Federal Register 30-Day Notice

Federal Register / Vol. 90, No. 38 / Thursday, February 27, 2025 / Notices
investing, reinvesting, owning, holding
or trading securities. Applicant thus
asserts that it satisfies the criteria for
issuing an order under Section 3(b)(2) of
the Act.
Applicant’s Conditions
Applicant agrees that an order granted
pursuant to the application will be
subject to the following conditions:
1. Applicant will continue to use its
accumulated cash and securities to
support its primary business (as such
business is described in this
Application);
2. Applicant will refrain from
investing or trading in securities for
speculative purposes; and
3. No more than 10% of Applicant’s
total assets will consist of investment
securities other than Capital
Preservation Instruments (as such
capitalized term is defined in
Applicant’s Application). For purposes
of this condition, ‘‘total assets’’ excludes
cash items (including securities issued
by money market funds registered under
the Act) and Government securities (as
defined in Section 2(a)(16) of the Act).
This percentage is to be determined on
an unconsolidated basis, except that
Applicant should consolidate its
financial statements with the financial
statements of any of its wholly-owned
subsidiaries.
For the Commission, by the Division of
Investment Management, under delegated
authority.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025–03171 Filed 2–26–25; 8:45 am]
BILLING CODE 8011–01–P

SECURITIES AND EXCHANGE
COMMISSION
[SEC File No. 270–514, OMB Control No.
3235–0572]

ddrumheller on DSK120RN23PROD with NOTICES1

Proposed Collection; Comment
Request; Reinstatement Without
Change: Reports of Evidence of
Material Violations
Upon Written Request, Copies Available
From: Securities and Exchange
Commission, Office of FOIA Services,
100 F Street NE, Washington, DC
20549–2736
Notice is hereby given that pursuant
to the Paperwork Reduction Act (PRA)
of 1995, 44 U.S.C. 3501–3520, the
Securities and Exchange Commission
(‘‘Commission’’) is soliciting comments
on the collection of information
summarized below. The Commission
plans to submit the existing collection
of information to the Office of

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Management and Budget for
reinstatement without change.
On February 6, 2003, the Commission
published final rules, effective August 5,
2003, entitled ‘‘Standards of
Professional Conduct for Attorneys
Appearing and Practicing Before the
Commission in the Representation of an
Issuer’’ (17 CFR 205.1–205.7). The
information collection embedded in the
rules is necessary to implement the
Standards of Professional Conduct for
Attorneys prescribed by the rule and
required by Section 307 of the SarbanesOxley Act of 2002 (15 U.S.C. 7245). The
rules impose an ‘‘up-the-ladder’’
reporting requirement when attorneys
appearing and practicing before the
Commission become aware of evidence
of a material violation by the issuer or
any officer, director, employee, or agent
of the issuer. An issuer may choose to
establish a qualified legal compliance
committee (‘‘QLCC’’) as an alternative
procedure for reporting evidence of a
material violation. In the rare cases in
which a majority of a QLCC has
concluded that an issuer did not act
appropriately, the information may be
communicated to the Commission. The
collection of information is, therefore,
an important component of the
Commission’s program to discourage
violations of the federal securities laws
and promote ethical behavior of
attorneys appearing and practicing
before the Commission.
This information collection
requirement was previously approved
by OMB, but the approval expired on
November 30, 2021. Accordingly, the
Commission will request a
reinstatement without change of OMB’s
approval.
The respondents to this collection of
information are attorneys who appear
and practice before the Commission
and, in certain cases, the issuer, and/or
officers, directors and committees of the
issuer. We believe that, in providing
quality representation to issuers,
attorneys report evidence of violations
to others within the issuer, including
the Chief Legal Officer, the Chief
Executive Officer, and, where necessary,
the directors. In addition, officers and
directors investigate evidence of
violations and report within the issuer
the results of the investigation and the
remedial steps they have taken or
sanctions they have imposed. Except as
discussed below, we therefore believe
that the reporting requirements imposed
by the rule are ‘‘usual and customary’’
activities that do not add to the burden
that would be imposed by the collection
of information.
Certain aspects of the collection of
information, however, may impose a

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burden. For an issuer to establish a
QLCC, the QLCC must adopt written
procedures for the confidential receipt,
retention, and consideration of any
report of evidence of a material
violation. We estimate for purposes of
the PRA that there are approximately
11,484 issuers that are subject to the
rules.1 Of these, we estimate that
approximately 346, which is
approximately 3 percent, have
established or will establish a QLCC.2
Establishing the written procedures
required by the rule should not impose
a significant burden. We assume that an
issuer would incur a greater burden in
the year that it first establishes the
procedures than in subsequent years, in
which the burden would be incurred in
updating, reviewing, or modifying the
procedures. For purposes of the PRA,
we assume that an issuer would spend
6 hours every three-year period on the
procedures. This would result in an
average burden of 2 hours per year.
Thus, we estimate for purposes of the
PRA that the total annual burden
imposed by the collection of
information would be 692 hours.
Assuming half of the burden hours will
be incurred by outside counsel at a rate
of $700 per hour, the resulting cost
would be $242,200.
The estimate of average burden hours
is made solely for the purposes of the
Paperwork Reduction Act, and is not
derived from a comprehensive or even
a representative survey or study. An
agency may not conduct or sponsor, and
a person is not required to respond to,
a collection of information unless it
displays a currently valid OMB control
number.
An agency may not conduct or
sponsor, and a person is not required to
respond to, a collection of information
unless it displays a currently valid OMB
Control Number.
Written comments are invited on: (a)
whether this collection of information is
necessary for the proper performance of
the functions of the agency, including
whether the information will have
practical utility; (b) the accuracy of the
agency’s estimate of the burden imposed
by the collection of information; (c)
ways to enhance the quality, utility, and
clarity of the information collected; and
(d) ways to minimize the burden of the
1 This figure is based on the estimated 8,230
operating companies that filed annual reports on
Form 10–K, Form 20–F, or Form 40–F during the
2023 calendar year, and the estimated 3,254
investment companies that filed periodic reports on
Form N–CEN during that same period.
2 This estimate is based on issuer-filings made
with the Commission between January 1, 2021, and
September 30, 2024, that include a reference to the
issuer’s QLCC.

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Federal Register / Vol. 90, No. 38 / Thursday, February 27, 2025 / Notices

collection of information on
respondents, including through the use
of automated collection techniques or
other forms of information technology.
The public may view and comment
on this information collection request
at: https://www.reginfo.gov/public/do/
PRAViewICR?ref_nbr=202410-3235-012
or send an email comment to
MBX.OMB.OIRA.SEC_desk_officer@
omb.eop.gov within 30 days of the day
after publication of this notice by March
31, 2025.
Dated: February 21, 2025.
Sherry Haywood,
Assistant Secretary.
[FR Doc. 2025–03135 Filed 2–26–25; 8:45 am]
BILLING CODE 8011–01–P

SECURITIES AND EXCHANGE
COMMISSION
[SEC File No. 270–017, OMB Control No.
3235–0017]

ddrumheller on DSK120RN23PROD with NOTICES1

Submission for OMB Review;
Comment Request; Extension: Rules
6a–1 and 6a–2, Form 1
Upon Written Request, Copies Available
From: Securities and Exchange
Commission, Office of FOIA Services,
100 F Street NE, Washington, DC
20549–2736
Notice is hereby given that pursuant
to the Paperwork Reduction Act of 1995
(‘‘PRA’’) (44 U.S.C. 3501 et seq.), the
Securities and Exchange Commission
(‘‘Commission’’) has submitted to the
Office of Management and Budget
(‘‘OMB’’) a request for approval of
extension of the previously approved
collection of information provided for in
Rule 6a–1 (17 CFR 240.6a–1), Rule 6a–
2 (17 CFR 240.6a–2), and Form 1 (17
CFR 249.1) under the Securities
Exchange Act of 1934 (‘‘Exchange Act’’)
(15 U.S.C. 78a et seq.).
The Exchange Act sets forth a
regulatory scheme for national securities
exchanges. Rule 6a–1 under the
Exchange Act generally requires an
applicant for initial registration as a
national securities exchange to file an
application with the Commission on
Form 1. An exchange that seeks an
exemption from registration based on
limited trading volume also must apply
for such exemption on Form 1. Rule 6a–
2 under the Exchange Act requires
registered and exempt exchanges: (1) to
amend the Form 1 if there are any
material changes to the information
provided in the initial Form 1; and (2)
to submit periodic updates of certain
information provided in the initial Form
1, whether such information has
changed or not. The information

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required pursuant to Rules 6a–1 and 6a–
2 is necessary to enable the Commission
to maintain accurate files regarding the
exchange and to exercise its statutory
oversight functions. Without the
information submitted pursuant to Rule
6a–1 on Form 1, the Commission would
not be able to determine whether the
respondent has met the criteria for
registration (or an exemption from
registration) set forth in Section 6 of the
Exchange Act. The amendments and
periodic updates of information
submitted pursuant to Rule 6a–2 are
necessary to assist the Commission in
determining whether a national
securities exchange or exempt exchange
is continuing to operate in compliance
with the Exchange Act.
Initial filings on Form 1 by
prospective exchanges are made on a
one-time basis. The Commission
estimates that it will receive
approximately one initial Form 1 filing
per year and that each respondent
would incur an average burden of 880
hours to file an initial Form 1.
Therefore, the Commission estimates
that the annual burden for all
respondents to file the initial Form 1
would be 880 hours (one response/
respondent × one respondent × 880
hours/response).
There currently are 26 entities
registered as national securities
exchanges. The Commission estimates
that each registered or exempt exchange
files eleven amendments or periodic
updates to Form 1 per year, incurring an
average burden of 25 hours per
amendment to comply with Rule 6a–2.
The Commission estimates that the
annual burden for all respondents to file
amendments and periodic updates to
the Form 1 pursuant to Rule 6a–2 would
be 7,150 hours (26 respondents × 25
hours/response × 11 responses/
respondent per year).
The total estimated annual time
burden associated with Rules 6a–1 and
6a–2 is thus approximately 8,030 hours
(880 + 7,150).
An agency may not conduct or
sponsor, and a person is not required to
respond to, a collection of information
under the PRA unless it displays a
currently valid OMB control number.
The public may view and comment
on this information collection request
at: https://www.reginfo.gov/public/do/
PRAViewICR?ref_nbr=202407-3235-025
or send an email comment to
MBX.OMB.OIRA.SEC_desk_officer@
omb.eop.gov within 30 days of the day
after publication of this notice by March
31, 2025.

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Dated: February 21, 2025.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025–03140 Filed 2–26–25; 8:45 am]
BILLING CODE 8011–01–P

SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–102471; File No. SR–
NYSEARCA–2025–14]

Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Modify the NYSE Arca
Options Fee Schedule
February 21, 2025.

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 February
14, 2025, NYSE Arca, Inc. (‘‘NYSE
Arca’’ or ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Item I below,
which Item has been substantially
prepared by the Exchange. The
Exchange has designated this proposal
for immediate effectiveness pursuant to
Section 19(b)(3)(A) of the Act 3 and Rule
19b–4(f) thereunder.4 The Commission
is publishing this notice to solicit
comments on the proposed rule change
from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to modify the
NYSE Arca Options Fee Schedule (‘‘Fee
Schedule’’) to modify certain
qualification bases applicable to the
Customer Penny Posting Credit Tiers,
Customer Posting Credit Tiers in NonPenny Issues, and Customer Incentive
Program to reduce the requisite average
daily volume (‘‘ADV’’) and exclude subdollar securities from such calculation.
The Exchange proposes to implement
the fee change effective February 14,
2025.5
1 15

U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A).
4 17 CFR 240.19b–4(f). At any time within 60 days
of the filing of the proposed rule change, the
Commission summarily may temporarily suspend
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 Act.
If the Commission takes such action, the
Commission will institute proceedings to determine
whether the proposed rule change should be
approved or disapproved.
5 On February 3, 2025, the Exchange filed to
amend the Fee Schedule (NYSEARCA–2025–11)
and withdrew such filing on February 14, 2025.
2 17

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