[Federal Register Volume 86, Number 70 (Wednesday, April 14, 2021)]
[Notices]
[Pages 19664-19666]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-07599]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-91516; File No. SR-ICC-2021-010)]


Self-Regulatory Organizations; ICE Clear Credit LLC; Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change Relating to 
the ICC Clearing Rules

April 8, 2021.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on April 2, 2021, ICE Clear Credit LLC (``ICC'') filed with the 
Securities and Exchange Commission the proposed rule change as 
described in Items I, II and III below, which Items have been prepared 
primarily by ICC. ICC filed the proposed rule change pursuant to 
Section 19(b)(3)(A) of the Act \3\ and Rule 19b-4(f)(3) thereunder,\4\ 
such that the proposed rule change was immediately effective upon 
filing with the Commission. 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.
    \3\ 15 U.S.C. 78s(b)(3)(A).
    \4\ 17 CFR 240.19b-4(f)(3).
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I. Clearing Agency's Statement of the Terms of Substance of the 
Proposed Rule Change

    The principal purpose of the proposed rule change is to revise the 
ICC Clearing Rules (the ``Rules'') with respect to the description of 
ICE US Holding Company L.P.

II. Clearing Agency's Statement of the Purpose of, and Statutory Basis 
for, the Proposed Rule Change

    In its filing with the Commission, ICC included statements 
concerning the purpose of and basis for the proposed rule change, 
security-based swap submission, or advance notice and discussed any 
comments it received on the proposed rule change, security-based swap 
submission, or advance notice. The text of these statements may be 
examined at the places specified in Item IV below. ICC has prepared 
summaries, set forth in sections (A), (B), and (C) below, of the most 
significant aspects of these statements.

(A) Clearing Agency's Statement of the Purpose of, and Statutory Basis 
for, the Proposed Rule Change

(a) Purpose
    ICC proposes minor revisions to the Rules to update the description 
of ICE US Holding Company L.P. (the ``Partnership''). ICC is wholly 
owned by the Partnership. Specifically, ICC proposes to amend ICC Rule 
503(a)(iii) in connection with a change in the jurisdiction of legal 
organization of the Partnership from the Cayman Islands to Delaware 
(the ``Domestication''). Under ICC Rule 503(a)(iii), the Partnership 
appoints three members of the ICC Risk Committee, consisting of an 
independent ICC Board member and two ICC officers. In referencing the 
Partnership, ICC Rule 503(a)(iii) describes the Partnership as a 
``Cayman Islands exempted limited partnership.'' In light of the 
Domestication, ICC proposes to describe the Partnership as a ``Delaware 
limited partnership.'' Such amendment would not otherwise change the 
substance of ICC Rule 503(a)(iii) nor would it affect the rights, 
functions, or obligations of the Partnership in relation to ICC. ICC 
has

[[Page 19665]]

filed the proposed rule change for immediate effectiveness and proposes 
to make such changes effective, subject to any regulatory review or 
approval process.
(b) Statutory Basis
    ICC believes that the proposed rule change is consistent with the 
requirements of Section 17A of the Act \5\ and the regulations 
thereunder applicable to it, including the applicable standards under 
Rule 17Ad-22.\6\ In particular, Section 17A(b)(3)(F) of the Act \7\ 
requires that the rule change be consistent with the prompt and 
accurate clearance and settlement of securities transactions and 
derivative agreements, contracts and transactions cleared by ICC, the 
safeguarding of securities and funds in the custody or control of ICC 
or for which it is responsible, and the protection of investors and the 
public interest. ICC proposes minor revisions to the Rules to update 
the description of the Partnership to a ``Delaware limited 
partnership'' given the Domestication. Such amendment would not 
otherwise change the substance of ICC Rule 503(a)(iii) nor would it 
affect the rights, functions, or obligations of the Partnership in 
relation to ICC. The proposed rule change would ensure that the ICC 
Rules remain up-to-date and transparent to promote ICC's ability to 
continue to maintain clear and comprehensive rules and procedures that 
provide sufficient information to market participants. The proposed 
rule change is therefore consistent with the prompt and accurate 
clearing and settlement of the contracts cleared by ICC, the 
safeguarding of securities and funds in the custody or control of ICC 
or for which it is responsible, and the protection of investors and the 
public interest, within the meaning of Section 17A(b)(3)(F) of the 
Act.\8\
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    \5\ 15 U.S.C. 78q-1.
    \6\ 17 CFR 240.17Ad-22.
    \7\ 15 U.S.C. 78q-1(b)(3)(F).
    \8\ Id.
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    In addition, the proposed rule change is consistent with the 
relevant requirements of Rule 17Ad-22.\9\ Rule 17Ad-22(e)(1) \10\ 
requires each covered clearing agency to establish, implement, 
maintain, and enforce written policies and procedures reasonably 
designed to provide for a well-founded, clear, transparent, and 
enforceable legal basis for each aspect of its activities in all 
relevant jurisdictions. As discussed above, the proposed revisions 
update the jurisdiction of legal organization of the Partnership in 
Rule 503(a)(iii) in light of the Domestication. Such amendment ensures 
that the ICC Rules continue to be up-to-date, clear, and transparent 
and does not otherwise change the substance of ICC Rule 503(a)(iii) nor 
affect the rights, functions, or obligations of the Partnership in 
relation to ICC. The ICC Rules would thus continue to provide for a 
well-founded, clear, transparent, and enforceable legal basis for ICC's 
activities, consistent with the requirements of the Rule 17Ad-
22(e)(1).\11\
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    \9\ 17 CFR 240.17Ad-22.
    \10\ 17 CFR 240.17Ad-22(e)(1).
    \11\ Id.
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    Rule 17Ad-22(e)(2)(i) and (v) \12\ requires each covered clearing 
agency to establish, implement, maintain, and enforce written policies 
and procedures reasonably designed to provide for governance 
arrangements that are clear and transparent and specify clear and 
direct lines of responsibility. The proposed rule change will not 
impact the substance of Rule 503(a)(iii), under which the Partnership 
will continue to appoint three members of the ICC Risk Committee, 
consisting of an independent ICC Board member and two ICC officers. 
ICC's governance arrangements continue to be clear and transparent, 
such that information relating to the assignment of responsibilities 
and the requisite involvement of relevant stakeholders is clearly 
detailed in the ICC Rules and policies and procedures, consistent with 
the requirements of Rule 17Ad-22(e)(2)(i) and (v).\13\
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    \12\ 17 CFR 240.17Ad-22(e)(2)(i) and (v).
    \13\ Id.
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(B) Clearing Agency's Statement on Burden on Competition

    ICC does not believe the proposed rule change would have any 
impact, or impose any burden, on competition. The proposed changes to 
the ICC Rules will apply uniformly across all market participants. 
Therefore, ICC does not believe the proposed rule change imposes any 
burden on competition that is inappropriate in furtherance of the 
purposes of the Act.

(C) Clearing Agency's Statement on Comments on the Proposed Rule Change 
Received From Members, Participants or Others

    Written comments relating to the proposed rule change have not been 
solicited or received. ICC will notify the Commission of any written 
comments received by ICC.

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) of the Act \14\ and paragraph (f) of Rule 19b-4 \15\ 
thereunder. At any time within 60 days of the filing of the proposed 
rule change, the Commission summarily may temporarily suspend 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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    \14\ 15 U.S.C. 78s(b)(3)(A).
    \15\ 17 CFR 240.19b-4(f)(3).
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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. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use the Commission's internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include 
File Number SR-ICC-2021-010 on the subject line.

Paper Comments

    Send paper comments in triplicate to Secretary, Securities and 
Exchange Commission, 100 F Street NE, Washington, DC 20549.

All submissions should refer to File Number SR-ICC-2021-010. This file 
number should be included on the subject line if email is used. To help 
the Commission process and review your comments more efficiently, 
please use only one method. The Commission will post all comments on 
the Commission's internet website (http://www.sec.gov/rules/sro.shtml). 
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 website viewing and printing in 
the Commission's Public Reference Room, 100 F Street NE, Washington, DC 
20549, on official business days between the hours of 10:00 a.m. and 
3:00 p.m. Copies of such filings will also be available for

[[Page 19666]]

inspection and copying at the principal office of ICE Clear Credit and 
on ICE Clear Credit's website at https://www.theice.com/clear-credit/regulation.
    All comments received will be posted without change. Persons 
submitting comments are cautioned that we do not redact or edit 
personal identifying information from comment submissions. You should 
submit only information that you wish to make available publicly. All 
submissions should refer to File Number SR-ICC-2021-010 and should be 
submitted on or before May 5, 2021.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\16\
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    \16\ 17 CFR 200.30-3(a)(12).
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J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021-07599 Filed 4-13-21; 8:45 am]
BILLING CODE 8011-01-P