[Federal Register Volume 68, Number 3 (Monday, January 6, 2003)]
[Notices]
[Pages 591-592]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-138]


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SECURITIES AND EXCHANGE COMMISSION


Submission for OMB Review; Comment Request

[Extension: Rule 11a1-1(T); OMB Control No. 3235-0478; SEC File No. 
270-428]

    Upon written request, copies available from: Securities and 
Exchange Commission, Office of Filings and Information Services, 
Washington, DC 20549.
    Notice is hereby given that pursuant to the Paperwork Reduction Act 
of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange 
Commission (``Commission'') has submitted to the Office of Management 
and Budget requests for extension of the previously approved collection 
of information discussed below.
    [sbull] Rule 11a1-1(T) Transaction Yielding Priority, Parity, and 
Precedence.
    On January 27, 1976, the Commission adopted Rule 11a1-1(T) under 
the Securities Exchange Act of 1934 (``Exchange Act'') to exempt 
transactions of exchange members for their own accounts that would 
otherwise be prohibited under section 11(a) of the Exchange Act. The 
rule provides that a member's proprietary order may be executed on the 
exchange of which the trader is a member, if, among other things: (1) 
The member discloses that a bid or offer for its account is for its 
account to any member with whom such bid or offer is placed or to whom 
it is communicated; (2) any such member through whom that bid or offer 
is communicated discloses to others participating in effecting the 
order that it is for account of a member; and (3) immediately before 
executing the order, a member (other than a

[[Page 592]]

specialist in such security) presenting any order for the account of a 
member on the exchange clearly announces or otherwise indicates to the 
specialist and to other members then present that he is presenting an 
order for the account of a member.
    Without these requirements, it would not be possible for the 
Commission to monitor its mandate under the Exchange Act to promote 
fair and orderly markets and ensure that exchange members have, as the 
principle purpose of their exchange memberships, the conduct of a 
public securities business.
    There are approximately 1,000 respondents that require an aggregate 
total of 333 hours to comply with this rule. Each of these 
approximately 1,000 respondents makes an estimated 20 annual responses, 
for an aggregate of 20,000 responses per year. Each response takes 
approximately 1 minute to complete. Thus, the total compliance burden 
per year is 333 hours (20,000 minutes/60 minutes per hour = 333 hours). 
The approximate cost per hour is $100, resulting in a total cost of 
compliance for the respondents of $33,333 (333 hours @ $100).
    Compliance with Rule 11a-1(T) is necessary for exchange members to 
make transactions for their own accounts under a specific exemption 
from the general prohibition of such transactions under section 11(a) 
of the Exchange Act. Compliance with Rule 11a-1(T) does not involve the 
collection of confidential information. Rule 11a-1(T) does not have a 
record retention requirement per se. However, responses made pursuant 
to Rule 11a-1(T) are subject to the recordkeeping requirements of Rules 
17a-3 and 17a-4. Please note that an agency may not conduct or sponsor, 
and a person is not required to respond to, a collection of information 
unless it displays a currently valid control number.
    Written comments regarding the above information should be directed 
to the following persons: (i) Desk Officer for the Securities and 
Exchange Commission, Office of Information and Regulatory Affairs, 
Office of Management and Budget, Room 10102, New Executive Office 
Building, Washington, DC 20503; and (ii) Kenneth A. Fogash, Action 
Associate Executive Director for the Office of Information Technology, 
Securities and Exchange Commission, 450 Fifth Street, NW., Washington, 
DC 20549. Comments must be submitted to OMB within 30 days of this 
notice.

    Dated: December 20, 2002.
Margaret H. McFarland.
Deputy Secretary.
[FR Doc. 03-138 Filed 1-3-03; 8:45 am]
BILLING CODE 8010-01-P