[Federal Register Volume 63, Number 21 (Monday, February 2, 1998)]
[Rules and Regulations]
[Pages 5232-5233]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-2470]
=======================================================================
-----------------------------------------------------------------------
COMMODITY FUTURES TRADING COMMISSION
17 CFR Part 11
Delegation of Authority to Conduct Investigations in Assistance
of Foreign Futures Authorities; Correction
AGENCY: Commodity Futures Trading Commission.
ACTION: Final rules; correction.
-----------------------------------------------------------------------
SUMMARY: On April 11, 1997, the Commission published in the Federal
Register (62 FR 17702) final rules amending certain provisions of the
Commission's Rules to formalize the authority of the Director of the
Division of Enforcement to conduct investigations in assistance of
foreign futures authorities. The purpose of the amendments was to add
language to the existing rules in the interest of setting forth agency
procedure with respect to conducting such investigations. However, text
from the existing rules was inadvertently omitted in the publication of
the amendments. This correction serves as a clarification of the
inadvertent omissions.
DATES: Effective: February 2, 1998.
FOR FURTHER INFORMATION CONTACT: Ethiopis Tafara, Senior International
Counsel, Division of Enforcement, US Commodity Futures Trading
Commission, Three Lafayette Centre, 1155 21st Street, NW, Washington,
DC 20581. Telephone (202) 418-5362.
SUPPLEMENTARY INFORMATION: The Commission is correcting inadvertent
omissions in the publication of the final rules amending Secs. 11.1 and
11.2(a) of the Commission's Rules. The amendments expanded the scope of
17 CFR Part 11 and authorized formally the Director of the Division of
Enforcement to conduct investigations in assistance of foreign futures
authorities. As the Supplementary Information accompanying the
amendments made clear, no other change in Secs. 11.1 and 11.2(a) of the
Commission's Rules was being made.\1\ However, certain existing
language in Secs. 11.1 and 11.2(a) of the Commission's Rules relating
to agency practice was not republished at that time. The omitted
language serves as an elaboration of the scope of 17 CFR Part 11 as set
forth in the first sentence of Sec. 11.1 and of the authority delegated
to the Director of the Division of Enforcement as recited in the first
sentence of Sec. 11.2(a). Part of the omitted language also describes
agency practice with respect to certain investigatory activities
conducted by the Director of
[[Page 5233]]
the Division of Trading and Markets and the Chief Economist and
Director of the Division of Economic Analysis. So as to avoid any
confusion of the public, and to ensure its inclusion in this year's
edition of the Code of Federal Regulations, this correction sets out
the language relating to agency procedure that was not included with
the original amendments. Consequently, the Commission is not seeking
public comment. Similarly, the Commission finds good cause to make this
correction clarifying the omissions effective immediately.
---------------------------------------------------------------------------
\1\ See 62 FR 17702.
---------------------------------------------------------------------------
In final rule, FR Doc. 97-9399, published on April 11, 1997 (62 FR
17702) make the following corrections:
PART 11--[CORRECTED]
1. On page 17702, in the second column, Sec. 11.1 is corrected to
read as follows:
Sec. 11.1 Scope and applicability of rules.
The rules of this part apply to investigatory proceedings conducted
by the Commission or its staff pursuant to Sections 6(c) and 8 and
12(f) of the Commodity Exchange Act, as amended, 7 U.S.C. 9 and 15 and
12 and 16(f) (Supp. IV, 1974), to determine whether there have been
violations of that Act, or the rules, regulations or orders adopted
thereunder, or, in accordance with the provisions of Section 12(f) of
the Act, whether there have been violations of the laws, rules or
regulations relating to futures or options matters administered or
enforced by a foreign futures authority, or whether an application for
designation or registration under the Act should be denied. Except as
otherwise specified herein, the rules will apply to the conduct of
investigation whether or not the Commission has authorized the use of
subpoenas in the particular matter to compel the production of
evidence.
2. On page 17702, in the third column, Sec. 11.2, paragraph (a) is
corrected to read as follows:
Sec. 11.2 Authority to conduct investigations.
* * * * *
(a) The Director of the Division of Enforcement and members of the
Commission staff acting pursuant to his authority and under his
direction may conduct such investigations as he deems appropriate to
determine whether any persons have violated, are violating, or are
about to violate the provisions of the Commodity Exchange Act, as
amended, or the rules, regulations or orders adopted by the Commission
pursuant to that Act, or, in accordance with the provisions of Section
12(f) of the Act, whether any persons have violated, are violating or
are about to violate the laws, rules or regulations relating to futures
or options matters administered or enforced by a foreign futures
authority, or whether an applicant for registration or designation
meets the requisite statutory criteria. For this purpose, the Director
may obtain evidence through voluntary statements and submissions,
through exercise of inspection powers over boards of trade, reporting
traders, and persons required by law to register with the Commission,
or when authorized by order of the Commission, through the issuance of
subpoenas. The Director shall report to the Commission the results of
his investigations and recommend to the Commission such enforcement
action as he deems appropriate. In particular matters the Director of
the Division of Trading and Markets and the Chief Economist and
Director of the Division of Economic Analysis, and members of their
staffs acting within the scope of their respective responsibilities,
are also authorized to investigate, report and recommend to the
Commission in accordance with these rules.
* * * * *
Issued in Washington, DC on January 27, 1998, by the Commission.
Jean A. Webb,
Secretary of the Commission.
[FR Doc. 98-2470 Filed 1-30-98; 8:45 am]
BILLING CODE 6351-01-M