 when the number
was increased from 14 to 16. The Exchange believes the proposed rule
change will permit its Floor Governors to perform more effectively
those duties prescribed in the rules relating to supervisions and
regulation of Floor matters.
In addition to the increase in the number of Floor Governors, the
Exchange proposes to correct a typographical error in Rule 46. The last
sentence in the first paragraph of Rule 46 should read, in relevant
part, ``who shall be empowered to perform any duty, make any decision
or take[n] any action assigned to or required of a Floor
[[Page 56282]]
Director. . . .'' (Brackets indicate deletions.) \2\
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\2\ Telephone call between Donald Siemer, Director, NYSE Market
Surveillance, and Joseph P. Corcoran, Division of Market Regulation,
Commission.
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2. Statutory Basis
The proposed rule change relates to Section 6(b)(1) of the Act \3\
in that it will permit the Exchange, through its Floor Governors, to
perform more effectively those duties prescribed in the rules relating
to supervision and regulation of Floor matters.
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\3\ 15 U.S.C. 78f(b)(1).
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B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange 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
The Exchange has neither solicited nor received written comments on
the proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing
for Commission Action
This proposed rule change is concerned solely with the
administration of the Exchange and, as such, may take upon filing with
the Commission pursuant to Section 19(b)(3)(A)(iii) \4\ of the Act and
Rule 19b-4(e)(3) under the Act.\5\ This designation is based on the
fact that the rule change relates solely to the increase in the number
of Floor Governors performing duties prescribed in the rules concerning
supervision and regulation of Floor matters. At any time within 60 days
of the filing of such 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.
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\4\ 15 U.S.C. 78s(b)(3)(A)(iii).
\5\ 17 CFR 240.19b-4(e)(3).
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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.\6\ Persons making written
submissions should file six copies thereof with the Secretary,
Securities and Exchange Commission, 450 Fifth Street NW, Washington, DC
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 Room. Copies of such filing will also be
available for inspection and copying at the principal office of the
NYSE. All submissions should refer to File No. SR-NYSE-98-31 and should
be submitted by November 12, 1998.
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\6\ In reviewing this proposal, the Commission has considered
its potential impact on efficiency, competition and capital
formation. 15 U.S.C. 78c(f).
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\7\
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\7\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 98-28195 Filed 10-20-98; 8:45 am]
BILLING CODE 8010-01-M