Temporary Rule 204T is intended to substantially restrict the practice of naked short selling in all equity securities by strengthening the delivery requirements for such securities. The information collected will assist the Commission and self-regulatory organizations in monitoring whether or not participants of a registered clearing agency, and the broker-dealers from which they receive trades for clearance and settlement, are complying with the close-out and borrowing requirements of the temporary rule.
STATEMENT SUPPORTING NEED FOR EMERGENCY CONSIDERATION
The Securities and Exchange Commission (Commission) is requesting emergency consideration of one collection of information pursuant to 44 U.S.C. § 3507(j) and 5 C.F.R. § 1320.13. The title for this collection of information is Temporary Rule 204T. In connection with this request, the Commission has determined:
1. The collection of information is needed prior to the time periods established under the Paperwork Reduction Act of 1995, 44 U.S.C. § 3501 et seq. (PRA) and applicable regulations, 5 C.F.R. 1320.1 et seq.
2. The collection of information is essential to the mission of the Commission.
3. The Commission cannot reasonably comply with the normal clearance requirement of the PRA and applicable regulations because:
a. public harm is reasonably likely to result if normal clearance procedures are followed;
b. an unanticipated event has occurred; and
c. the use of normal clearance procedures is reasonably likely to prevent or disrupt the collection of information.
4. The Commission requests that OMB approve or disapprove the collection of information by October 14, 2008.
5. The Commission has been coordinating extensively with other financial regulators to address the current threats to fair and orderly securities markets. Due to the exigent circumstances, the Commission is unable to solicit prior public comment on the collection and estimated burden.
6. The Commission requests that OMB waive the notice requirement set forth in 5 C.F.R. § 1320.5(a)(1)(iv).
US Code: 15 USC 78b, 78c(b), 78f, 78i(h), 78j Name of Law: Sections 2, 3(b), 6, 9(h), 10 of the Securities Exchange Act of 1934
US Code: 15 USC 78k-1, 78o, 78o-3, 78q, 78q-1 Name of Law: Sections 11A, 15, 15A, 17, 17A of the Securities Exchange Act of 1934
US Code: 15 USC 78s and 78w(a) Name of Law: Sections 19 and 23(a) of the Securities Exchange Act of 1934
Temporary Rule 204T is intended to substantially restrict the practice of naked short selling in all equity securities by strengthening the delivery requirements for such securities. The information collected will assist the Commission and self-regulatory organizations in monitoring whether or not participants of a registered clearing agency, and the broker-dealers from which they receive trades for clearance and settlement, are complying with the close-out and borrowing requirements of the temporary rule.
$0
No
No
Uncollected
Uncollected
Uncollected
Uncollected
Joan Collopy 202 942-0772
No
On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).
The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control number;
If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.
Exchange Act Temporary Rule 204T