N.Y. Comp. Codes R. & Regs. tit. 20 § 55.2

Current through Register Vol. 46, No. 50, December 11, 2024

Section 55.2 - Registration of a nominee of a system for the central handling of securities

(a) A system for the central handling of securities, as described in paragraph (j) of subdivision 5 of section 270 of the Tax Law, wishing to appoint a nominee to act on its behalf in pursuance of the provisions of such paragraph shall file with the commissioner a written statement setting forth the following:

(1) the name of the system for the central handling of securities;

(2) the name of (i) the national securities exchange or association registered with the Securities and Exchange Commission of the United States by which such system was established, or, (ii) if such system is maintained by a clearing corporation, the name of the clearing corporation by which such system is maintained and a statement showing that such clearing corporation is a clearing corporation as defined in subsection (3) of section 8-102 of the Uniform Commercial Code;

(3) the principal place of business of such system;

(4) the name, residence and business address of the proposed nominee, or in the case of a partnership, of each member thereof;

(5) a statement that such nominee proposes to act as such for purposes of paragraph (j) of subdivision 5 of section 270 of the Tax Law; and

(6) a description of how the system intends to operate, including the type of depositors presently contemplated.

(b)

(1) A person or partnership may act as nominee for the purposes of paragraph (j) of subdivision 5 of section 270 of the Tax Law, notwithstanding the provisions of section 55.1 of this Part and notwithstanding that such person or partnership had previously acted as nominee for the purposes of paragraph (i) of subdivision 5 of section 270 of the Tax Law.

(2) A nominee registered under this section shall act as nominee solely for the purposes of paragraph (j) of subdivision 5 of section 270 of the Tax Law, and for no other purpose.

(c) There shall also be filed a written statement by the nominee containing his name and address, or, in the case of a partnership, of each member thereof. It should also contain a statement that the person or partnership shall act as nominee solely for the purposes of paragraph (j) of subdivision 5 of section 270 of the Tax Law.

(d) If such nominee meets with the approval of the commissioner, the commissioner will issue to the clearing system a certificate of registration. Such certificate shall be kept in the principal place of business of the system to whom it is issued and must be held available for inspection by representatives of the commissioner.

(e) The commissioner shall be notified of any change in the membership of a partnership nominee, giving the name, residence and business address of any new member.

(f) The registration of a nominee by such system shall have the effect of revoking the appointments and registrations of nominees previously filed, pursuant to this section as in effect prior to April 2, 1973, with the commissioner by any broker, bank or trust company which shall become a "depositor" in such system, as defined in paragraph (j) of subdivision 5 of section 270 of the Tax Law.

(g) Within two days after a certificate of registration is issued to such system, a list of the names and addresses of each of the depositors in the system shall be filed with the commissioner; and monthly thereafter, a list of the names and addresses of new depositors and any persons ceasing to be depositors shall also be filed with the commissioner. Each list shall be forwarded to the commissioner at such address as the commissioner may prescribe.

N.Y. Comp. Codes R. & Regs. Tit. 20 § 55.2