[Federal Register Volume 80, Number 40 (Monday, March 2, 2015)]
[Notices]
[Pages 11243-11244]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-04184]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-74358; File No. SR-DTC-2015-01]
Self-Regulatory Organizations; The Depository Trust Company;
Notice of Filing of Proposed Rule Change To Discontinue the Prospectus
Repository System Service
February 24, 2015.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (``Act'') and Rule 19b-4 \2\ thereunder, notice is hereby given
that on February 13, 2015, The Depository Trust Company (``DTC'') 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 DTC. 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. Clearing Agency's Statement of the Terms of Substance of the
Proposed Rule Change
The proposed rule change consists of a proposal to discontinue the
Prospectus Repository System Service (``PRS'') and delete the PRS Terms
of Use (``Terms of Use'') from DTC's Rules and Procedures (``Rules''),
as more fully described below.\3\
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\3\ Terms not otherwise defined herein have their respective
meanings set forth in the Rules.
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II. Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change
In its filing with the Commission, DTC included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed
[[Page 11244]]
rule change. The text of these statements may be examined at the places
specified in Item IV below. DTC has prepared summaries, set forth in
sections A, B, and C below, of the most significant aspects of such
statements.
(A) Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change
1. Purpose
The purpose of the proposed rule change is to discontinue PRS.
PRS was implemented in 2003 and enables DTC Participants
(``Participants'') and DTC-authorized third parties (Participants and
such DTC-authorized third parties, collectively referred to as
``Users'') \4\ to access prospectuses and official statements relating
to new issues of corporate and municipal securities (``Documents'')
available in electronic format from a DTC-maintained Web site.\5\ Due
to the fact that PRS currently has few Users and many of the Documents
made available via PRS are available to the public via electronic
sources outside of DTC, it is no longer necessary or cost-effective for
DTC or the industry to have DTC continue to maintain PRS. Therefore,
DTC proposes to discontinue PRS and delete the Terms of Use from the
Rules.
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\4\ Third-party Users of PRS include syndicate members,
correspondent banks, paying agents, transfer agents, and certain
legal counsel and financial advisors. Individual investors do not
have access to PRS.
\5\ Securities Exchange Act Release No. 47410 (February 26,
2003); 68 FR 10558 (March 5, 2003) (SR-DTC-2002-13).
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Effective Date
The effective date of the proposed rule change would be announced
via a DTC Important Notice.
2. Statutory Basis
The proposed rule change would discontinue an underutilized service
and eliminate the associated costs to DTC of maintaining it. Therefore,
by precluding the need for DTC to allocate resources in this regard,
the proposed rule change is consistent with the provisions of: (i)
Section 17A(b)(3)(F) \6\ of the Act which requires that the rules of
the clearing agency be designed, inter alia, to promote the prompt and
accurate clearance and settlement of securities transactions, and (ii)
Rule 17Ad-22(d)(6) \7\ promulgated under the Act which requires, inter
alia, that a clearing agency establish, implement, maintain and enforce
written policies and procedures reasonably designed to, as applicable,
be cost-effective in meeting the requirements of participants while
maintaining safe and secure operations.
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\6\ 15 U.S.C. 78q-1(b)(3)(F).
\7\ 17 CFR 240.17Ad-22(d)(6).
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(B) Clearing Agency's Statement on Burden on Competition
DTC does not believe that the proposed rule change would have any
impact, or impose any burden, on competition.
(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 yet
been solicited or received. DTC will notify the Commission of any
written comments received by DTC.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Within 45 days of the date of publication of this notice in the
Federal Register or within such longer period up to 90 days (i) as the
Commission may designate 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 or disapprove such proposed rule change, or
(B) institute proceedings to determine whether the proposed rule
change 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. 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-DTC-2015-01 on the subject line.
Paper Comments
Send paper comments in triplicate to Brent J. Fields,
Secretary, Securities and Exchange Commission, 100 F Street NE.,
Washington, DC 20549-1090.
All submissions should refer to File Number SR-DTC-2015-01. 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 Web site (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 Web site 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 the filing also will be available
for inspection and copying at the principal office of DTC and on DTCC's
Web site (http://dtcc.com/legal/sec-rule-filings.aspx). All comments
received will be posted without change; the Commission does not edit
personal identifying information from submissions. You should submit
only information that you wish to make available publicly. All
submissions should refer to File Number SR-DTC-2015-01 and should be
submitted on or before March 23, 2015.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\8\
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\8\ 17 CFR 200.30-3(a)(12).
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Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2015-04184 Filed 2-27-15; 8:45 am]
BILLING CODE 8011-01-P