WSR 97-08-055
PREPROPOSAL STATEMENT OF INQUIRY
DEPARTMENT OF
FINANCIAL INSTITUTIONS
[Filed April 1, 1997, 8:36 a.m.]
Subject of Possible Rule Making: Broker-dealer practices relating to sales of securities on the premises of financial institutions.
Statutes Authorizing the Agency to Adopt Rules on this Subject: RCW 21.20.450.
Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: To provide guidance to broker-dealers on their responsibilities when they sell securities on the premises of financial institutions. To ensure that customers who purchase securities through broker-dealer on bank premises understand that who they are dealing with and that the products they purchase are not insured.
Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: Federal banking regulators (the Federal Deposit Insurance Corporation, Office of Thrift Supervision, Federal Reserve Board, and Office of the Comptroller of the Currency). In addition, National Association of Securities Dealers-Regulation, a self-regulatory organization for broker-dealers. The rules being considered for adoption are being developed to harmonize with the rules of the other regulators.
Process for Developing New Rule: The rules being considered are uniform rules that are being developed through a national notice and comment process.
Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting Suzanne Sarason, Securities Division, Department of Financial Institutions, P.O. Box 9033, Olympia, WA 98507-9033, voice (360) 902-8760, FAX (360) 586-5068, e-mail ssarason@dfi.wa.gov.
March 27, 1997
John L. Bley
Director