[Federal Register Volume 71, Number 232 (Monday, December 4, 2006)]
[Notices]
[Pages 70443-70444]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-20428]


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SECURITIES AND EXCHANGE COMMISSION


Submission for OMB Review, Comment Request

Upon written request, copies available from: Securities and Exchange 
Commission, Office of Filings and Information Services, Washington, DC 
20549.

Extension: Rule 17Ad-4(b) and (c), SEC File No. 270-264, OMB Control 
No. 3235-0341.

    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 a request for extension of the previously approved 
collection of information discussed below.
    Rule 17Ad-4(b) and (c) (17 CFR 240.17Ad-4) under the Securities 
Exchange Act of 1934 (17 U.S.C. 78a et seq.) is used to document when 
transfer agents are exempt, or no longer exempt, from the minimum 
performance standards and certain recordkeeping provisions of the 
Commission's transfer agent rules. Rule 17Ad-4(c) sets forth the 
conditions under which a registered transfer agent loses its exempt 
status. Once the conditions for exemption no longer exist, the transfer 
agent, to keep the appropriate regulatory authority (``ARA'') apprised 
of its current status, must prepare, and file if the ARA for the 
transfer agent is the Board of Governors of the Federal Reserve System 
(``BGFRS'') or the Federal Deposit Insurance Corporation (``FDIC''), a 
notice of loss of exempt status under paragraph (c). The transfer agent 
then cannot claim exempt status under Rule 17Ad-4(b) again until it 
remains subject to the minimum performance standards for non-exempt 
transfer agents for six consecutive months. The ARAs use the 
information contained in the notice to determine whether a registered 
transfer agent qualifies for the exemption, to determine when a 
registered transfer agent no longer qualifies for the exemption, and to 
determine the extent to which that transfer agent is subject to 
regulation.
    The BGFRS receives approximately twelve notices of exempt status 
and six notices of loss of exempt status annually. The FDIC receives 
approximately eighteen notices of exempt status and three notices of 
loss of exempt status annually. The Commission and the Office of the 
Comptroller of the Currency (``OCC'') do not require transfer agents to 
file a notice of exempt status or loss of exempt status. Instead, 
transfer agents whose ARA is the Commission or OCC need only to prepare 
and maintain these notices. The Commission estimates that approximately 
sixteen notices of exempt status and loss of exempt status are prepared 
annually by transfer agents whose ARA is the Commission. Similarly, the 
OCC estimates that the transfer agents for which it is the ARA prepare 
and maintain approximately fifteen notices of exempt status and loss of 
exempt status annually. Thus, a total of approximately seventy notices 
of exempt status and loss of exempt status are prepared and maintained 
by transfer agents annually. Of these seventy notices, approximately 
forty are filed with an ARA. Any additional costs associated with 
filing such notices would be limited primarily to postage, which would 
be minimal. Since the Commission estimates that no more than one-half 
hour is required to prepare each notice, the total annual burden to 
transfer agents is approximately thirty-five hours. The average cost 
per hour is approximately $30. Therefore, the total cost of compliance 
to the transfer agent community is $1,050.
    A transfer agent should prepare and maintain in its possession or 
file with its ARA notice of exempt status or loss of exempt status for 
the period of the exemption or loss of exemption. When the transfer 
agent's status changes, the transfer agent should file a notice of 
exempt status or loss of exempt status reflecting that change. The 
notice requirement is mandatory to determine when a registered transfer 
agent no longer qualifies for the exemption, and to determine the 
extent to which that transfer agent is subject to regulation. Notices 
submitted according to Rule 17Ad-4(b) and (c) will not be kept 
confidential. 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.
    General comments regarding the estimated burden hours should be 
directed to the following persons: (i) David Rostker, 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 or by sending an e-mail 
to: [email protected]; and (ii) R. Corey Booth, Director/Chief 
Information Officer, Securities and Exchange Commission, C/O Shirley 
Martinson, 6432 General Green Way, Alexandria, VA 22312; or by sending 
an e-mail to:

[[Page 70444]]

[email protected]. Comments must be submitted to OMB within 30 days 
of this notice.

    Dated: November 20, 2006.
Nancy M. Morris,
Secretary.
 [FR Doc. E6-20428 Filed 12-1-06; 8:45 am]
BILLING CODE 8011-01-P