[Federal Register Volume 67, Number 166 (Tuesday, August 27, 2002)]
[Notices]
[Pages 55050-55051]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-21775]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-46391; File No. SR-DTC-2002-07]


Self-Regulatory Organizations; The Depository Trust Company; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change 
Relating to the Filing of the ``About Deposits'' Service Guide

August 21, 2002.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act''),\1\ notice is hereby given that on May 21, 2002, The 
Depository Trust Company (``DTC'') 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 DTC. The Commission is publishing this notice to solicit 
comments on the proposed rule change from interested parties.
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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 consists of the implementation of a 
Service Guide pertaining to deposits.

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

    In its filing with the Commission, DTC 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. DTC has prepared summaries, set forth in sections (A), 
(B), and (C) below, of the most significant aspects of these 
statements.\2\
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    \2\ The Commission has modified the text of the summaries 
prepared by DTC.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In January of 2001, DTC submitted a rule filing which constituted a 
restatement of certain sections of DTC's Participant Operating 
Procedures (``POP'') and Participant Terminal System (``PTS'') 
Manual.\3\ Both the POP and the PTS Manual are hardcopy, multi-volume 
manuals that, among other things, provide participants with procedures 
and information pertaining to a number of DTC services and describe and 
document functions and applications of DTC systems.
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    \3\ Securities Exchange Act Release No. 44719 (August 17, 2001), 
66 FR 44656 [SR-DTC-2001-01].
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    In that rule filing, DTC explained that both the POP and the PTS 
Manual would better serve participants and other authorized users if 
they were restated together utilizing modern electronic media. As a 
result, DTC is developing Service Guides to replace all POP and PTS 
Manual documentation, and DTC has filed Service Guides for the 
following DTC services: Custody, Dividends, Reorganization, Settlement, 
and Underwriting.
    In this filing, a new Service Guide is being added for deposits. 
The ``About Deposits'' Service Guide will replace POP Section B 
(Deposits) as well as POP Section L (Depository Facilities). However, 
no substantive changes to DTC's procedures are being made at this time.
    The Service Guide updates will be implemented upon filing and are 
available to participants and other authorized users through CD-ROM, 
which contains current Service Guides, POP, and PTS Manual information, 
and through the Internet at DTC's web site http://www.dtc.org/. The two 
formats contain the same information and are similar in functionality. 
DTC updates such information on its web site on a monthly basis and 
distributes CD-ROM updates on a quarterly basis.\4\
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    \4\ DTC will provide the Commission with above-mentioned CD-ROMs 
upon issuance each quarter. The Commission has been granted access 
to those screens on DTC's web site which contain the Service Guides 
and related information.
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    The proposed rule change is consistent with the requirements of 
Section 17A of the Act \5\ and the rules and regulations thereunder 
applicable to DTC because the proposed rule change will contribute to 
the ease of use of DTC's services. The proposed rule change will be 
implemented consistently with the safeguarding of securities and funds 
in DTC's custody or control or for which it is responsible because the 
proposed rule change enhances the utilization of DTC's existing 
services.
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    \5\ 15 U.S.C. 78q-1.
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(B) Self-Regulatory Organization's Statement on Burden on Competition

    DTC perceives no adverse impact on competition by reason of the 
proposed rule change.

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

    Rule filing SR-DTC-2001-01 dealt with the original Service Guides 
which were developed through discussions with a number of participants. 
This rule filing deals with a new guide which replaces certain portions 
of POP but makes no substantive changes to current DTC procedures. 
Therefore, written comments from participants or others have not been 
solicited or received on this proposed rule change. DTC will notify the 
Commission of any written comments received by DTC.

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

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A)(i) \6\ of the Act and Rule 19b-4(f)(1) \7\ promulgated 
thereunder because the proposal constitutes a stated policy, practice, 
or interpretation with respect to the meaning, administration, or 
enforcement of an existing rule of the self regulatory organization. At 
any time within sixty days of the filing of such

[[Page 55051]]

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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    \6\ 15 U.S.C. 78s(b)(3)(A)(i).
    \7\ 17 CFR 240.19b-4(f)(1).
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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 in the 
Commission's Public Reference Section, 450 Fifth Street, NW, 
Washington, DC 20549. Copies of such filing also will be available for 
inspection and copying at the principal office of DTC. All submissions 
should refer to File No. SR-DTC-2002-07 and should be submitted by 
September 17, 2002.

    For the Commission by the Division of Market Regulation, 
pursuant to delegated authority.\8\
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    \8\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 02-21775 Filed 8-26-02; 8:45 am]
BILLING CODE 8010-01-P