Rule 17Ad-10, 17 CFR 240.17Ad-10, under the Securities Exchange Act of 1934, requires a registered transfer agent to create and maintain minimum information on securityholders ownership of an issue of securities for which it performs transfer agent functions, including the purchase, transfer and redemption of securities. In addition, the rule also requires transfer agents that maintain securityholder records to keep certificate detail that has been deleted from those records for a minimum of six years and to maintain and keep current an accurate record of the number of shares or principle dollar amount of debt securities that the issuer has authorized to be outstanding (a control book). These recordkeeping requirements assist in the creation and maintenance of accurate securityholder records, the ability to research errors, and ensure the transfer agent is aware of the number of securities that are properly authorized by the issuer, thereby avoiding overissuance. Transfer agents are required to establish written standards for the acceptance or rejection of guarantees of securities transfers from eligible guarantor institutions. Transfer agents are also required to establish procedures, including written guidelines where appropriate, to ensure that those standards are used in determining whether to accept or reject guarantees from eligible guarantor institutions.
US Code:
15 USC 78q-1(d)
Name of Law: Securities Exchange Act of 1934
The increase in the burden hours from 11,300 total annual industry hours in 2010 to the current 37,120 total annual industry hours (an increase of 25,820 hours) reflects updated burden estimates based on an informal, voluntary, and small sample size transfer agent survey.
In addition, the cost burden increase from $565,000 in 2010 to the current $8,352,000 (an increase of $7,787,000) is due to two factors. First, the prior Paperwork Reduction Act extension erroneously treated the monetization of internal labor costs of compliance (estimated to be $565,000 in 2010) as a separate cost burden. Second, respondents have since implemented new or upgraded versions of automated systems for generating, maintaining, and disclosing or providing certain information required by the rule. Accordingly, the computer operations and maintenance associated with these new or upgraded systems now accounts for the entire $8,352,000 cost burden.
$5,400
No
No
No
No
No
Uncollected
Kenneth Riitho 2025515592
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.
2013 Rule 17Ad-10 Supporting Statement (Revised by ARB).pdf
Rule 17Ad-10: Accurate Creation and Maintenance of Securityholder Files (17 CFR 240.17Ad-10)