Proposed Extension of Information Collection Request Submitted
for Public Comment; Prohibited Transaction Class Exemption 91-55--
Transactions Between Individual Retirement Accounts and Authorized
Purchasers of American Eagle Coins
[04/09/2007]
Volume 72, Number 67, Page 17586-17587
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DEPARTMENT OF LABOR
Employee Benefits Security Administration
Proposed Extension of Information Collection Request Submitted
for Public Comment; Prohibited Transaction Class Exemption 91-55--
Transactions Between Individual Retirement Accounts and Authorized
Purchasers of American Eagle Coins
AGENCY: Employee Benefits Security Administration, Department of Labor.
ACTION: Notice.
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SUMMARY: The Department of Labor (the Department), in accordance with
the Paperwork Reduction Act of 1995 (PRA 95) (44 U.S.C. 3506(c)(2)(A)),
provides the general public and Federal agencies with an opportunity to
comment on proposed and continuing collections of information. This
helps the Department assess the impact of its information collection
requirements and minimize the reporting burden on the public and helps
the public understand the Department's information collection
requirements and provide the requested data in the desired format.
Currently, the Employee Benefits Security Administration is soliciting
comments on the proposed extension of the information collection
provisions of Prohibited Transaction Class Exemption 91-55. A copy of
the information collection request (ICR) may be obtained by contacting
the office listed in the ADDRESSES section of this notice.
DATES: Written comments must be submitted to the office shown in the
Addresses section on or before June 8, 2007.
ADDRESSES: Joseph S. Piacentini, Department of Labor, Employee Benefits
Security Administration, 200 Constitution Avenue, NW., Washington, DC
20210, (202) 693-8410, FAX (202) 693-4745 (these are not toll-free
numbers).
SUPPLEMENTARY INFORMATION:
I. Background
Prohibited Transaction Exemption 91-55 permits purchases and sales
by certain ``individual retirement accounts,'' as defined in Internal
Revenue Code section 408 (IRAs) of American Eagle bullion coins
(``Coins'')
[[Page 17587]]
in principal transactions from or to broker-dealers in Coins that are
``authorized purchasers'' of Coins in bulk quantities from the United
States Mint and which are also ``disqualified persons,'' within the
meaning of Code section 4975(e)(2), with respect to IRAs. The exemption
also describes the circumstances under which an interest-free extension
of credit in connection with such sales and purchases is permitted. In
the absence of an exemption, such purchases and sales and extensions of
credit would be impermissible under the Employee Retirement Income
Security Act of 1974 (ERISA).
Among other conditions, the exemption requires certain information
related to covered transactions in Coins must be disclosed by the
authorized purchaser to persons who direct the transaction for the IRA.
Currently, it is standard industry practice that most of this
information is provided to persons directing investments in an IRA when
transactions in Coins occur. The exemption also requires that the
disqualified person maintain for a period of at least six years such
records as are necessary to allow accredited persons, as defined in the
exemption, to determine whether the conditions of the transaction have
been met. Finally, an authorized purchaser must provide a confirmation
statement with respect to each covered transaction to the person who
directs the transaction for the IRA. The requirements constitute
information collections within the meaning of the PRA, for which the
Department has obtained approval from the Office of Management and
Budget (OMB) under OMB Control No. 1210-0079. The OMB approval is
currently scheduled to expire on July 31, 2007.
The recordkeeping requirement facilitates the Department's ability
to make findings under section 408 of ERISA and section 4975(c) of the
Code. The confirmation and disclosure requirements protect a
participant or beneficiary who invests in IRAs and transacts in Coins
with authorized purchasers by providing the investor or the person
directing his or her investments with timely information about the
market in Coins and about the individual's account in particular.
II. Current Actions
This notice requests public comment pertaining to the Department's
request for extension of OMB approval of the information collection
contained in PTE 91-55. After considering comments received in response
to this notice, the Department intends to submit an ICR to OMB for
continuing approval. No change to the existing ICR is proposed or made
at this time. An agency may not conduct or sponsor, and a person is not
required to respond to, an information collection unless it displays a
valid OMB control number. A summary of the ICR and the current burden
estimates follows:
Agency: Employee Benefits Security Administration, Department of
Labor.
Title: Prohibited Transaction Class Exemption 91-55.
Type of Review: Extension of a currently approved collection of
information.
OMB Number: 1210-0079.
Affected Public: Individuals or households; Business or other for-
profit; Not-for-profit institutions.
Respondents: 2.
Responses: 12,800.
Frequency: On occasion.
Estimated Total Burden Hours: 554 hours.
Estimated Total Burden Cost: $0.
III. Focus of Comments
The Department of Labor (Department) is particularly interested in
comments that:
Evaluate whether the proposed collection of information is
necessary for the proper performance of the functions of the agency,
including whether the information will have practical utility;
Evaluate the accuracy of the agency's estimate of the
burden of the proposed collection of information, including the
validity of the methodology and assumptions used;
Enhance the quality, utility, and clarity of the
information to be collected; and
Minimize the burden of the collection of information on
those who are to respond, including through the use of appropriate
automated, electronic, mechanical, or other technological collection
techniques or other forms of information technology, e.g., by
permitting electronic submissions of responses.
Comments submitted in response to this notice will be summarized
and/or included in the ICR for OMB approval of the extension of the
information collection; they will also become a matter of public
record.
Dated: April 3, 2007.
Bradford P. Campbell,
Acting Assistant Secretary, Employee Benefits Security Administration.
[FR Doc. E7-6552 Filed 4-6-07; 8:45 am]
BILLING CODE 4510-29-P
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