[Federal Register: September 17, 1998 (Volume 63, Number 180)]
[Proposed Rules]
[Page 49681-49682]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]



17 CFR Parts 34 and 35

Concept Release Concerning Over-the-Counter Derivatives

AGENCY: Commodity Futures Trading Commission.

ACTION: Extension of comment period on Concept Release.


SUPPLEMENTARY INFORMATION: The Commodity Futures Trading Commission
(Commission) issued a Concept Release concerning over-the-counter
derivatives on May 12, 1998 (63 FR 26114). Comments on the Concept
Release were originally due on July 13, 1998, but the Commission
extended the deadline until September 11, 1998 in response to a request
for an extension from the Chicago Mercantile Exchange, the Futures
Industry Association, and the Managed Futures Association. See 63 FR
34335 (June 24, 1998). In response to a new request by the Futures
Industry Association, the Commission has determined to extend the
comment period for an additional 30 days. The extended deadline for
comments on the Concept Release is October 13, 1998.
    Any person interested in submitting comments on the Concept Release
should submit them by the specified date to Jean A. Webb, Secretary,
Commodity Futures Trading Commission, Three Lafayette Centre, 1155 21st
Street, NW., Washington DC 20581. In addition, comments may be sent by
facsimile transmission to facsimile number (202) 418-5521, or by
electronic mail to secretary@cftc.gov.

DATES: Comments must be received on or before October 13, 1998.

John Lawton, Associate Director, Division of Trading and Markets,
Commodity Futures Trading Commission, Three Lafayette Centre, 1155 21st
Street, NW., Washington DC 20581. Telephone (202) 418-5430.

    Issued in Washington, DC, on September 11, 1998 by the Commodity
Futures Trading Commission.
Jean Webb,
Secretary of the Commission.

Remarks of Commissioner Barbara Pedersen Holum

Concurring in Part and Dissenting in Part

Federal Register Release Extending the Comment Period on the Concept
Release Concerning Over-the-Counter Derivatives

    I concur in the Commission decision to extend the comment period
on the OTC Derivatives Concept Release, but dissent from the short
30-day extension in favor of a 384-day extension to September 30,
    The Futures Industry Association (FIA) requested a 30-day
extension of the comment period. However, John Damgard, President of
FIA, was very supportive of the proposed 384-day extension for the
comment period.
    Extension of the subject comment period for 384 days could
effectively preserve the status quo and, therefore, provide the
standstill sought by the Congress and the industry until the comment
period closes. The proposed comment period and 384 days would
terminate on September 30, 1999, in

[[Page 49682]]

conformity with standstill legislation proposed by House Agriculture
Committee Chairman Smith. This seriatim action will most likely be
the final opportunity for the Commission to achieve a regulatory
moratorium, in light of the Chairperson's refusal to provide the
Commission with an opportunity to vote on this important public
policy issue.
    Extension of the comment period for a longer period is necessary
to avoid the need for emergency legislation and to reassure the
markets that the legal status of swap and hybrid transactions will
not change without Congressional action.

    Dated: September 11, 1998.
Barbara Pedersen Holum,

[FR Doc. 98-24890 Filed 9-16-98; 8:45 am]

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