[Federal Register: February 12, 2007 (Volume 72, Number 28)]
[Notices]
[Page 6628-6630]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr12fe07-124]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-55235; File No. SR-BSE-2007-05]
Self-Regulatory Organizations; Boston Stock Exchange, Inc.;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Remove All References to a Specific Regulation NMS Trading Phase Date
February 2, 2007.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on January 31, 2007, the Boston Stock Exchange (``BSE'' or
``Exchange'') 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 substantially prepared by the
Exchange. The Exchange has designated the proposed rule change as one
constituting a stated policy, practice, or interpretation with respect
to the meaning, administration, or enforcement of an existing rule
under Section 19(b)(3)(A) of the Act,\3\ and Rule 19b-4(f)(1)
thereunder,\4\ which renders the proposal effective upon filing with
the Commission. The Commission is publishing this notice to solicit
comments on the proposed rule from interested persons.
---------------------------------------------------------------------------
\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)(1).
---------------------------------------------------------------------------
[[Page 6629]]
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The BSE is proposing to remove references in Chapters XXXVII and
XXXVIII of the BSE Rules to February 5, 2007, which was the Regulation
NMS Trading Phase Date as of the date of Commission approval of the
proposed rule change relating to the second phase of the BeX trading
system, and replace all such references with the phrase ``Regulation
NMS Trading Phase Date.'' The Regulation NMS Trading Phase Date is the
final date for full operation of Regulation NMS-compliant trading
systems of all automated trading centers (both SRO trading facilities
and ADF participants) that intend to qualify their quotations for
trade-through protection under Rule 611 of Regulation NMS, as
determined by the Commission. The text of the proposed rule change is
available at http://www.bostonstock.com, at the BSE, and at the Commission's
public reference room.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the BSE 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 may be examined at the places specified in
Item IV below. BSE has prepared summaries, set forth in Sections A, B,
and C below, of the most significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
On June 13, 2006 the Exchange filed Amendment No. 3 to SR-BSE-2006-
22 (the ``BeX Facility Filing''), a rule filing submitted in connection
with the implementation of the first of two phases of BeX, a fully
automated electronic book for the display and execution of orders in
securities. On August 25, 2006 SR-BSE-2006-22 was approved by the
Commission.\5\ On August 3, 2006 the BSE filed, in connection with the
implementation of the second phase of the BeX trading system and in
connection with satisfying the requirements of Regulation NMS, SR-BSE-
2006-30. On September 29, 2006 the Commission approved SR-BSE-2006-
30.\6\
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release No. 54365 (August 25,
2006), 71 FR 52192 (September 1, 2006).
\6\ See Securities Exchange Act Release No. 54546 (September 29,
2006), 71 FR 59161 (October 6, 2006).
---------------------------------------------------------------------------
The purpose of this filing is to remove references in Chapters
XXXVII and XXXVIII of the BSE Rules to February 5, 2007 as the
Regulation NMS Trading Phase Date and to replace all references to that
specific date with the phrase ``Regulation NMS Trading Phase Date.''
The Regulation NMS Trading Phase Date is the final date for full
operation of Regulation NMS-compliant trading systems of all automated
trading centers (both SRO trading facilities and ADF participants) that
intend to qualify their quotations for trade-through protection under
Rule 611 of Regulation NMS, as determined by the Commission. In other
words, the BSE Rules will no longer reference a date certain for the
Regulation NMS Trading Phase Date and any occurrence that could have
taken place or that would have been triggered on February 5, 2007, such
as the ability for certain order types to be submitted on the BeX, will
be postponed to coincide with the revised Regulation NMS Trading Phase
Date scheduled by the Commission. Further, this filing replaces all
specific references to the February 5, 2007 date contained in BSE-2006-
30 as modified by Amendment 2 to that filing with the phrase Regulation
NMS Trading Phase Date.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the requirements of Section 6(b) of the Act,\7\ in general, and
furthers the objectives of Section 6(b)(5) of the Act,\8\ in
particular, in that it is designed to prevent fraudulent and
manipulative acts and practices, to promote just and equitable
principles of trade, and to protect investors and the public interest
in that it is designed to foster cooperation and coordination with
persons engaged in regulating, clearing, settling, processing
information with respect to, and facilitating transactions in
securities, to remove impediments to and perfect the mechanism for a
free and open market and a national market system, and, in general, to
protect investors and the public interest.
---------------------------------------------------------------------------
\7\ 15 U.S.C. 78f(b).
\8\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition not necessary or appropriate in
furtherance of the purposes of the Act.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
The Exchange has neither solicited nor received comments on the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
Because the foregoing rule change constitutes a stated policy,
practice, or interpretation with respect to the meaning,
administration, or enforcement of an existing rule it has become
effective pursuant to Section 19(b)(3)(A) of the Act \9\ and Rule 19b-
4(f)(1) thereunder.\10\
---------------------------------------------------------------------------
\9\ 15 U.S.C. 78s(b)(3)(A).
\10\ 17 CFR 240.19b-4(f)(1).
---------------------------------------------------------------------------
At any time within 60 days of the filing of the proposed 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 Exchange Act.
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 e-mail to rule-comments@sec.gov. Please include
File Number SR-BSE-2007-05 on the subject line.
Paper Comments
Send paper comments in triplicate to Nancy M. Morris,
Secretary, Securities and Exchange Commission, 100 F Street, NE.,
Washington, DC 20549-1090.
All submissions should refer to File Number SR-BSE-2007-05. This file
number should be included on the subject line if e-mail 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
[[Page 6630]]
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 Room. Copies of such filing also will be available for
inspection and copying at the principal office of the BSE.
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-BSE-2007-05
and should be submitted on or before March 5, 2007.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\11\
---------------------------------------------------------------------------
\11\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Florence E. Harmon
Deputy Secretary
[FR Doc. E7-2251 Filed 2-9-07; 8:45 am]
BILLING CODE 8010-01-P