Rule 147(f)(1)(iii) 60-Day Notice

18358

Federal Register / Vol. 88, No. 59 / Tuesday, March 28, 2023 / Notices

contributes to minimizing conflicts of
interest in the decision-making process
of CFE and to the preservation of the
independence of the Exchange’s
Regulatory Group as it performs
regulatory functions for the Exchange.
The Exchange believes that the
proposed rule change is equitable and
not unfairly discriminatory in that the
Regulatory Independence Policies apply
equally in relation to all CFE Trading
Privilege Holders.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
CFE does not believe that the
proposed rule change will impose any
burden on competition not necessary or
appropriate in furtherance of the
purposes of the Act, in that the
proposed rule change contributes to
CFE’s ability to carry out its
responsibilities as a self-regulatory
organization. The Exchange believes
that the proposed rule change will not
impose any undue burden on
competition because the Regulatory
Independence Policies apply equally in
relation to all CFE Trading Privilege
Holders.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were solicited
or received with respect to the proposed
rule change.

lotter on DSK11XQN23PROD with NOTICES1

III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The proposed rule change will
become operative on March 24, 2023. At
any time within 60 days of the date of
effectiveness of the proposed rule
change, the Commission, after
consultation with the CFTC, may
summarily abrogate the proposed rule
change and require that the proposed
rule change be refiled in accordance
with the provisions of Section 19(b)(1)
of the Act.6
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:

• Send an email to rule-comments@
sec.gov. Please include File Number SR–
CFE–2023–001 on the subject line.
Paper Comments

[SEC File No. 270–805, OMB Control No.
3235–0756]

• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE,
Washington, DC 20549–1090.

Proposed Collection; Comment
Request; Extension: Rule 147(f)(1)(iii)
Written Representation as to
Purchaser Residency

All submissions should refer to File
Number SR–CFE–2023–001. This file
number should be included on the
subject line if email is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
internet website (http://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for website viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE,
Washington, DC 20549, on official
business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of the
filing also will be available for
inspection and copying at the principal
office of the Exchange. All comments
received will be posted without change.
Persons submitting comments are
cautioned that we do not redact or edit
personal identifying information from
comment submissions. You should
submit only information that you wish
to make available publicly. All
submissions should refer to File
Number SR–CFE–2023–001, and should
be submitted on or before April 18,
2023.

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
(44 U.S.C. 3501 et seq.), the Securities
and Exchange Commission
(‘‘Commission’’) is soliciting comments
on the collection of information
summarized below. The Commission
plans to submit this existing collection
of information to the Office of
Management and Budget for extension
and approval.
Rule 147 is a safe harbor under the
Securities Act Section 3(a)(11)(15 U.S.C.
77c(a)(11)) exemption from registration.
To qualify for the safe harbor, Rule
147(f)(1)(iii) (17 CFR 230.147) will
require the issuer to obtain from the
purchaser a written representation as to
the purchaser’s residency. Under Rule
147, the purchaser in the offering must
be a resident of the same state or
territory in which the issuer is a
resident. While the formal
representation of residency by itself is
not sufficient to establish a reasonable
belief that such purchasers are in-state
residents, the representation
requirement, together with the
reasonable belief standard, may result in
better compliance with the rule and
maintaining appropriate investor
protections. The representation of
residency is not provided to the
Commission. Approximately 700
respondents provide the information
required by Rule 147(f)(1)(iii) at an
estimated 2.75 hours per response for a
total annual reporting burden of 1,925
hours (2.75 hours × 700 responses).
Written comments are invited on: (a)
whether this proposed 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 collection of
information on respondents, including
through the use of automated collection

For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.7
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023–06321 Filed 3–27–23; 8:45 am]
BILLING CODE 8011–01–P

Electronic Comments
• Use the Commission’s internet
comment form (http://www.sec.gov/
rules/sro.shtml); or
6 15

U.S.C. 78s(b)(1).

VerDate Sep<11>2014

16:59 Mar 27, 2023

7 17

Jkt 259001

SECURITIES AND EXCHANGE
COMMISSION

PO 00000

CFR 200.30–3(a)(73).

Frm 00067

Fmt 4703

Sfmt 4703

E:\FR\FM\28MRN1.SGM

28MRN1

18359

Federal Register / Vol. 88, No. 59 / Tuesday, March 28, 2023 / Notices
techniques or other forms of information
technology. Consideration will be given
to comments and suggestions submitted
in writing within 60 days of this
publication by May 30, 2023.
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
control number.
Please direct your written comment to
David Bottom, Director/Chief
Information Officer, Securities and
Exchange Commission, c/o John
Pezzullo, 100 F Street NE, Washington,
DC 20549 or send an email to: PRA_
[email protected].

I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
FINRA is proposing to amend FINRA
Rule 1240.01 (Eligibility of Other
Persons to Participate in the Continuing
Education Program Specified in
Paragraph (c) of this Rule) to provide
eligible individuals another opportunity
to elect to participate in the Maintaining
Qualifications Program (‘‘MQP’’).
Below is the text of the proposed rule
change. Proposed new language is
italicized; proposed deletions are in
brackets.
*
*
*
*
*

Dated: March 23, 2023.
J. Matthew DeLesDernier,
Deputy Secretary.

*

[FR Doc. 2023–06411 Filed 3–27–23; 8:45 am]
BILLING CODE 8011–01–P

SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–97184; File No. SR–FINRA–
2023–005]

Self-Regulatory Organizations;
Financial Industry Regulatory
Authority, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Amend FINRA Rule
1240.01 To Provide Eligible Individuals
Another Opportunity To Elect To
Participate in the Maintaining
Qualifications Program

lotter on DSK11XQN23PROD with NOTICES1

March 22, 2023.

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 March 14,
2023, the Financial Industry Regulatory
Authority, Inc. (‘‘FINRA’’) filed with the
Securities and Exchange Commission
(‘‘SEC’’ or ‘‘Commission’’) the proposed
rule change as described in Items I and
II below, which Items have been
prepared by FINRA. FINRA has
designated the proposed rule change as
constituting a ‘‘non-controversial’’ rule
change under paragraph (f)(6) of Rule
19b–4 under the Act,3 which renders
the proposal effective upon receipt of
this filing by the Commission. The
Commission is publishing this notice to
solicit comments on the proposed rule
change from interested persons.
1 15

U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 17 CFR 240.19b–4(f)(6).
2 17

VerDate Sep<11>2014

16:59 Mar 27, 2023

Jkt 259001

1200. REGISTRATION AND
QUALIFICATION

*

*

*

*

1240. Continuing Education
This Rule prescribes requirements
regarding the continuing education of
registered persons. The requirements shall
consist of a Regulatory Element and a Firm
Element as set forth below. This Rule also
sets forth continuing education programs
through which specified persons may
maintain their qualification in a
representative or principal registration
category following the termination of that
registration category.
(a) through (c) No Change.
• • • Supplementary Material: -------------.01 Eligibility of Other Persons to
Participate in the Continuing Education
Program Specified in Paragraph (c) of this
Rule. A person registered in a representative
or principal registration category with FINRA
within two years immediately preceding
March 15, 2022 shall be eligible to participate
in the continuing education program under
paragraph (c) of this Rule, provided that he
or she satisfies the conditions set forth in
paragraphs (c)(1) and (c)(3) through (c)(6) of
this Rule. In addition, a person participating
in the Financial Services Affiliate Waiver
Program under Rule 1210.09 immediately
preceding March 15, 2022 shall be eligible to
participate in the continuing education
program under paragraph (c) of this Rule,
provided that he or she satisfies the
conditions set forth in paragraphs (c)(3),
(c)(5) and (c)(6) of this Rule. Persons eligible
under this Supplementary Material .01 shall
make their election to participate in the
continuing education program under
paragraph (c) of this Rule either (1) between
January 31, 2022, and March 15, 2022; or (2)
between March 15, 2023, and December 31,
2023 [by March 15, 2022]. If such persons
elect to participate in the continuing
education program, their participation period
shall also be for a period of five years
following the termination of their registration
categories, as with other participants under
paragraph (c) of this Rule [FINRA shall
adjust their participation period by deducting
from that period the amount of time that has
lapsed between the date that such persons
terminated their registration categories and
March 15, 2022]. In addition, eligible persons

PO 00000

Frm 00068

Fmt 4703

Sfmt 4703

who elect to participate in the continuing
education program between March 15, 2023,
and December 31, 2023, must complete any
prescribed 2022 and 2023 continuing
education content by March 31, 2024.
.02 No Change.

*

*

*

*

*

II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission,
FINRA included statements concerning
the purpose of and basis for the
proposed rule change and discussed any
comments it received on the proposed
rule change. The text of these statements
may be examined at the places specified
in Item IV below. FINRA has prepared
summaries, set forth in sections A, B,
and C below, of the most significant
aspects of such statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
On September 21, 2021, the
Commission approved a proposed rule
change to amend FINRA Rules 1210
(Registration Requirements) and 1240
(Continuing Education Requirements)
to, among other things, provide eligible
individuals who terminate any of their
representative or principal registration
categories the option of maintaining
their qualification for any terminated
registration categories by completing
annual continuing education through a
new program, the MQP.4
Prior to the MQP, individuals whose
registrations as representatives or
principals had been terminated for two
or more years could reregister as
representatives or principals only if they
requalified by retaking and passing the
applicable representative- or principallevel examination or if they obtained a
waiver of such examination(s) (the
‘‘two-year qualification period’’). The
MQP provides these individuals an
alternative means of staying current on
their regulatory and securities
knowledge following the termination of
a registration.5 Specifically, the MQP
4 See Securities Exchange Act Release No. 93097
(September 21, 2021), 86 FR 53358 (September 27,
2021) (Order Approving File No. SR–FINRA–2021–
015).
5 The MQP does not eliminate the two-year
qualification period. Thus, eligible individuals who
elect not to participate in the MQP can continue to
avail themselves of the two-year qualification
period (i.e., they can reregister within two years of
terminating a registration category without having
to requalify by examination or having to obtain an
examination waiver).

E:\FR\FM\28MRN1.SGM

28MRN1