[Federal Register: June 22, 2000 (Volume 65, Number 121)]
[Proposed Rules]
[Page 39039]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr22jn00-35]

-----------------------------------------------------------------------

COMMODITY FUTURES TRADING COMMISSION

17 CFR Parts 1, 3, 4, 5, 15, 20, 36, 37, 38, 39, 100, 140, 155,
166, 170, and 180


A New Regulatory Framework for Multilateral Transaction Execution
Facilities, Intermediaries and Clearing Organizations

AGENCY: Commodity Futures Trading Commission.

ACTION: Notice of public meetings.

-----------------------------------------------------------------------

SUMMARY: Notice is hereby given that the Commodity Futures Trading
Commission (``Commission'') will convene two public meetings at which
interested members of the public may appear before it to give oral and
written statements relating to the Commission's consideration of a new
regulatory framework for multilateral transaction execution facilities,
intermediaries and clearing organizations.

DATES: Tuesday, June 27, 2000, 10:00 a.m.-4:00 p.m. (multilateral
transaction execution facilities); Wednesday, June 28, 2000, 10:00
a.m.-4:00 p.m. (intermediaries and clearing organizations).

Place: 1155 21st St., N.W., Washington, D.C. Lobby Level Hearing Room
located at Room 1000. Status: Open.

ADDRESSES: Requests to appear and statements of interest should be
mailed to the Commodity Futures Trading Commission, Three Lafayette
Centre, 1155 21st Street, N.W., Washington, D.C. 20581, attention
Office of the Secretariat; transmitted by facsimile at (202) 418-5521;
or transmitted electronically to [secretary@cftc.gov]. Reference should
be made to ``Regulatory Reinvention Meetings.''

FOR FURTHER INFORMATION CONTACT: Paul M. Architzel, Chief Counsel, or
Nancy E. Yanofsky, Assistant Chief Counsel, Division of Economic
Analysis, Commodity Futures Trading Commission, Three Lafayette Centre,
1155 21st Street, N.W., Washington, D.C. 20581, (202) 418-5260, or
electronically, [PArchitzel@cftc.gov] or [NYanofsky@cftc.gov].

SUPPLEMENTARY INFORMATION: In separate Federal Register releases
published today, the Commission has proposed a new regulatory framework
to apply to multilateral transaction execution facilities that trade
derivatives, market intermediaries and clearing organizations. As
explained in those Federal Register releases, the proposed framework
contemplates far reaching and fundamental changes to modernize Federal
regulation of the commodity futures and options markets.
    The Commission is of the view that, in addition to the receipt of
written comments, an opportunity for interested members of the public
to appear before it will assist it in its consideration of the issues
raised in the Federal Register releases and is in the public interest.
Accordingly, the Commission will convene two public meetings, one on
Tuesday, June 27, 2000 from 10:00 a.m. to 4:00 p.m. relating to the
proposed framework as it applies to multilateral transaction execution
facilities and one on Wednesday, June 28, 2000 from 10:00 a.m. to 4:00
p.m. relating to the proposed framework as it applies to market
intermediaries and clearing organizations.
    All individuals or organizations wishing to appear before the
Commission should submit to the Commission at the above address, by
June 23, 2000, a request to appear at either or both of the meetings, a
concise statement of interest and qualifications as they relate to the
particular meeting(s) and a brief summary or abstract of the content of
his or her statement(s). The Commission will invite a representative
number of individuals or organizations to appear at each meeting from
those submitting such statements. A transcription of the meetings will
be made and entered into the Commission's public comment files, which
will remain open for the receipt of written comment until August 7,
2000.

    Issued in Washington, D.C., this 8th day of June 2000.
    By the Commodity Futures Trading Commission.
Jean A. Webb,
Secretary of the Commission.

Concurring Statement of Commissioner Thomas J. Erickson

    I concur with the Commission's publication of this Notice of
Public Hearing as well as with the simultaneous publication of the
related proposed rulemakings entitled (1) Exemption for Bilateral
Transactions; (2) A New Regulatory Framework for Multilateral
Transaction Execution Facilities, Intermediaries and Clearing
Organizations; (3) A New Regulatory Framework for Clearing
Organizations; and (4) Rules Relating to Intermediaries of Commodity
Interest Transactions.
    Global derivatives markets are changing at a dramatic pace.
Today's Federal Register releases represent an equally dramatic
effort by Commission staff to modernize our regulatory scheme by
accommodating new technologies and providing exchanges with some
measure of regulatory relief. Accordingly, I agree with the
publication of this and each related release and am hopeful that
they will stir considerable thought and comment. With this
concurrence--and in addition to the specific requests for comment in
the proposed rules--I invite comment on certain aspects of this plan
about which I have reservations. Specifically:
     Does the plan promote legal certainty for transactions
by providing a regime that is based upon the voluntary submission of
certain derivatives markets to Commission regulation?
     Are there enforceability and/or compliance concerns
associated with a regulatory regime based on ``broad performance
standards'' incorporated as core principles?
     Does the plan take adequate account of the public's
interest in the Commission's ability to:
     Deter and detect fraud and manipulation?
     Deter and detect abusive trading practices?
     Ensure the financial integrity of industry
participants?
    I look forward to receiving comment and testimony that touch
upon a full range of issues in addition to those few I have
mentioned in this concurrence.

    Dated: June 6, 2000.
Thomas J. Erickson,
Commissioner.
[FR Doc. 00-14918 Filed 6-21-00; 8:45 am]
BILLING CODE 6351-01-U


======== RETURN TO INDEX ========