[Federal Register Volume 69, Number 71 (Tuesday, April 13, 2004)]
[Notices]
[Pages 19583-19584]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-8326]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-49529; File No. SR-CHX-2004-04]


Self-Regulatory Organizations; Notice of Filing of Proposed Rule 
by the Chicago Stock Exchange, Incorporated, To Revise Its Article VI, 
Rule 5 To Correct a Reference to the Form Used for the Registration of 
New Branch Offices

April 6, 2004.
    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 January 7, 2004, the Chicago Stock Exchange, Incorporated (``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

    This proposal would update the reference to a form used by certain 
CHX member firms for the registration of new branch offices. The text 
of the proposed rule change is set forth below. Proposed new language 
is in italics; proposed deletions are in [brackets].
* * * * *

Chicago Stock Exchange Rules Article VI Restrictions and Requirements

* * * * *

Supervision of Members and Member Organizations and Their Branch and 
Resident Offices

* * * * *
    Rule 5. No change to text.
* * * Interpretations and Policies
    .01 Registration of new branch offices.--
    Outlined below are the steps to be taken when registering new 
branch offices.
    (1) Each member organization must forward a[A] completed Schedule E 
to Form BD [MW-B form will be forwarded] to the Exchange.
    (2) Before approval of the branch office is granted, the office 
manager or the registered representative in charge must have completed 
the Exchange requirements for registration.
    The office may begin operating as a branch on receipt of written 
approval from the Exchange.
    (3) Firms that are also members of the New York Stock Exchange are 
not subject to these requirements. However, New York Stock Exchange 
members will be required to notify the Exchange in writing of any 
openings and closings of a branch office, along with the name of the 
office manager.
* * * * *

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 CHX 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
    Under the Exchange's rules, a member firm for which the Exchange is 
the designated examining authority must notify the Exchange before 
opening a new branch office.\3\ The Exchange's rules currently require 
that a firm provide this notice by completing and submitting a MW-B 
form.
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    \3\ See CHX Rule 5 of Article VI.
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    The Exchange represents, however, that it currently asks its member 
firms to submit Schedule E to Form BD for that purpose. The proposed 
rule would correct the reference to the form in its Article VI, Rule 5 
and would make other non-substantive changes to the text.
2. Statutory Basis
    The CHX believes that the proposed rule change is consistent with 
Section 6(b) of the Act,\4\ in general, and furthers the objectives of 
Section 6(b)(5) of the Act,\5\ in particular, in that it is designed to 
promote just and equitable principles of trade, to remove impediments 
to and perfect the mechanism of a free and open market and a national 
market

[[Page 19584]]

system, and, in general, to protect investors and the public interest.
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    \4\ 15 U.S.C. 78f(b).
    \5\ 15 U.S.C. 78f(b)(5).
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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 inappropriate burden on competition.

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

    No written comments were either solicited or received.

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

    Within 35 days of the date of publication of this notice in the 
Federal Register or within such longer period (i) as the Commission may 
designate up to 90 days of such date if it finds such longer period to 
be appropriate and publishes its reasons for so finding or (ii) as to 
which the self-regulatory organization consents, the Commission will:
    A. By order approve such proposed rule change, as amended, or
    B. Institute proceedings to determine whether the proposed rule 
change, as amended, should be disapproved.

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. 
Comments may also be submitted electronically at the following e-mail 
address: [email protected]. All comment letters should refer to 
File No. SR-CHX-2004-04. This file number should be included on the 
subject line if e-mail is used. To help the Commission process and 
review your comments more efficiently, comments should be sent in 
hardcopy or by e-mail but not by both methods. 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 Exchange. All 
submissions should refer to File No. SR-CHX-2004-04 and should be 
submitted by May 4, 2004.

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\6\
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    \6\ 17 CFR 200.30-3(a)(12).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 04-8326 Filed 4-12-04; 8:45 am]
BILLING CODE 8010-01-P