[Federal Register Volume 67, Number 23 (Monday, February 4, 2002)]
[Notices]
[Pages 5138-5139]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-2587]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-45345; File No. SR-CHX-2001-34]


Self-Regulatory Organizations; Notice of Filing and Immediate 
Effectiveness of Proposed Rule Change by the Chicago Stock Exchange, 
Inc. Relating to Membership Dues and Fees

January 28, 2002.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that 
on December 28, 2001, the Chicago Stock Exchange, Inc. (``CHX'' 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).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of 
Substance of the Proposed Rule Change

    The CHX, pursuant to Rule 19b-4 of the Act, proposes to amend its 
membership dues and fees schedule (the ``Schedule''), effective January 
1, 2001, to place a cap on the fees charged for

[[Page 5139]]

member branch offices and to discontinue the fees associated with the 
registration of member firm officers, partners, and salesmen. The text 
of the proposed rule change is available at the Office of the 
Secretary, the CHX, and 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 Exchange included statements 
concerning the purpose of and basis for the proposed rule change and 
discussed any comments it received regarding the proposed rule change. 
The text of these statements may be examined at the places specified in 
Item IV below. The CHX has prepared summaries, set forth in Sections 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 CHX proposes to amend the Schedule in two ways. First, the 
proposal places a cap on the number of member firm branch offices that 
are assessed a fee. The Exchange currently charges member firms a fee 
of $25 for each branch office that exists at the beginning of the year 
and an additional fee of $25 for each new office opened over the course 
of the year. This proposal limits the number of offices on which the 
annual fee would be assessed to 1,500.
    Additionally, the proposal makes other changes to the Schedule by 
eliminating the fees charged for the registration of member firm 
officers, partners, and salesmen. The Exchange believes that the 
elimination of these fees is appropriate, given, among other things, 
its limited involvement in the registration process.
2. Statutory Basis
    The Exchange believes that its proposal is consistent with Section 
6(b) \3\ of the Act, in general, and Section 6(b)(4) of the Act,\4\ in 
particular, because it provides for the equitable allocation of 
reasonable dues, fees and other charges among its members and other 
persons using its facilities.
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    \3\ 15 U.S.C. 78f(b).
    \4\ 15 U.S.C. 78f(b)(4).
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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.

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

    Written 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 the Exchange, it has become effective 
pursuant to Section 19(b)(3)(A) \5\ of the Act and subparagraph (f)(2) 
of Rule 19b-4 \6\ thereunder. At any time within 60 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.
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    \5\ 15 U.S.C. 78s(b)(3)(A).
    \6\ 17 CFR 240.19b-4(f)(2).
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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. Persons making written submissions 
should file six copies thereof with the Secretary, Securities and 
Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. 
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 at the 
Commission's Public Reference Room. Copies of such filing also will be 
available for inspection and copying at the principal office of the 
CHX. All submissions should refer to File No. SR-CHX-2001-34 and should 
be submitted by February 25, 2002.

    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. 02-2587 Filed 2-1-02; 8:45 am]
BILLING CODE 8010-01-P