[Federal Register Volume 88, Number 179 (Monday, September 18, 2023)]
[Pages 63940-63941]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-20132]



Agency Information Collection Activities Under OMB Review

AGENCY: Commodity Futures Trading Commission.

ACTION: Notice.


SUMMARY: In compliance with the Paperwork Reduction Act of 1995 
(``PRA''), this notice announces that the Information Collection 
Request (``ICR'') abstracted below has been forwarded to the Office of 
Information and Regulatory Affairs (``OIRA''), of the Office of 
Management and Budget (``OMB''), for review and comment. The ICR 
describes the nature of the information collection and its expected 
costs and burden.

DATES: Comments must be submitted on or before October 18, 2023.

ADDRESSES: Written comments and recommendations for the proposed 
information collection should be submitted within 30 days of this 
notice's publication to OIRA, at https://www.reginfo.gov/public/do/PRAMain. Please find this particular information collection by 
selecting ``Currently under 30-day Review--Open for Public Comments'' 
or by using the website's search function. Comments can be entered 
electronically by clicking on the ``comment'' button next to the 
information collection on the ``OIRA Information Collections Under 
Review'' page, or the ``View ICR--Agency

[[Page 63941]]

Submission'' page. A copy of the supporting statement for the 
collection of information discussed herein may be obtained by visiting 
    In addition to the submission of comments to https://Reginfo.gov as 
indicated above, you may also submit a copy of all comments submitted 
to OIRA to the Commodity Futures Trading Commission (the ``Commission'' 
or ``CFTC'') through any of the following methods:
     Online: The CFTC Comments Portal, on the agency's website, 
is available at https://comments.cftc.gov. Select the ``Submit 
Comments'' link for this rulemaking and follow the instructions on the 
Public Comment Form.
     Mail: Christopher Kirkpatrick, Secretary of the 
Commission, Commodity Futures Trading Commission, Three Lafayette 
Centre, 1155 21st Street NW, Washington, DC 20581.
     Hand Delivery/Courier: Follow the same instructions as for 
Mail above.
    Please submit your comments using only one of these methods. To 
avoid possible delays with mail or in-person deliveries, submissions 
through the CFTC Comments Portal are encouraged.
    All comments must be submitted in English, or if not, accompanied 
by an English translation. Comments will be posted as received to 
https://www.cftc.gov. You should submit only information that you wish 
to make available publicly. If you wish the Commission to consider 
information that you believe is exempt from disclosure under the 
Freedom of Information Act (``FOIA''), a petition for confidential 
treatment of the exempt information may be submitted according to the 
procedures established in Sec.  145.9 of the Commission's 
regulations.\1\ The Commission reserves the right, but shall have no 
obligation, to review, pre-screen, filter, redact, refuse or remove any 
or all of your submission from https://comments.cftc.gov that it may 
deem to be inappropriate for publication, such as obscene language. All 
submissions that have been redacted or removed that contain comments on 
the merits of the ICR will be retained in the public comment file and 
will be considered as required under the Administrative Procedure Act 
and other applicable laws, and may be accessible under FOIA.

    \1\ 17 CFR 145.9.

FOR FURTHER INFORMATION CONTACT: Dina Moussa, Special Counsel, 202-418-
5696, [email protected], Market Participants Division, Commodity Futures 
Trading Commission, Three Lafayette Centre, 1155 21st Street NW, 
Washington, DC 20581.

    Title: Swap Dealer and Major Swap Participant Conflicts of Interest 
and Business Conduct Standards with Counterparties (OMB Control No. 
3038-0079). This is a request for an extension of a currently approved 
information collection.
    Abstract: Section 731 of Title VII of the Dodd-Frank Wall Street 
Reform and Consumer Protection Act \2\ amended the Commodity Exchange 
Act (``CEA'') to add sections 4s(h) and 4s(j)(5),\3\ which provide the 
Commission with both mandatory and discretionary rulemaking authority 
to impose business conduct requirements on swap dealers (``SDs'') and 
major swap participants (``MSPs'') in their dealings with 
counterparties, including ``Special Entities,'' \4\ and require that 
each SD and MSP implement conflicts of interest systems and procedures. 
Congress granted the Commission broad discretionary authority to 
promulgate business conduct requirements, as appropriate in the public 
interest, for the protection of investors, or otherwise in furtherance 
of the purposes of the CEA.\5\

    \2\ Dodd-Frank Act, Public Law 111-203, 124 Stat. 1376 (2010).
    \3\ 7 U.S.C. 6s(h) and 6s(j)(5).
    \4\ Such entities are generally defined to include Federal 
agencies, States and political subdivisions, employee benefit plans 
as defined under the Employee Retirement Income Security Act of 1974 
(``ERISA''), governmental plans as defined under ERISA, and 
    \5\ See section 4s(h)(3)(D) of the CEA, 7 U.S.C. 6s(h)(3)(D) 
(Business conduct requirements adopted by the Commission shall 
establish such other standards and requirements as the Commission 
may determine are appropriate in the public interest, for the 
protection of investors, or otherwise in furtherance of the purposes 
of the CEA); see also sections 4s(h)(1)(D), 4s(h)(5)(B), and 
4s(h)(6) of the CEA; 7 U.S.C. 6s(h)(1)(D), 6s(h)(5)(B), and 

    Accordingly, the Commission has adopted subpart H of part 23 of its 
regulations (``EBCS Rules'') \6\ and Sec.  23.605,\7\ requiring SDs and 
MSPs to follow specified procedures and to provide specified 
disclosures in their dealings with counterparties, to adopt and 
implement conflicts of interest procedures and disclosures, and to 
maintain specified records related to those requirements.

    \6\ 17 CFR part 23, subpart H. Subpart H of part 23 (titled 
Business Conduct Standards for Swap Dealers and Major Swap 
Participants Dealing with Counterparties, Including Special 
Entities) includes the following provisions: Sec.  23.400 (Scope); 
Sec.  23.401 (Definitions); Sec.  23.402 (General Provisions); Sec.  
23.410 (Prohibition on fraud, manipulation and other abusive 
practices); Sec.  23.430 (Verification of counterparty eligibility); 
Sec.  23.431 (Disclosures of material information); Sec.  23.432 
(Clearing disclosures); Sec.  23.433 (Communications--fair dealing); 
Sec.  23.434 (Recommendations to counterparties--institutional 
suitability; Sec.  23.440 (Requirements for swap dealers acting as 
advisors to Special Entities); Sec.  23.450 (Requirements for swap 
dealers and major swap participants acting counterparties to Special 
Entities); and Sec.  23.451 (Political contributions by certain swap 
    \7\ 17 CFR 23.605. Commission regulation 23.605 is titled 
Conflicts of interest policies and procedures.

    The recordkeeping and third-party disclosure obligations imposed by 
the regulations are essential to ensuring that SDs and MSPs develop and 
maintain procedures and disclosures required by the CEA and Commission 

    \8\ Reporting under Sec.  23.451 (Political contributions by 
certain swap dealers) is optional and it is unknown how many 
registrants, if any, will engage in such reporting and how much 
burden, if any, will be incurred. Nevertheless, the Commission is 
providing an estimate of the regulation's burden for purposes of the 
PRA below.

    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.\9\ On July 6, 2023, the Commission 
published in the Federal Register notice of the proposed extension of 
this information collection and provided 60 days for public comment on 
the proposed extension, 88 FR 43085 (``60-Day Notice''). The Commission 
received no relevant comments on the 60-Day Notice.

    \9\ 44 U.S.C. 3512; 5 CFR 1320.5(b)(2)(i) and 1320.8(b)(3)(vi).

    Burden Statement: The current respondent burden for this collection 
is estimated to be as follows:
    Estimated Number of Respondents: 105.\10\

    \10\ The Commission, at the 60-Day Notice stage, estimated that 
106 respondents were subject to the information collection 
requirements at issue, 88 FR 43085 (Jul. 6, 2023), but has 
subsequently revised its estimate to 105 respondents, based on the 
current number of registered SDs.

    Estimated Average Burden Hours per Respondent: 2,352.9.
    Estimated Total Annual Burden Hours: 247,059.\11\

    \11\ The estimated total annual burden hours, at 247,059 hours, 
is revised from 249,412 hours reported in the 60-Day Notice, based 
on the current number of registered SDs (105 instead of 106).

    Frequency of Collection: Ongoing.
    There are no capital costs or operating and maintenance costs 
associated with this collection.
(Authority: 44 U.S.C. 3501 et seq.)

    Dated: September 13, 2023.
Robert Sidman,
Deputy Secretary of the Commission.
[FR Doc. 2023-20132 Filed 9-15-23; 8:45 am]