[Federal Register Volume 60, Number 140 (Friday, July 21, 1995)]
[Notices]
[Pages 37700-37701]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-17995]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-35978; File No. SR-MBS-95-04]
Self-Regulatory Organizations; MBS Clearing Corporation; Notice
of Filing and Immediate Effectiveness of Proposed Rule Change Modifying
Fees for the Electronic Pool Notification Service
July 17, 1995.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on June 16, 1995, the MBS
Clearing Corporation (``MBS'') filed with the Securities and Exchange
Commission (``Commission'') the proposed rule change (File No. SR-MBS-
95-04) as described in Items I, II, and III below, which Items have
been prepared primarily by MBS. The Commission is publishing this
notice to solicit comments on the proposed rule change from interested
persons.
\1\ 15 U.S.C. 78s(b)(1) (1988).
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The proposed rule change modifies the account maintenance fee for
the Electronic Pool Notification (``EPN'') service.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, MBS included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements
[[Page 37701]]
may be examined at the places specified in Item IV below. MBS has
prepared summaries, set forth in sections (A), (B), and (C) below, of
the most significant aspects of such statements.\2\
\2\ The Commission has modified the language in these sections.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
The purpose of the proposed rule change is to modify the account
maintenance fee for the EPN service. Specifically, the proposed rule
change modifies the EPN Schedule of Charges to reflect separate account
maintenance fees for a direct account and an omnibus account. MBS
previously charged EPN Users an account maintenance fee of $250.00 per
month per account. MBS will continue to charge this fee for a direct
account (i.e., an account maintained by an EPN User acting on its own
behalf). MBS, however, will charge EPN Users $250.00 per month per
account plus $25.00 per month per customer account, up to a maximum of
$250.00 per month per account, for an omnibus account (i.e., an account
maintained by an investment advisor or correspondent acting on behalf
of others). An investment advisor or correspondent acting on behalf of
others previously was required to open separate accounts for each
customer account.
The proposed rule change also modifies the EPN billing procedure to
reflect the account maintenance fee as a separate type of fee \3\ and
to enable MBS to waive one or more EPN fees for such time as determined
by MBS. This will allow new EPN Users an opportunity to use and become
familiar with EPN services before being required to pay fees.
\3\ The account maintenance fee previously was included as part
of message processing fees.
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MBS believes that the proposed rule change is consistent with
Section 17A(b)(3)(D) of the Act \4\ and the rules and regulations
thereunder in that it provides for the equitable allocation of
reasonable dues, fees, and other charges among its participants.
\4\ 15 U.S.C. 78q-1(b)(3)(D) (1988).
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(B) Self-Regulatory Organization's Statements on Burden on Competition
MBS does not believe that the proposed rule change will have an
impact on or impose a 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 relating to the proposed rule change have been
solicited or received. MBS will notify the Commission of any written
comments received by MBS.
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)(ii) of the Act \5\ and pursuant to Rule 19b-4(e)(2)
promulgated thereunder \6\ because the proposed rule change establishes
a due, fee, or other charge imposed by MBS. At any time within sixty
days of the filing of such rule change, the Commission may summarily
abrogate 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.
\5\ 15 U.S.C. 78s(b)(3)(A)(ii) (1988).
\6\ 17 CFR 240.19b-4(e)(2) (1994).
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IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing. Persons making written submissions
should file six copies thereof with the Secretary, Securities and
Exchange Commission, 450 Fifth Street, NW., Washington, DC 20549.
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 Section, 450 Fifth Street, NW.,
Washington, DC 20549. Copies of such filing will also be available for
inspection and copying at the principal office of MBS. All submissions
should refer to File No. SR-MBS-95-04 and should be submitted by August
11, 1995.
For the Commission by the Division of Market Regulation,
pursuant to delegated authority.\7\
\7\ 17 CFR 200.30-3(a)(12) (1994).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 95-17995 Filed 7-20-95; 8:45 am]
BILLING CODE 8010-01-M