[Federal Register Volume 78, Number 95 (Thursday, May 16, 2013)]
[Notices]
[Pages 28898-28899]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-11622]
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SECURITIES AND EXCHANGE COMMISSION
Proposed Collection; Comment Request
Upon Written Request, Copies Available From: Securities and Exchange
Commission, Office of Investor Education and Advocacy, Washington, DC
20549-0213.
Extension:
Rule 303; SEC File No. 270-450, OMB Control No. 3235-0505.
Notice is hereby given that, pursuant to the Paperwork Reduction
Act of 1995 (``PRA'') (44 U.S.C. 3501 et seq.), the Securities and
Exchange Commission (``Commission'') is soliciting comments on the
existing collection of information provided for in Rule 303 (17 CFR
242.303) of Regulation ATS (17 CFR 242.300 et seq.) under the
Securities and Exchange Act of 1934 (``Act'') (15 U.S.C. 78a et seq.).
The Commission plans to submit this existing collection of information
to the Office of Management and Budget (``OMB'') for extension and
approval.
Regulation ATS sets forth a regulatory regime for ``alternative
trading systems'' (``ATSs''), which are entities that carry out
exchange functions but which are not required to register as national
securities exchanges under the Act. In lieu of exchange registration,
an ATS can instead opt to register with the Commission as a broker-
dealer and, as a condition to not having to register as an exchange,
must instead comply with Regulation ATS. Rule 303 of Regulation ATS (17
CFR 242.303) describes the record preservation requirements for ATSs.
Rule 303 also describes how such records must be maintained, what
entities may perform this function, and how long records must be
preserved.
Under Rule 303, ATSs are required to preserve all records made
pursuant to Rule 302, which includes information relating to
subscribers, trading summaries, and time-sequenced order information.
Rule 303 also requires ATSs to preserve any notices provided to
subscribers, including, but not limited to, notices regarding the ATSs
operations and subscriber access. For an ATS subject to the fair access
requirements described in Rule 301(b)(5)(ii) of Regulation ATS, Rule
303 further requires the ATS to preserve at least one copy of its
standards for access to trading, all documents relevant to the ATS's
decision to grant, deny, or limit access to any person, and all other
documents made or received by the ATS in the course of complying with
Rule 301(b)(5) of Regulation ATS. For an ATS subject to the capacity,
integrity, and security requirements for automated systems under Rule
301(b)(6) of Regulation ATS, Rule 303 requires an ATS to preserve all
documents made or received by the ATS related to its compliance,
including all correspondence, memoranda, papers, books, notices,
accounts, reports, test scripts, test results, and other similar
records. As provided in Rule 303(a)(1), ATSs are required to keep all
of these records, as applicable, for a period of at least three years,
the first two in an easily accessible place. In addition, Rule 303
requires ATSs to preserve records of partnership articles, articles of
incorporation or charter, minute books, stock certificate books, copies
of reports filed pursuant to Rule 301(b)(2), and records made pursuant
to Rule 301(b)(5) for the life of the ATS.
The information contained in the records required to be preserved
by Rule 303 will be used by examiners and other representatives of the
Commission, state securities regulatory authorities, and the self-
regulatory organizations to ensure that ATSs are in compliance with
Regulation ATS as well as other applicable rules and regulations.
Without the data required by the Rule, regulators would be limited in
their ability to comply with their statutory obligations, provide for
the protection of investors, and promote the maintenance of fair and
orderly markets.
Respondents consist of ATSs that choose to register as broker-
dealers and comply with the requirements of Regulation ATS. There are
currently 92 respondents. To comply with the record preservation
requirements of Rule 303, these respondents will spend approximately
1,380 hours per year (92 respondents at 15 burden hours/respondent). At
an average cost per burden hour of $104.20, the resultant total related
cost of compliance for these respondents is $143,796 per year (1,380
burden hours multiplied by $104.20/hour).
Written comments are invited on (a) Whether the proposed collection
of information is necessary for the proper performance of the functions
of the Commission, including whether the information shall have
practical utility; (b) the accuracy of the Commission's estimates of
the burden of the proposed collection of information; (c) ways to
enhance the quality, utility, and clarity of the information collected;
and (d) ways to minimize the burden of the collection of information on
respondents, including through the use of automated collection
techniques or other forms of information technology. Consideration will
be given to comments and suggestions submitted in writing within 60
days of this publication.
An agency may not conduct or sponsor, and a person is not required
to respond to, a collection of information under the PRA unless it
displays a currently valid OMB control number.
Please direct your written comments to: Thomas Bayer, Director/
Chief Information Officer, Securities and Exchange Commission, c/o Remi
Pavlik-Simon, 6432 General Green Way, Alexandria, VA 22312 or send an
email to: [email protected].
[[Page 28899]]
Dated: May 10, 2013.
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2013-11622 Filed 5-15-13; 8:45 am]
BILLING CODE 8011-01-P