Notice2021-23159
Proposed Collection; Comment Request
Primary source
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Published
October 25, 2021
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 86 Issue 203 (Monday, October 25, 2021)</title>
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[Federal Register Volume 86, Number 203 (Monday, October 25, 2021)]
[Notices]
[Page 58969]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-23159]
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SECURITIES AND EXCHANGE COMMISSION
Proposed Collection; Comment Request
Upon Written Request, Copies Available From: Securities and Exchange
Commission, Office of FOIA Services, 100 F Street NE, Washington, DC
20549-2736
Extension:
Regulation R, Rule 701; SEC File No. 270-562, OMB Control No.
3235-0624
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'') is soliciting comments on the
existing collection of information provided for in Regulation R, Rule
701 (17 CFR 247.701) under the Securities Exchange Act of 1934 (15
U.S.C. 78a et seq.). The Commission plans to submit this existing
collection of information to the Office of Management and Budget
(``OMB'') for extension and approval.
Regulation R, Rule 701 requires a broker or dealer (as part of a
written agreement between the bank and the broker or dealer) to notify
the bank if the broker or dealer makes certain determinations regarding
the financial status of the customer, a bank employee's statutory
disqualification status, and compliance with suitability or
sophistication standards.
The Commission estimates there are 3,560 registered brokers or
dealers that would, on average, notify 1,000 banks approximately two
times annually about a determination regarding a customer's high net
worth or institutional status or suitability or sophistication standing
as well as a bank employee's statutory disqualification status. Based
on these estimates, the Commission anticipates that Regulation R, Rule
701 would result in brokers or dealers making approximately 2,000
notifications to banks per year. The Commission further estimates
(based on the level of difficulty and complexity of the applicable
activities) that a broker or dealer would spend approximately 15
minutes per notice to a bank. Therefore, the estimated total annual
third party disclosure burden for the requirements in Regulation R,
Rule 701 is 500 \1\ hours for brokers or dealers.
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\1\ 1,000 banks x 2 notices = 2,000 notices; (2,000 notices x 15
minutes) = 30,000 minutes/60 minutes = 500 hours.
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Written comments are invited on: (a) Whether the proposed
collection of information is necessary for the proper performance of
the functions of the Commission, including whether the information
shall have practical utility; (b) the accuracy of the Commission's
estimates of the burden of the proposed 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 collection of
information on respondents, including through the use of automated
collection techniques or other forms of information technology.
Consideration will be given to comments and suggestions submitted in
writing within 60 days of this publication.
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.
Please direct your written comments to: David Bottom, Director/
Chief Information Officer, Securities and Exchange Commission, c/o
Cynthia Roscoe, 100 F Street NE, Washington, DC 20549, or send an email
to: <a href="/cdn-cgi/l/email-protection#8adad8cbd5c7ebe3e6e8e5f2caf9efe9a4ede5fc"><span class="__cf_email__" data-cfemail="e7b7b5a6b8aa868e8b85889fa7948284c9808891">[email protected]</span></a>.
Dated: October 19, 2021.
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021-23159 Filed 10-22-21; 8:45 am]
BILLING CODE 8011-01-P
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