60 Day Notice

Federal Register / Vol. 88, No. 177 / Thursday, September 14, 2023 / Notices
SECURITIES AND EXCHANGE
COMMISSION
[SEC File No. 270–381, OMB Control No.
3235–0434]

lotter on DSK11XQN23PROD with NOTICES1

Proposed Collection; Comment
Request; Extension: Rule 15g–2
Upon Written Request, Copies Available
From: U.S. 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.) (‘‘PRA’’), the
Securities and Exchange Commission
(‘‘Commission’’) is soliciting comments
on the collection of information
provided for in Rule 15g–2 (17 CFR
240.15g–2) under the Securities
Exchange Act of 1934 (15 U.S.C. 78a et
seq.) (‘‘Exchange Act’’). The
Commission plans to submit this
existing collection of information to the
Office of Management and Budget
(‘‘OMB’’) for extension and approval.
Rule 15g–2 (The ‘‘Penny Stock
Disclosure Rule’’) requires brokerdealers to provide their customers with
a risk disclosure document, as set forth
in Schedule 15G, prior to their first nonexempt transaction in a ‘‘penny stock.’’
As amended, the rule requires brokerdealers to obtain written
acknowledgement from the customer
that he or she has received the required
risk disclosure document. The amended
rule also requires broker-dealers to
maintain a copy of the customer’s
written acknowledgement for at least
three years following the date on which
the risk disclosure document was
provided to the customer, the first two
years in an accessible place. Rule 15g–
2 also requires a broker-dealer, upon
request of a customer, to furnish the
customer with a copy of certain
information set forth on the
Commission’s website.
The risk disclosure documents are for
the benefit of the customers, to assure
that they are aware of the risks of
trading in ‘‘penny stocks’’ before they
enter into a transaction. The risk
disclosure documents are maintained by
the broker-dealers and may be reviewed
during the course of an examination by
the Commission.
The Commission estimates that
approximately 175 broker-dealers are
engaged in penny stock transactions and
that each of these firms processes an
average of three new customers for
penny stocks per week. The
Commission further estimates that half
of the broker-dealers send the penny
stock disclosure documents by mail,

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and the other half send them through
electronic means such as email. Because
the Commission estimates the copying
and mailing of the penny stock
disclosure document takes two minutes,
this means that there is an annual
burden of 27,456 minutes, or 457 hours,
for this third-party disclosure burden of
mailing documents. Additionally,
because the Commission estimates that
sending the penny stock disclosure
document electronically takes one
minute, the annual burden is 13,728
minutes, or 229 hours, for this thirdparty disclosure burden of emailing
documents.
Broker-dealers also incur a
recordkeeping burden of approximately
two minutes per response when filing
the completed penny stock disclosure
documents as required pursuant to the
Rule 15g–2(c), which means that the
respondents incur an aggregate
recordkeeping burden of 54,600
minutes, or 910 hours.
Furthermore, Rule 15g–2(d) requires a
broker-dealer, upon request of a
customer, to furnish the customer with
a copy of certain information set forth
on the Commission’s website, which
takes a respondent no more than two
minutes per customer. Because the
Commission estimates that a quarter of
customers who are required to receive
the Rule 15g–2 disclosure document
will request that their broker-dealer
provide them with the additional
microcap and penny stock information
posted on the Commission’s website,
the Commission therefore estimates that
each broker-dealer respondent processes
approximately 39 requests for paper
copies of this information per year or an
aggregate total of 78 minutes per
respondent, which amounts to an
annual burden of 13,650 minutes, or 228
hours. There was an overall decrease in
the total burden hours because the
number of registered broker-dealers the
Commission estimates will be engaged
in penny stock transactions decreased
from 182 to 175.
The Commission does not maintain
the risk disclosure document. Instead, it
must be retained by the broker-dealer
for at least three years following the date
on which the risk disclosure document
was provided to the customer, the first
two years in an accessible place. The
collection of information required by
the rule is mandatory. The risk
disclosure document is otherwise
governed by the internal policies of the
broker-dealer regarding confidentiality,
etc.
Written comments are invited on: (a)
whether the proposed collection of
information is necessary for the proper
performance of the functions of the

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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 by
November 13, 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 OMB
control number.
Please direct your written comments
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].
Dated: September 8, 2023.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023–19853 Filed 9–13–23; 8:45 am]
BILLING CODE 8011–01–P

SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–98331; File No. 4–809]

Notice of Filing and Request for
Comment on ICE Clear Europe
Limited’s Request To Withdraw From
Registration as a Clearing Agency
September 8, 2023.

I. Introduction
Pursuant to section 19(a)(3) of the
Securities Exchange Act of 1934
(‘‘Exchange Act’’ or ‘‘Act’’),1 on August
10, 2023, ICE Clear Europe Limited
(‘‘ICE Clear Europe’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) a written request (the
‘‘Written Request’’) 2 to withdraw from
registration as a clearing agency under
section 17A of the Exchange Act.3 The
Commission is publishing this notice to
solicit comments from interested
persons concerning ICE Clear Europe’s
Written Request.
1 15

U.S.C. 78s(a)(3).
Letter from Hester Serafini, President,
ICEEU, to Vanessa Countryman, Secretary,
Securities and Exchange Commission (dated August
10 2023).
3 15 U.S.C. 78q–1.
2 See

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