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OGC-00-66 1 (2000-09-19)

handle is hein.gao/gaobabmdx0001 and id is 1 raw text is: 



~GAO                         __            _        _        _        __


United States General Accounting Office                       Office of the General Counsel
Washington, DC 20548

          B-286222



          September 19, 2000

          The Honorable Phil Gramm
          Chairman
          The Honorable Paul S. Sarbanes
          Ranking Minority Member
          Committee on Banking, Housing, and Urban Affairs
          United States Senate

          The Honorable Thomas J. Bliley, Jr.
          Chairman
          The Honorable John D. Dingell
          Ranking Minority Member
          Committee on Commerce
          House of Representatives

          Subject: Securities and Exchange Commission: Unlisted Trading Privileges

          Pursuant to section 801(a)(2)(A) of title 5, United States Code, this is our report on a
          major rule promulgated by the Securities and Exchange Commission (SEC), entitled
          Unlisted Trading Privileges (RIN: 3235-AH85). We received the rule on August 30,
          2000. It was published in the Federal Register as a final rule on September 5, 2000.
          65 Fed. Reg. 53560.

          Under the final rule, a national securities exchange extending unlisted trading
          privileges (UTP) to an initial public offering (IPO) listed on another exchange will no
          longer be required to wait until the day after trading has commenced on the listing
          exchange to allow trading in that security. Instead, a national securities exchange
          will be permitted to begin trading an IPO issue immediately after the first trade in the
          security is reported to the Consolidated Tape.

          Enclosed is our assessment of the SEC's compliance with the procedural steps
          required by section 801(a)(1)(B)(i) through (iv) of title 5 with respect to the rule.
          Our review indicates that the SEC complied with the applicable requirements.

          If you have any questions about this report, please contact James W. Vickers,
          Assistant General Counsel, at (202) 512-8210. The official responsible for GAO
          evaluation work relating to the subject matter of the rule is Thomas McCool,


GAO/OGC-00-66

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