Full text of Federal Reserve Bank of New York Circulars : Registration of State Member Banks Acting as Municipal Securities Dealers

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

Oj t

-71 S

FEDERAL RESERVE BANK
OF N E W YORK

November 12, 1975
Registration of State Member Banks
Acting as Municipal Securities Dealers
To State Member Banks in the Second Federal Reserve District:

U nder section 15B (a) of the Securities Exchange Act of 1934 ( “A ct” ), as added by
the Securities Acts Amendments of 1975 (Public Law 94-29), municipal securities dealers
that are banks, or separately identifiable departm ents or divisions of banks, are required
to be registered with the Securities and Exchange Commission ( “Commission” ) in accord­
ance with such rules as the Commission may prescribe as necessary or appropriate in the
public interest or for the protection of investors. This provision becomes effective on
December 1, 1975.
On October 15, 1975 the Commission announced the adoption of a rule providing
that municipal securities dealers that are banks, or “separately identifiable departments
or divisions of banks” (as defined by Rule 4 of the Municipal Securities Rulemaking
B oard), m ust apply for registration with the Commission under section 15B (a) of the Act
on a new Form M SD. Municipal securities dealers that are subsidiaries of banks or of
bank holding companies must apply for registration with the Commission under section 15
of the Act on Form BD, the Commission’s regular application form for registration as a
broker-dealer.
The announcement by the Commission of these rules and a sample Form M SD is
contained in Securities Exchange Act Release No. 11742, dated October 15, 1975, a copy of
which is enclosed.
Among the im portant m atters considered in Release No. 11742 that we wish to call
to your attention a r e :
—The Commission’s views as to those activities that may subject a bank to the registration
requirements of the Act applicable to municipal securities dealers, and the Commission’s invitation
for comments thereon;
—The definition of “separately identifiable department or division of a bank” ;
— Since municipal securities dealers that register under section 15 of the Act automatically
become members of, and subject to assessments by, the Securities Investor Protection Corporation
( “ S IP C ” ), the Commission’s invitation for comments on (1) whether subsidiaries of banks and
of bank holding companies should be exempted from the registration requirements of section 15
of the Act and instead required to be registered under section 15B of the Act, (2) whether SIPC
coverage is appropriate for the customers of such subsidiaries in view of the fact that as a matter of
corporate organization such subsidiaries are not a part of their parent bank, and (3) the extent
to which such subsidiaries are presently subject to the requirements of banking law applicable to
banks and the extent to which the activities of such subsidiaries are scrutinized by the appropriate
bank regulatory authorities to ensure compliance with such requirements.




(OVER)

o

The Commission has adopted a rule providing for a temporary exemption of those
municipal securities dealers that file applications for registration with the Commission
not later than November 30, 1975 and otherwise comply with all applicable rules and
regulations of the Commission and the Municipal Securities Rulemaking Board to the
same extent as if they were registered 011 December 1. 1975.
Additional copies of Release No. 11742 and printed copies of Form M SD (applica­
tions should be made 011 the printed form s) are available from the Office of Reports and
Inform ation Services, Securities and Exchange Commission, 500 N orth Capitol Street,
W ashington, D.C. 20549.
A ny questions concerning registration of municipal securities dealers should be directed
to the Commission at the above address.




P a u l A. V o l c k e r ,
President.

S E C U RITIES AND EXCHANGE C O M M I S S I O N
W a s hington, D. C. 20549
i

.

SECURITIES EXCHANGE ACT OF 1934
R e l e a s e No.
11742 /October 15, 1975
A D O P T I O N OF RULE 15Ba2-l, RELA T E D F O R M MSD, RU L E 15Ba2-2
A N D TEMPORARY RULE 15Ba2-3(T) R E L A T I N G T O T H E REG I S T R A T I O N
O F M U N I CIPAL SECURITIES DEALERS U N D E R S E C T I O N 15B(a) OF
T H E SECURITIES EX C H A N G E ACT OF 1934; A D O P T I O N OF TEMPORARY
R U L E 15a-l(T) RE L A T I N G T O T H E R E G I S T R A T I O N OF M U N I C I P A L
SECURITIES BROKERS AND DEALERS U N D E R S E C T I O N 15 OF THE ACT;
A N D D E LEGATION OF A U T H O R I T Y T O T H E S T A F F O F T H E COMMISSION.

T h e Securities and Excha n g e C o m m i s s i o n a n n o u n c e d today
that it has adopted rule 15Ba2-l, 1/ r e l a t e d F o r m MSD, 2/
rule 15Ba2-2, 3/ and t e m p orary rules 15a-l(T) 4/ and
15Ba2-3(T), 5/ effective immediately, in a c c o r d a n c e w i t h the
A d m i n i s trative Procedure Act (5 U.S.C. 551 et s e q .) , and
pursuant -to the Commis s i o n ' s a u t h o r i t y u n d e r the Securities
E xchange Act of 1934 (the "Act"), 6/ p a r t i c u l a r l y sections 2,
3, 15, 17 and 23 thereof 7_/ and section 13 (new section 15B
of the Act) of the S e c u rities Acts A m e n d m e n t s of 1975 (the
*'1975 Amendments").
Rule 15Ba2-l provides that m u n i c i p a l s e c u rities dealers
w h i c h are banks or separately^ i d e n t i f i a b l e depar t m e n t s or
divisions of banks must apply for r e g i s t r a t i o n w i t h the C o m ­
mi s sion under section 15B(a) of the A c t on F o r m MSD.
Rule 15Ba2-2 requires n o n - b a n k m u n i c i p a l secu r i t i e s dealers
w h o s e business is e x c l usively i n t r a s t a t e (’
'intrastate dealers")
to apply for registration wi t h the C o m m i s s i o n un d e r section 15B(a)
of the Act on Form B D , and prescribes c e r t a i n additional p r o ­
cedures relating to the registration of such dealers. Temporary
rules 15a-l(T) and 15£a2-3(T) t e m p o r a r i l y e x e m p t municipal
securities brokers and dealers from the r e g i s t r a t i o n requirements
of sections 15 and 15K(a) of the Act, r e s p e c t i v e l y , provided that
such persons file their applications for r e g i s t r a t i o n with the
Commission not later than N o v ember 30, 1975, and otherwise comp l y
w i t h all applicable rules and regulations of the Commission and
the Municipal Securities R u l e making B o a r d to the same extent as
i f they were registered on December 1, 1975.




In c o n n ection w i t h the adoption of rules 15Ba2-l and
15Ba2-2, the C o m m i s s i o n has provided*, e f f e c t i v e immediately,
in accordance w i t h the Administ r a t i v e P r o c e d u r e Act, delegated
authority, pursu a n t to Public Law 87-592, 76 Stat. 394, 8/
to the D i r ectors of the Office of R e p o r t s and Information
S e r v i c e s and the Division of M a r k e t R e g u l a t i o n to grant
a pp l i c a t i o n s for registration of m u n i c i p a l s e c urities d e a l e r s ’
u n d e r section 15B(a) of the Act.
*

I N T RODUCTION
•On June 4, 1975, the 1975 A m e n d m e n t s w e r e signed into
law, s u b s tantially amending the Act and e s t a b l i s h i n g a
c o m p r e h e n s i v e f r a mework for the r e g u l a t i o n of the activities
of municipal securities brokers and dealers.' U n d e r new
section 15B(a) of the Act, as added by the 1975 Amendments,
m u n i c i p a l securities dealers wh i c h are banks, or separately
i d e n t i f i a b l e departments or divisions of b a n k s , and intra­
state dealers are required to be r e g i s t e r e d w i t h the C o m ­
m i s s i o n in a c c o rdance w i t h su c h rules as the C o m m i s s i o n may
p r e scribe as n e c e s s a r y or appropriate in the p u b l i c interest
o r for the p r o t e c t i o n of investors. . S e c t i o n JL5B(a) (1) provides




It-shall be unlawful f o r any m u n i c i p a l securities
dealer (other than one r e g i s t e r e d as a b r o k e r or
dealer under section 15 of this title) to make
use of the mails or any means or i n s t r u m e n t a l i t y
of interstate commerce to effect any t r a n s a c t i o n
in, or to induce or attempt to induce the purchase
or sale of, c.uy municipal se c u r i t y u n l e s s such
• m u n i c i p a l securities dealer is r e g i s t e r e d in
accordance w i t h this subsection.

- 3 -

N o n - b a n k municipal securities dealers o t h e r than intrastate
- dealers and municipal securities brok e r s a r e r e q u i r e d to be
r e g i s t e red under section 15 of the A c t a n d to apply for
re g i s tration on Form B D , the standard r e g i s t r a t i o n form
for brokers and dealers. 9/ The p r o v i s i o n s of sections 15
a n d 15B(a) become applicable to m u n i c i p a l secu r i t i e s brokers
a n d dealers on December 1, 1975. 10/
On August 11, 1975, the Comm i s s i o n i s s u e d Securities
E x c h a n g e Act Release No. 11585 ("Release No. 1 1 5 8 5 ”), 1 1 /
a n n o u n c ing procedures for the r e g i s t r a t i o n of mu n i c i p a l
. securities brokers and dealers under s e c t i o n 15 of the Act,
g i v i n g notice of p r o posed rule 1 5 B a 2 - l , r e l a t e d proposed
F o r m MSD, and p r o p o s e d rule 15Ba2-2, a n d s o l i c i t i n g comments
on the proposed rules and Form and on o t h e r rtiatters relating
to the registration of municipal secu r i t i e s brokers and
d e a l e r s . -12/
In Release No. 11585 the C o m m i s s i o n i n d i c a t e d that
m u n i c i p a l securities brokers and n o n - b a n k m u n i c i p a l securities
dealers other than intrastate dealers w o u l d be required to
a p p l y ' f or registration on Form BD. T h e C o m m i s s i o n urged
that such municipal securities brok e r s a n d dealers file their .
appli c a tions for r e g i s t r a t i o n >w i t h the C o m m i s s i o n as promptly,
as possible to facilitate proc e s s i n g in an o r d e r l y and
t i m e l y manner.
Proposed rule 15Ba2-l p r o v i d e d that banks
w o u l d be required to apply for r e g i s t r a t i o n w i t h the C o m ­
m i s s i o n on a new application form, F o r m K3D, and to
file a statement of financial c o n dition in connection w i t h
s uch application.
Propos ed rule 15Ba2-2 p r o v i d e d that
intrastate dealers w o u l d be required to a p p l y for r e g i s t r a ­
tion with the Comm i s s i o n on Form 13D and to file the s t a t e ­
m e n t s required by rule 15bl-2.
T h e Commission stated in Release No. 11585 that banks
w h i c h meet the definition of "municipal s e c u r i t i e s dealer"
in section 3 ( a ) (30) of the Act w o u l d be r e q u i r e d to be
r e g i s t e r e d with the Commission und e r s e c tion 15li(a) of the
A c t unless the Municipal Securities R u l e m a k i n g Board (the




_

- 4 -

i

f,Board") , in accordance with its authority under section 15B
(b)(2)(H) of the Act, had defined by rule the term •
"separately identifiable department or division” with respect
to banks, and the prospective bank applicant had a department
or division meeting the requirements of the Board's rule. 1 3 /
On October 1 0 , 1975 the Board filed rule proposals with the
Commission relating to, among other matters, the definition
o f a "separately identifiable department or division" of a
bank. These rules ,have become effective and are presently
rules of the Board for purposes of the Act. 14./ The text
of the Board's rule defining a "separately identifiable
department cr division" of a bank and a general definitional
rule of the Board are set forth elsewhere in this release.

B a nks Subject to Registration as Mun i c i p a l S e c urities Dealers
Section 3 ( a ) (30) of the Act defines a " m u n i c i p a l securities
dealer" as follows:




. . . any person (including a s e p a r a t e l y identifiable
department or division of a bank) e n g a g e d in the
business of buying and selling municipal, securities
for his own account, through a b r o k e r or otherwise,
but does not i n c l u d e — .,
★

"k

rk

a bank, unless the b a n k is e n g a g e d in the
b usiness of buying and sell i n g m u n i c i p a l
securities for its own a c c ount o t h e r than
in a fiduciary capacity, through a b r o k e r
or otherwise:
Provided, however, T h a t if
the b a n k is engaged in such bu s i n e s s
through a separately id e n t i f i a b l e department
or division (as defined by the M u n i c i p a l
S e c u rities R u l emaking B o a r d in a c c o r d a n c e
w i t h Section 15B (b) (2) (11) of this title),
the department or division and n o t the bank
itself shall be deemed to be the m u n i c i p a l
securities dealer.

W h e t her a bank 1_5/ is ’
’
engaged in the business'? of
b u y i n g and selling municipal securities for its own account
as a dealer is a factual question to be r e s o l v e d in light
of all relevant circumstances.
However, the C o m m i s s i o n
believes that it is appropriate to set forth certain g u i d e ­
lines to assist individual banks in d e t e r m i n i n g w h e t h e r
to apply for registration with the C o m m ission.
The definition of .a "municipal sec u r i t i e s d e a l e r ” in
section 3 ( a ) (30) of the Act, as it applies to banks, incorporates
language found in the definition of a "dealer" in section 3(a)(5)
of the Act and thus traditional concepts of w h a t constitute
dealer activities.
A bank wh i c h buys and sells m u n i cipal
securities solely for investment for its own account or for
accounts for wh i c h it acts as a f i d u ciary w i l l not generally
be classified as a dealer, even though such pur c h a s e s and
sales are made with some frequency. V i r t u a l l y every b a n k
has municipal securities in its investment portfolio, and
purchases and sales m a y occur to a c c o m m o d a t e changes in the
bank's financial position or to-reflect i n v e s t m e n t decisions.
T h e Commission believes that it was not r.he intent of Congress
that every bank engaged in such i n v e s t m e n t - t y p e activity
regis t e r as a dealer.
In the view of the Commission, a c t i v i t i e s w h i c h may subject
a b a n k to the registration r e q u i r e m e n t s of the A c t applicable to
munic i p a l securities dealers, if the j u r i s d i c t i o n a l means are
used, 16/ are as follows:
(1)




u n d e r w r i t i n g , w h i c h includes p a r t i c i p a t i o n in
•a syndicate or joint account for the purchase
of municipal securities;

-

6 i

(2)

m a i n t a i n i n g a trading account in m u n i c i p a l
securities or otherwise c a r r y i n g a d e a l e r
i nventory in municipal securities; 1 7 /

(3)

advertising or listing as a dealer in p r o ­
fessional publications sucb as Standard &
Poor's Blue List of Current Municipal Offerings,
the Bond Buyer's Directory of Municipal Bond
Dealers of the United Staten, or Polk’s •
W o r l d Bank Directory, or a d v e r t i s i n g in p u b l i c a ­
tions of general circulation as a d e a l e r in
municipal securities; or
*

otherwise bolding itself out to o t h e r dealers or
to investors as a dealer in m u n i c i p a l securities.
Whi l e the determination of when a b a n k is a municip a l
s e curities dealer might be premised on, among o t h e r matters,
the number of transactions engaged in by the b a n k in a nonfi d u c i a r y capacity or the rate of turnover of the bank's in­
v e n t o r y of municipal securities, the C o m m i s s i o n does not now
have sufficient data or experience w i t h b a n k m u n i c i p a l
se curities dealers to ascertain w h e t h e r such tests are appro­
priate.
In any event, it w o u l d appear that the n a t u r e of a
b a nk ' s activities, rather than the volume of transactions
o r similar criteria, are of greater rel e v a n c e in determining
w h e n a bank is a municipal securities dealer. 'The-Commission
invites written comments from interested p e r s o n s on whether
the standards set forth above are appro p r i a t e f o r determining
w h e t h e r a bank is a municipal securities d e a l e r w i t h i n the
m e a n i n g of Section 3 ( a ) (30) of the Act, or w h e t h e r other factors
s h ould be considered in mak i n g such determin a t i o n .
Such
comments should be submitted in triplicate to G e o r g e A. Fitzsimrnoi
S e c r e t a r y of the C o m m i s s i o n , and should r e f e r to Commission
F i l e No. S 7 - 5 7 7 .
All such comments will be a v a i l a b l e for
p u blic inspection.
The C o m m ission also notes that a b a n k w h i c h engages in
b o n a -f i d e brokerage transactions on b e h a l f of c u s tomers will
not, solely for that reason, be c o n s i d e r e d a d e a l e r for purposes
section 3 ( a ) (30) of the Act.
Banks are e x c l u d e d from the d e fini­
tion ot "broker" in section 3(a)(4) of the Act, and thus are not
s u bject to the provisions of the Act r e q u i r i n g .brokers to
register. 1_3/




- 7 -

Separately Identifiable Department or Division of a Bank
A l t hough a bank m a y meet the d e f i n i t i o n of a
’
’
munic i p al securities uualer" for p u r p o s e s of section 3(a)
(30) of the Act, that section provi d e s that a b a n k wi l l not
be consi dered to be a municipal securities dea l e r if the
b a n k engages in such business through a " s e p a r a t e l y identifiable
d e p artment or d i v i s i o n 1’as defined b y the B o a r d in accordance
w i t h the Board's authority under section 153(b)(2)(H) of the
Act, 1 9 / If a bank has such a d e p a rtment or division, the
d e p a r t m e nt or division will be deemed to be the municipal
securities dealer and only that d e p a r t m e n t or division need
register.
T h e following definitional rules of the B o a r d have
b e c o m e effective p u r s u a n t to section 19(b) of the Act: 2 0 /




Rule. 1 .

D e f i n i t i o n s .*

(a) For purposes of the rules of the
M u n i cipal Securities R u l e m a k i n g Board, the
terms used in such rules shall have the respective .
meani n g s set forth in the S e c u r i t i e s E x c hange Act
of 1934 (15 U.S.C. 78a £ t sea.) and the rules and
regulations of the Securities a n d E x c h a n g e C o m ­
mission thereunder.
(b) T h e term ’
’
Act" shall m e a n the Securities
Exchange Act of 1934, as from time to time amended,'
(c) The term "Board" shall m e a n the Municipal
Securities R u l emaking Board.
(d) T h e term "Commission" shall mean the
S ecurities and Exchange Co m m i s s i o n .




Rule 4 .

S eparately Identifiable D e p a r t m e n t or

(a) A separately i d e n t i f i a b l e department or
division of a bank, as such term is u s e d in section
3 ( a ) (30) of the Act, is that unit of the bank which
conducts all of the activities of the b a n k relating •
to the conduct of business as a m u n i c i p a l securities
dealer ("m unicipal securities d e a l e r activities") , as
such activities are hereinafter defin e d , provided that
(1) Such unit is u n d e r the direct
supervision of an offi c e r or o f f i c e r s designated
by the board of directors of the b a n k as
responsible for the d a y - t o - d a y c o n duct of the
bank's municipal securities d e a l e r activities,
including the supervision of all b a n k employees
e n g aged in. the p e r f ormance of such activities;
and
(2) The r e are s e p a r a t e l y rtidintained in
• or separately extractable f r o m such unit's own
facilities or the facilities o f the bank, all
of the records - r e l a t i n g to the ban k ' s municipal
securities dealer activities, and further pro­
v i d e d that such records are so m a i n t a i n e d or
otherwise accessible as to p e r m i t independent
examination thereof and e n f o r c e m e n t of
applicable provisions of the Act, the rules
and regulations thereunder a n d the rules of
the Board.
(b) For purposes of this rule, the activities
of the b a n k which shall c o n s t i t u t e m u n i cipal
securities dealer activities are as follows:
(1) underwriting, t r a d i n g and sales of
m u n icipal securities;
(2) p r o c essing and c l e a r a n c e activities
w i t h respect to mun i c i p a l securities;

9

(3) research, analy s i s a n d the p r e p a r a ­
tion of literature for use in connection with
the activities d e s c r i b e d in p a r a g r a p h (1)
above; and
(4) m a i n tenance of r e c o r d s pert a i n i n g to
the activities des c r i b e d in p a r a g r a p h s (1) through
(3) above.
(c) T h e fact that dir e c t o r s and senior officers
of the b a n k m a y from time to time set br o a d policy
guidelines affecting the b a n k as a w h o l e and which
are not directly related to the d a y - t o - d a y conduct
of the bank's municipal s e c u r i t i e s d e a l e r activities,
shall not disqualify the u n i t h e r e i n b e f o r e described
as a separately identifiable d e p a r t m e n t or division
. of the b a n k or require that such di r e c t o r s or
officers be considered as p a r t of such unit.
(d) T h e fact that the b a n k ’s mu n i c i p a l securities
dealer activities are c o n d u c t e d in m o r e than one
geographic, organizational or o p e r a t i o n a l unit of
the b a n k shall not preclude a f i n d i n g that the bank
has a separately identifiable d e p a r t m e n t or division
for purposes of this rule, p r o v i d e d , h o w e v e r , that
all such units are ident i f i a b l e a n d that the r e q u i r e ­
ments of subparagraphs (1) a n d (2) of paragraph (a)
of this rule are met with r e s p e c t to each such unit.
All such geographic, o r g a n i z a t i o n a l or operational
units of the bank shall be c o n s i d e r e d in the aggregate
as the separately identifiable d e p a r t m e n t or division
of the b a n k for purposes of this rule.
Adoption of Rule 15Ba2-l and Form MSP
The Commission has adopted rule 15Ba2-l and related
F o r m KSD with modific a t i o n s from the f o r m in w h i c h they were
p r o p o s e d in Release Ko. 11585. T h e s e i n c l u d e the following:







- 10 I

1. Rule 15Ba2-l, as adopted, makes Form M S D applicable
to separately identifiable departments or divisions of banks
as well as to banks.
2. T h e requirement in propo s e d rule 1 5 B a 2 - l that an
ap p l icant file with the Commission a s t a t e m e n t of financial
condition in connection with its a p p l i c a t i o n for registration
has been omit t e d in rule 15Ba2-l, as adopted.
3. New paragraphs (b) and (c) of rule 1 5 B a 2 - l set
forth requirements for filing amendments to the application
a n d clarify the status of such amendments for pu r p o s e s of
sections 17 and 32(a) of the Act. 2 1 /
4. W i t h respect to Form MSD, item 5, and the r e q u i r e ­
m e n t for filing a separate Schedule r e l a t i n g to business
a n d educational background, have been r e v i s e d to make
c le a r that only those persons directly e n g a g e d in the
m anag e m e n t , supervision or direction of the a p p l icant ' s
m u n i c i p a l securities dealer activities (defined in the
i n s tructions to F o r m MSD) need to be list e d in respon s e to
the item and to have a detailed statement of their educational
a n d business b a c k g r o u n d submitted.
5. Item 6 in Form MSD has been r e v i s e d to m a k e clear
that only those persons directly or i n d i r e c t l y controlling
applicant's m u n icipal securities dealer a c t i v i t i e s and ncft
n a m e d in answer to item 5 must be i d e n t i f i e d in response to .
i t e m 6. A detailed statement of e d u c a t i o n a l a n d business
b a c k g r o u n d is not required to be s u b m i t t e d for such persons.
6. Item 7 of Form MSD has been revised to include
reference to the findings of appropriate bank regulatory
agencies in certain paragraphs. Paragraph (ix) in
proposed Form MSD has been omitted. Item 7 applies to all
employees of the applicant engaged in its municipal securities
dealer activities, as well as to all persons in direct or
indirect control of the applicant.
7. Various questions have been added to Form MSD
relating to s e p a r a t e l y identiliable ciepartments or divisions
of banks, to enable the Commission to determine whether an
applicant which is a department or division meets the appli­
cable criteria for registration established by the Board in
its rule 4 definition.
8.' The form of execution has been changed to clarify
the responsibility of the executing officer with respect to

9.
The instructions to the F o r m have been expanded
£0 clarify specific items in the F o r m a n d to define certain
additional terms used in the Form,
The Commission finds that the a d o p t i o n of rule '15Ba2-l and
r e l a t e d Form MSD is necessary to p r o vide an o r d e r l y p r o ­
c e d u r e for the prompt registration of m u n i c i p a l securities
dealers which are banks or separately i d e n t i f i a b l e depa r t ­
m e n t s or divisions of banks and that such a d o p t i o n is there­
fore necessary and appropriate in the p u b l i c interest and
f o r the protection of investors, and that it is consistent
w i t h the purposes of the Act. The C o m m i s s i o n also finds that
r u l e 15Ba2-l and related Form MSD will n o t impo s e any b u r ­
den on competition. The Commission f u r t h e r finds, in accordance
w i t h the Admi n i s t r a t i v e Procedure Act (5 U.S.C. 553(b)(3)(B)),
t hat notice and public procedure w i t h r e s p e c t to the changes
in the rule and F o r m are impracticable a n d c o n t r a r y to the
p u b l i c interest as a prerequisite to the adopt i o n of the rule
an d F orm, and that such rule and F o r m s h o u l d be adopted,
effec t i v e immediately, in accordance w i t h the Admi n i s t r a t i v e
Procedure. Act (5 U.S.C. 553(d)(3)), in o r d e r to provide an
o r d e r l y and timely procedure for the r e g i s t r a t i o n of municipal
securities dealers subject to the rule.
Subs i d i aries of Banks and of Bank H o l d i n g C o m p a n i e s
T h e Commission notes that m u n i c i p a l securities' dealers
w h i c h are subsidiaries of banks or of b a n k h o l d i n g companies
m e e t the definition of a "dealer" set f o r t h in section 3(a)(5)
o f the Act. As such these subsidiaries w i l l be required to
be registered under section 15 of the Act, r a t h e r than
sect i o n 15B(a).
Accordingly, w i t h o u t f u r t h e r action by the
Commission, such subsidiaries are subject to rules 15bl-l and
15bl-2 under the Act, and required to file for registration on
F o r m BD, rather than Form MSD.
The Commission also wishes to point out that municipal
securities dealers w h i c h register un d e r sect i o n 15 of the Act
a u t o m a t ically become members of and s u b j e c t to assessments by
the Securities Investor Protection C o r p o r a t i o n ("SIPC"). The
C o m m i s s i o n invites comments from i n t e r e s t e d p e r s o n s on (1)
w h e t h e r such subsidiaries should be e x e m p t e d from the
r e g i s tration requirements oi: section ll> of tne Act and
instead required to be registered under section 15B of the
Act, (2) whether SIPC coverr;re is a p p r o p r i a t e for the




-

12 -

customers of such subsidiaries in view of the fact that as a
m a t t e r of corporate organization such subsid i a r i e s are not a
part of their parent bank, and (3) the extent to w h i c h such
subsidiaries are presently subject to the re q u i r e m e n t s of
banking law applicable to banks and the ext e n t to which the
activities of such subsidiaries are s c r u t i n i z e d by the appropriate
b a n k regulatory authorities to ensure c o m p l i a n c e with such
- requirements.
Comments on these matters should be submitted
in accordance w i t h the procedures set*forth infra at page 6.
Adoption of Rule 15Ba2-2
The Commission has also adopted rule 15Ba2-2, relating
to the registration of intrastate dealers, w i t h certain
modifications from the form in which it w a s p r o p o s e d in
R e l ease No. 11585. The*rule, as adopted, r e q u i r e s applicants
to file a statement with the Commission to the e f f e c t that
they are applying for registration as i n t r a s t a u e dealers
i n accordance w i t h the rule.
New p a r a g r a p h s (c) and (d) of
the rule set forth requirements for filing a m e n d m e n t s and
c l arifying the status of amendments for p u r p o s e s of sections
17 and 32(a) of the Act.
....
The Commission finds that the adoption o f rule 15Ba2-2
- is necessary to provide an orderly p r o c e d u r e for the prompt
registration of intrastate dealers and that such adoption
is therefore ncc e s s a r y and appropriate in the pub l i c interest
a n d for the protection of investors, and that it is consistent
w i t h the purposes of the Act. The C o m m i s s i o n .also finds that
rule 15Ba2-2 will not impose any burden on competition. The
•Commission further finds, in accordance w i t h the Administrative
Procedure Act (5 U.S.C. 553(b)(3)(B)), that n o t i c e and public
procedure with respect to the changes in the r u l e are impracti­
c a b l e , unnecessary and contrary to the public interest and that
such rule should be adopted, effective i m m e d i a t e l y , in accordance
w i th the A d m i nis trative Procedure Act (5 U.S.C. 553(d)(3)), in
o r der to provide an orderly and timely p r o c e d u r e for the regis­
tration of municipal securities dealers subject to the rule.
Adoption of T e m p o r a r y PvUles 15a-l(T) and 15Ba2-3(T)
Under the provisions of sections 15(b)(1) and 15B(a)(2)
of the Act, the Commission must tjke action w i t h i n 45 days
of the date of filing of an application for registration,
either to grant registration or to ins t i t u t e p r o c eedings to
determine whether registration should be denied.
As indicated
above, the provisions of the Act w h i c h have the effect of
requiring municipal securities brokers and d e a l e r s to be
r e gistered w i t h the Commission become e f f e c t i v e on December 1,
1975. 15/ In Release No. 11585, the C o m m i s s i o n urged municipal



- 13 -

securities brokers and dealers (other than ban k s and intra­
state dealers) to file their a p p lications for registration
on F o r m J3D with the Commission not lat e r than O c t o b e r 17,
1975. The Commission indicated that f i l i n g by such date
w o u l d assure that the Commission w o u l d be able to act upon
such applications by December 1, 1975.
Under sections 15(a)(2) and 15B(a)(4) of the Act the
Comm i s s i o n has broad authority to exe m p t brokers, dealers
a n d municipal securities dealers from the r e g i s t r a t i o n
requirements of the Act if the C o m m i s s i o n finds that such
exemption is consistent with the public i n t e r e s t and the
protection of investors, and with resp e c t to the registration
of municipal securities dealers u n d e r sect i o n 15B(a) of the
Act, consistent with the purposes of such section. The
Commi s s i on finds that it w o u l d not be p r a c t i c a b l e for
m u nicipal securities dealers subject to section 15B(a) of
the Act to be required to be reg i s t e r e d w i t h the Commission
effective December 1, 1975 since such dealers wi l l not have
sufficient time to obtain the a p p r o p r i a t e forms for r e g i s t r a ­
tion, complete and file them w i t h the C o m m i s s i o n and still
be assured of C o m mission action on their a p p l i c a t i o n s prior
to Decem ber 1, 1975, nor w o u l d the C o m m i s s i o n have sufficient
time to give such applications a careful and complete review
consistent with the public interest and the p r o t e c t i o n of
investors.
The Commission finds that it is c o n s i s t e n t w i t h the
public interest, the protection of i n v e stors and the purposes
of section 15B(a) to grant, by rule, a t e m p o r a r y exemption
from the registration requirements of section 15B(a) of
the Act to municipal securities dealers who file their
applications for registration with the C o m m i s s i o n not later
than November 30, 1975 and who are in c o m p l i a n c e w i t h all
ot h e r applicable provisions of the Act, the rules and regu l a ­
tions of the Commission thereunder and the rules of the Board
w h i c h by their terms w o u l d apply to such dealers if they were
registered with the Commission on D e c e m b e r 1, 1975.




- 14 -

The Commission has therefore adopted, e f f e c t i v e
i mmediately, temporary rule 15Ba2-3(T), g r a n t i n g a temporary
e xe m p t i o n from the requirements of section 15B(a) of the
A c t to municipal securities dealers w h i c h m e e t the conditions
o f such rule. The temporary e x e m p t i o n .w o u l d terminate as to
an individual dealer on the earlier of the g r a n t i n g or denial
o f the dealer's registration under section 15B(a) or the
dealer's failure to comply with the c o n d i t i o n s of the rule.
T h e temporary rule w o u l d expire on June 1, 1976.
W i t h respect to-municipal securities d e a l e r s subject
to section 15(a)(1) of the Act, i . e . * n o n - b a n k municip a l
securities dealers ot h e r than intrastate d e a lers, the C o m ­
m i s s i o n stated in Release No. 11585 that F o r m BD was the
a p p r opriate form for registration of such dealers, as well
as municipal securities brokers. W h i l e such b r o k e r s and
dealers therefore have been notified of the a p p l i c a b l e
requirements for registration c o n s i d e r a b l y in adva n c e of
the date of this release, it has come to the a t t ention of
the Commission that there may still be u n c e r t a i n t y on the
part of many such brokers and dealers as to the applicability
of the registration requirements to them. T h e Commiss i o n
w i s h e s to stress that all such brokers and d e a l e r s are
r e q u i r e d to be registered with the C o m m i s s i o n , pursu a n t to
section 15(a)(1) of the Act, irrespective of m e m b e r s h i p in the
N a t i o n a l A s s ociation of Securities Dealers, Inc. The C o m ­
m i s s i o n also recognizes that since F o r m BD has only recently
been revised, 2 3 / municipal securities b r o k e r s and dealers
m a y not have had sufficient time to o b t a i n the revised form and
file it w i t h the Commission in order to be a s s u r e d that action
c o u l d be taken on their applications for r e g i s t r a t i o n by
De c e m b e r 1, 1975*




The Commission has, therefore, determined that it is
appropriate and consistent with the public interest and the
protection of investors to grant, by rule, a temporary

- 15 -

exemp t i on from the registration r e q u i r e m e n t s of
section 15(a)(1) of the Act to m u n i c i p a l s e c urities brokers
and dealers otherwise subject to such r e q u i r e m e n t s on terms
a n d conditions similar to those set forth in temporary
r ule 15Ba2-3(T) for municipal securities dealers subject to
the requirements of section 153(a) of the Act. Accordingly,
the Commission has adopted temporary rule 15a-l(T), effective
immediately. The rule will expire on J u n e 1, 1976.
The Commission finds, in accordance w i t h the Administ r a t i v e
Proc e d u re Act (5 U.S.C. 553(b)(3)(B)), that t e m porary rules 1
15a-l(T) and 15Ba2-3(T) relieve m u n i c i p a l securities brokers
and dealers from requirements that w o u l d o t h e r w i s e be
a p plicable to them, that notice and p u b l i c p r o c e d u r e are there­
fore unnecessary as a prerequisite to the adopt i o n of such rules
a n d that the rules should be adopted, e f f e c t i v e immediately,
in accordance wi t h the Administrative P r o c e d u r e Act (5 U.S.C.
553(d)(3)), in order to permit m u n i cipal securities brokers
a n d dealers to file their applications w i t h the C o m m ission
in an orderly and timely manner and to a f f o r d the Commission
adeq u a t e time to review such applications c a r e f u l l y and
completely, consistent with the public i n t erest and the p r o ­
tection of investors.
The Commission f u r t h e r finds that
te mporary rules 15a-l(T) and 15Ba2-3(T) wi l l not impose any b u r ­
den ort competition not necessary or a p p r o p r i a t e in furtherance
of the purposes of the Act.
' •
/

•

The Commission emphasizes that m u n i c i p a l securities
br o k e r s and dealers should attempt to file their *a p p l i c a ­
tions for registration at as early a date as possible in
o r d e r to permit all applications to be p r o c e s s e d in an
o r d e r l y manner.
Such applications m u s t be filed in any event
w i t h the Commission prior to December 1, 1975.

Delegation of Authority
The regulations of the Commission relating to general
organization are concurrently being amended to delegate
authority to the Directors of the Office of Reports and
Information Services and the Division of Market Regulation
to issue orders granting registration of municipal sccuritics




dealers under section 15B(a) of the Act. T h e Commission
staff has similar authority with respcct to the registration
of brokers and dealers under section 15 of- the Act (including
municipal securities brokers and dealers). 2 4 /
The Commission finds, in accordance w i t h the Administrative
Procedure Act (5 U.S.C. 553(b)(3)(B)), that the foregoing
action relates solely to agency organization, procedure or
practice and that notice and public p r o c e d u r e are therefore
not necessary. The Commission further finds that'such amendment
should be adopted, effective immediately, in accordance with
the Administrative Procedure Act (5 U.S.C. 553(d)(3)), in
order to permit municipal securities dealers to be registered
under section 15B(a) of the Act in a prompt and orderly manner.
Following is the text of rules 15Ba2-l and 15Ba 2 - 2 and
temporary rules 15a-l(T) and 1 5 D a 2 - 3 ( T ) :
17 CFR 2 4 0 . 1 5 B a 2 - l .




Application for Registration of Municipal
Securities Dealers VJhieh Are Banks or
Separately Identifiable Departments or
Divisions of Banks.

(a) An application for registration, pursuant to
Section 15B(a) of the Act, of a municipal securities
dealer which is a bank (as defined in section 3(a)(6)
of the Act) or a separately identifiable*department or
division of a bank (as defined by the Municipal Securities
Rulemaking Board), shall'be filed with the Commission on
Form KSD (§249.950 of this chapter), in accordance with
the instructions contained therein.
(b) If the information con t a i n e d in any applica­
tion for registration pursuant to p a r a g r a p h (a) of this
rule, or in any amendment to such a p p l ication, is or
becomes inaccurate for any reason, a p p l i c a n t shall
promptly file an amendment on Form MSD (Ii24 9.950 of
this chapter) correcting such information.

- 17 -

(c)
Eve r y amendment filed p u r s u a n t to this rule
shall constitute a "report" w i t h i n the m e a n i n g of
sections 17 and 32(a) of the Act (15 U.S.C. 78q and
78ff(a)).
17 CFR 2 4 0 . 1 5 B a 2 - 2 .

A p p l ication for R e g i s t r a t i o n of Non-Bank
Municipal Securities D e a l e r s Whose
Business is Exclusively Intrastate

«

(a) An application for registration, pursu a n t
to section 1513(a) of the Act, of a m u n i c i p a l securities
dealer not subject to the requir e m e n t s of rule 15Ea2-l
(8240.1 5 B a 2 - l ) , shall be filed w i t h the C o m m i s s i o n on
Form BD (§249.501 of this chapter) in a c c o r d a n c e with
the instructions contained therein.
(b) Each applicant for r e g i s t r a t i o n w h o is
subject to the requirements of p a r a g r a p h (a) of this
rule shall file wit h the application for registration
prescribed in such paragraph the statements described
in paragraphs (a) through (d) of rule 15bl-2 (9240.1 5 b l - 2 ) .
The statement of financial c o n dition d e s c r i b e d in such
paragraph (a) shall be deemed a part of the a p p l i c a ­
tion for registration.
Each a p p l i c a n t shall-also file
with its application f o r /r e g i stration a statement to
the effect that such applicant is fili n g for r e g i s t r a ­
tion as an intrastate dealer in a c c o r d a n c e w i t h the
requirements of this rule. Such statement shall be
deemed a part of the application for registration.
(c) If the information c o n t a i n e d in any a p p l i c a ­
tion for registration pursuant to p a r a g r a p h (a) of
this rule, or in any amendment to such application,
is or becomes inaccurate for any reason, applicant
shall promptly file an amendment on Form BD (§249.501
of this chapter)■correcting such information.




(d) Eve r y amendment filed p u r s u a n t to this rule
shall constitute a ■"report" w i t h i n the m e a n i n g of
sections 17 and 32(a) of the Act.




1 7
JL

/

r ^ 7?
O l

t \

0 /

0

\J »

K n , . 1
u

1

^ x

y

•

*T

X * . » « « » ^ v > A. C t i .

7

T

"

*

,

*

^

.

« u < % w . . » t ,‘ W ^ , W /H

^

y/

£

Securities B r o k e r s and M u n i c i p a l
Securities Dealers from the R e q u i r e ­
ments of Section 15(a)(1) of the A c t .
A municipal securities broker or m u n i c i p a l securities
d e a l e r otherwise subject to the r e q u i r e m e n t s of section 15(a)(1)
of the Act by reason of being a m u n i cipal s e c u r i t i e s broker
o r municipal securities dealer, shall be e x e m p t from the
r e q u i r e m e n t s 'of such section, p r o vided such b r o k e r or dealer
shall be in compliance with each of the f o l l o w i n g terms and
conditions;
(a) such b r o k e r or dealer shall h a v e filed with
the Commission not later than N o v e m b e r 30, 1975 an
application for registration p u r suant to rule 15bl-l
(8240.15bl-l) and all other statements and reports
required to be filed with the C o m m i s s i o n in connection
w i t h such application pursuant to rule 1 5 b l - 2 (§ 240.15bl-2)
or otherwise;
(b) such b r o k e r or dealer shall at all times be
in compliance w i t h all other a p p l i c a b l e prov i s i o n s
of the Act, the rules and regulations of the Commission .
thereunder and the rules of the M u n i c i p a l Securities
Rul e m a k i n g Board, including all such p r o v i s i o n s , rules
and regulations wh i c h by their terms w o u l d apply to
such dealer if such dealer w e r e r e g i s t e r e d w i t h the
Commission on December 1, 1975; and
(c) such exemption shall terminate on the
earlier of (i) the date of an order of the Commission
granting such broker's or dealer's r e g i s t r a t i o n under
section 15(b)(1) of the Act, or (ii) the date of an
order of the Commission denying such b r o k e r ' s or dealer's
registration under such section 15(b)(1) of the Act, or
(iii) the date of such broker's or d e a l e r ' s failure to
comply w i t h the conditions of this rule.
This temporary rule shall expire on June 1, 1976.

- 19 <

17 C F R 240.15B a 2 - 3 ( T ) .

T e m porary E x e m p t i o n of M u n i c i pal
Securities Deal e r s from the Requirements of S e c tion 1 5B(a) of the Act.

A municipal

securities dealer o t h e r w i s e subject to the
r e q u i rements of section 15B(a) of the A c t shall be exempt
fr o m the requirements of such section, p r o v i d e d such dealer
shall be in compliance with each of the f o l l o w i n g terms and *
c o n d i tfi* o n s :
%
(a) such municipal securities d e a l e r shall
have .filed with the Commission not later than N o v e m b e r 30,
1975 an application for registration p u r s u a n t to rule 15Ba2-l
(§240.15Ba2-l) or rule 15Ba2-2 (§240.15Ba2-2) , as appropriate,
a n d all other statements and reports r e q u i r e d to be filed with
the Commission in connection with such a p p l ication;
*
(b) such municipal securities dea l e r shall at all
times be in compliance with all o t h e r a p p l i c a b l e provisions
o f the Act, the rules and regulations of the Comm i s s i o n
ther e under and the rules of the M u n i c i p a l S e c u r i t i e s Rulem a k i n g Board, including all such provi s i o n s , rules and reg u l a ­
tions which by their terms would apply to such mu n i c i p a l
s ecurities dealer if such dealer w e r e r e g i s t e r e d w i t h the C o m ­
m i s s i o n on December 1, 1975; and

(c)
such exemption shall t e r m i n a t e on the earlie
o f (i) the date of an order of the C o m m i s s i o n gr a n t i n g such
m u n i c i p a l securities dealer's r e g i s t r a t i o n u n d e r section 15B(a)
of the Act, or (ii) the date of an o r d e r of the Commission
d e n ying such m u n icipal securities d e a l e r 1 r. r e g i stration
u n d e r such section 15B(a) of the /.cl:, or (iii) the date of such
m u n i cipal securities dealer's failure to c o m p l y wi t h the
c o n ditions of this rule.
T h i s temporary rule shall expire on J u n e 1, 1976.




- 20 -

The text of the amendment to the Commission's regulations
with respect to delegated authority iollows:
17 C.F.R. §200.30-3 is amended by adding a new pa r a ­
graph (14) thereto, and 17 C.F.R. § 200.30-11(a) is
amended by adding a new paragraph (2) thereto, each
to read as follows:
Pursuant to section 15B(a) of the A c t /I5 U.S.C.
78o-4(aj_/, to authorize the issuance of o r d e r s granting
registration of municipal securities d e a l e r s within
forty-five days of the filing of an a p p l i c a t i o n for
registration as a municipal securities dea l e r ( o r
w ithin such longer period as to w h i c h the applicant
consents).
The text.of Form MSD is attached hereto.
*

*

*

Copies of Forms BD and MSD m a y be o b t a i n e d from the
Office of Reports and Information Services, S e c u r i t i e s
and Exchange Commission, 500 North C a p itol Street,
Washington, D. C. 20549. Only p r i n t e d copies of Fo r m MSD
should be used to apply for registration w i t h the Commission
rather than the copy of the F o r m a t t ached to this release.




By the Commission.

G eorge A. F i t z s i m m o n s
Secretary

'm

- 21 -

1/

17 C.F.R.

S240.15Ba2-l.

2/

17 C.F.R.

6240.950.

3/

17 C.F.R.

S240.15Ba2-2.

4/

17 C.F.R.

S240w15a-l(T).

5/

17 C.F.R.

§240.1 5 B a 2 - 3 ( T ) .

6/

15 U.S.C. 78a et s e q . , as a m e nded b y Pub. L. 94-29
(June 4, 1975).

2/

15 U.S.C. 78b, 78c, 78o,

8/

15 U.S.C.

9/

Such persons are "brokers" or " d e a l e r s " w i t h i n the m e a n ­
ing of sections 3(a)(4) and 3(a)(5) of the Act.
In t r a ­
state dealers are not, however, subject to the re g i s t r a ­
tion requirements of section 15 of the A c t since section
15(a)(1) contains an exception for b r o k e r s and dealers
w hose business is exclusively intrastate.
In section
15B(a)(l), however, there is no such e x c l u s i o n and the
jurisdictional basis appears to be s u f f i c i e n t l y broad
to be applicable to all such dealers.
Thus, any municipal
securities dealer which makes use of the ma i l s or any
means or instrumentality of i n t e r s t a t e c o m m e r c e to
effect transactions in m u n icipal s e c u rities (other than
dealers registered under section 15) m u s t re g i s t e r under'
section 1515(a).
In section 3(a) (17) of the Act, as
amended by the 1975 Amendments, the d e f i n i t i o n of
"interstate commerce" includes the " i n t r a s t a t e use of
. . . a telephone or other intrastate m e a n s of com m u n i c a ­
tion . . . ."




78q and 78w.

78d-l, 78d-2.

- 22 -

10/

Section 31(a) o f the 1975 Amendments,

n /

40 F.R. 37228 (1975).

12/

The Comment period expired on September 12, 1975.
Comments are contained in Commission File No. S7-577,
which is available for public inspection.

13/

The Board was constituted on September 5, 1 9 /5 . See
Securities Exchange Act Release No. 11535 (S e p t. 5, 1975).

14/

The Board's rule proposals also c o n c e r n e d matt e r s
relating to the operation and administration of the
Board. Notice of all rule proposals filed by the Board
is expected to be published in the Federal Register
during the week of October 20, 1975. See S e c u r i t i e s
Exchange Act Release No.. . 13 741 (October 15 , 1975).

15/

A ’
’
bank" is d e f ined in section 3(a)(6) of the Act as
follows:




. . . (A) a banking institution organized under
the laws of the United States, (B) a member bank
of the Federal Reserve System, (C) any other
banking institution, whether incorporated or not, ’
doing business under the laws of any State or of
the United States, a substantial portion of the
business of which consists of receiving deposits
or exercising a fiduciary power similar to those
permitted to national banks under section 11(k)
•of the Federal Reserve Act, as amended, and which *
is supervised and examined by State or Federal
authority having supervision over banks, and
which is not operated for the purpose of evading the
provisions of this title, and (D) a receiver,
conservator’, or other liquidating agent of any
institution or firm included in clauses (A), (B),
or (C) of this paragraph.

I

- 23 -

16/

See note 9 supra.

17 /

The bank regulatory agencies have generally defined
''trading account securities” as a portfolio of
securities separate from the bank's investment account
which are held for resale to other banks and the public
generally.

18 /

Section 3(a)(4) provides:

The term "broker" means any person engaged in
the business of effecting transactions in
securities for the account of others, but does
not include a bank.
19/

Section 15B(b)(2)(H) of the Act r e q u i r e s the Board to:

. . . define the term 'separately identifiable
department or division', as that term is used
in section 3(a)(30) of this title, in accordance
with specified and appropriate standards to
assure that a bank is not deemed to be engaged
in the business of buying and selling municipal
securities through a separately identifiable
department or division unless such department or
division is organized and administered so as to
permit independent examination and enforcement
of applicable provisions of this title, the rules
and regulations thereunder and the rules of the
Board. A separately identifiable department or
division of a bank may be engaged in activities
other than those relating to municipal securities.
20/

15 U.S.C. 7Ss. In addition to the Board rules set forth
in this release, rules 2 and 3 of the Board, which establish
certain procedures for the administration of the Board,
such as those relating to notice of meetings, quorum and
voting requirements and the submission of rule proposals
to the Commission, have ..become effective.
See Securities
Exchange Act Release No.
11741 (October 15 , 1975).




- 24 -

21 /

15 U.S.C. 78q and 78ff(a).

22/

Sec note 10, supra.

23/

Revised F o r m BD beca m e effective on O c t o b e r 1, 1975.
Sec Securities Exchange Act Release No. 11530 (June 10,

1975), 40 F.R. 30636 (1975).
24/




See Securities Exchange Act Release No. 11487 (June 20,

1975), 40 F.R. 27441 (1975).

FORM MSD

APPLICATION FOR REGISTRATION AS A MUNICIPAL
SECURITIES DEALER PURSUANT TO RULE 1 5 B a 2 - l UNDER THE
SECURITIES EXCHANGE ACT OF 1 9 3 4 OR AMENDMENT TO SUCH APPLICATION

G eneral I n s tr u c tio n s
A.

Use o f Form
■»

T h i s F orm i s t o b e u s e d b y a b a n k o r a s e p a r a t e l y i d e n t i f i a b l e
d ep a rtm en t o r d i v i s i o n o f a bank (a s d e f in e d by th e M u n ic ip a l
S e c u r i t i e s R ulem aking B o ard ) t o a p p ly f o r r e g i s t r a t i o n a s a m u n i c i p a l
s e c u r i t i e s d e a l e r w i t h t h e S e c u r i t i e s a n d E x c h a n g e C o m m is s io n p u r s u a n t
to s e c t i o n 15B (a) o f t h e S e c u r i t i e s E x ch a n g e A c t o f 1934 ( t h e " A c t " ) ,
o r t o amend s u c h a p p l i c a t i o n .
I f a p p lic a n t i s a -d e p a rtm e n t or
d i v i s i o n o f a b a n k , t h e a p p l i c a t i o n o r a m en d m e n t s h a l l b e
deem ed t o h a v e b e e n made by t h e b a n k o n b e h a l f o f t h e a p p l i c a n t .
B.

P re s e n ta tio n of In fo rm atio n
A l l i n f o r m a t i o n r e q u i r e d b y F orm MSD m u s t b e s u b m i t t e d i n t y p e w r i t t e n o r
p r i n t e d m anner on th e p r e s c r i b e d form o r m e c h a n ic a l r e p r o d u c t i o n s t h e r e o f
The e x e c u t i o n p a g e o n e a c h c o p y o f t h e f o r m m u s t c o n t a i n a n o r i g i n a l
m anual s i g n a t u r e o f th e a p p r o p r i a t e d u ly a u t h o r i z e d i n d i v i d u a l .
M ech an ical
r e p r o d u c t i o n s o f s i g n a t u r e s f o r t h i s p u r p o s e a r e n o t a c c e p t a b l e . ~~aTI
o t h e r p a g e s c o n t a i n i n g c o r r e c t i n f o r m a t i o n may b e m e c h a n i c a l l y reproduced
b y a n y m e th o d p r o d u c i n g c l e a r , l e g i b l e c o p i e s o f i d e n t i c a l t y p e s i z e .
R e ta in one e x a c t copy f o r y o u r r e c o r d s .
A d d i t i o n a l c o p i e s o f F orm MSD a r e a v a i l a b l e f r o m t h e S e c u r i t i e s
E x c h a n g e C o m m i s s i o n , W a s h i n g t o n , D. C.
20549.

C.

an d

S ig n a tu re
Form MSD s h a l l b e s i g n e d i n t h e name o f t h e a p p l i c a n t by a p r i n c i p a l
o f f i c e r of th e a p p lic a n t o r , i f a p p lic a n t i s a d e p a rtm e n t o r d iv is io n
o f a b a n k , by a p r i n c i p a l o f f i c e r o f t h e b a n k , i n e a c h c a s e d u l v
a u t h o r i z e d t o s i g n t h i s F o rm , who i s d i r e c t l y e n g a g e d i n t h e
m a n a g e m e n t, d i r e c t i o n o r s u p e r v i s i o n o f t h e a p p l i c a n t ' s m u n i c i p a l
s e c u ritie s d e a le r a c t i v i t i e s .

D.

A d d i t i o n a l Space
I f t h e s p a c c p r o v i d e d f o r a n y a n s w e r on F orm MSD, o t h e r t h a n t h e S c h e d u l e s
t o t h e Form , i s i n s u f f i c i e n t , t h e a n s w e r may b e c o m p l e t e d o n a d d i t i o n a l
s h e e t s a t t a c h e d t o t h e Form a n d a p p r o p r i a t e l y i d e n t i f i e d .




FORM MSD
-

E.

i i

-

Names
I n d i v i d u a l s 1 nam es, e x c e p t f o r e x e c u tin g s i g n a t u r e s , s h a l l be
f u l l w h e r e v e r r e q u i r e d ( l a s t n am e, f i r s t n a m e , m i d d l e n a m e ) .
m i d d l e name i s r e q u i r e d .
I n i t i a l s a re n o t a c c e p ta b le u n less
in d i v id u a l l e g a l l y has o n ly an i n i t i a l .
I f so, in d ic a te th is
th e i n i t i a l .

F.

g iv en in
The f u l l
th e
a fte r

A c cep tan c e' fo r F ilin g
A Form MSD w h i c h i s n o t p r e p a r e ’d a n d e x e c u t e d i n c o m p l i a n c e w i t h a p p l i c a b l e
r e q u i r e m e n t s may b e r e t u r n e d a s n o t a c c e p t a b l e f o r f i l i n g .
H o w ever,
a c c e p t a n c e o f t h i s F orm s h a l l n o t c o n s t i t u t e a n y f i n d i n g t h a t i t h a s
been f i l e d as re q u ir e d o r t h a t th e in fo rm a tio n su b m itte d i s tr u e ,
c u r r e n t , o r co m p lete.

G.

II.




G en eral D e fin itio n s
"'

'

..... - "

*

—
•

a.

U n less th e c o n te x t c l e a r l y i n d i c a t e s o th e r w is e o r u n le s s o th e rw ise
s p e c i f i e d i n t h e s e i n s t r u c t i o n s , a l l t e r m s u s e d i n Form MSD h a v e
t h e sam e m e a n i n g a s i n t h e A c t a n d t h e G e n e r a l R u l e s a n d R e g u l a t i o n s
o f t h e S e c u r i t i e s an d E xchange C om m issio n.
In p a r t i c u l a r , th e
te rm s " s e l f - r e g u l a t o r y o r g a n i z a t i o n , " " r u l e s o f a s e l f - r e g u l a t o r y
o r g a n i z a t i o n , " ' ‘m u n i c i p a l s e c u r i t i e s , " " m u n i c i p a l s e c u r i t i e s d e a l e r , "
" p e r s o n a s s o c i a t e d w i t h a m u n i c i p a l s e c u r i t i e s d e a l e r , " ,lm u n i c i p a l
s e c u r i t i e s in v e s tm e n t p o r t f o l i o , " " a p p r o p r i a t e r e g u l a t o r y a g e n c y ,"
and " r e c o r d s " s h a l l h a v e t h e r e s p e c t i v e m e a n in g s s e t f o r t h i n
s e c tio n s 3 (a )(2 6 ), 3 (a )(2 8 ), 3 (a )(2 9 ), 3 (a )(3 0 ), 3 (a )(3 2 ), 3 (a )(3 3 ),
3 ( a ) (3 4 ) and 3 ( a ) ( 3 7 ) o f th e A c t.

b.

J u r i s d i c t i o n - The t e r m " j u r i s d i c t i o n " m e a n s a s t a t e , a t e r r i t o r y ,
t h e D i s t r i c t o f C o l u m b i a , t h e C om m o nw ealth o f P u e r t o R i c o , o r any
s u b d i v i s i o n o r r e g u l a t o r y body t h e r e o f .

c.

P e r s o n - The t e r m " p e r s o n " i n c l u d e s a c o r p o r a t i o n , p a r t n e r s h i p , o t h e r
o r g a n i z a t i o n , t r u s t and e s t a t e , as w e l l a s a n a t u r a l p e r s o n .

d.

M u n ic ip a l s e c u r i t i e s d e a l e r a c t i v i t i e s - The te rm " m u n ic ip a l s e c u r i t i e s
d e a le r a c tiv itie s " in c lu d e s:
(1 ) u n d e r w r i t i n g , t r a d i n g and s a l e s o f m u n i c i p a l s e c u r i t i e s ;
(2 ) p r o c e s s i n g and c l e a r a n c e a c t i v i t i e s w i t h re s p e c t: to
m u n icip al s e c u r i t i e s ;
( 3 ) r e s e a r c h , a n a l y s i s and t h e p r e p a r a t i o n o f l i t e r a t u r e f o r
u s e i n c o n n e c t i o n w ith th e a c t i v i t i e s d e s c r i b e d i n (1)
ab o v e ; and
(4) m a in te n a n c e o f r e c o r d s p e r t a i n i n g to th e a c t i v i t i e s
d e s c r ib e d i n (1 ) th ro u g h (3 ) a b o v e .

A m endm ents
The i n f o r m a t i o n c o n t a i n e d

i n Form MSD i s

o f a c o n t i n u i n g n a t u r e an d m u s t

-

i i i

-

b e u p d a t e d o r am ended p e r i o d i c a l l y i n t h e e v e n t a n y o f t h e i n f o r m a t i o n
p r e v i o u s l y s u b m i t t e d t o t h e C o m m is s io n b e c o m e s i n c o m p l e t e o r i n a c c u r a t e .
W here a n i t e m i s b e i n g a m e n d e d , o n l y t h o s e i t e m s w h i c h a r e b e i n g am en ded
o r w h ich h a v e chan g cd s i n c e th e p r e v i o u s f i l i n g n e e d be f i l e d , e x c e p t
t h a t a c o m p le te d page one and a - c o m p le te d e x e c u t i o n p a g e , m a n u a lly s i g n e d ,
m u s t b e f i l e d w i t h e a c h a m e n d m e n t. WHEN ANY ITEM ON A PACE IS AMENDED, IT
I S NECESSARY TO ANSWER IN FULL ALL OTHER ITEMS ON THE PAGE BEING AMENDED.
Ite m s Not A p p l i c a b l e
I f Form MSD i s b e i n g f i l e d a s a n a p p l i c a t i o n f o r r e g i s t r a t i o n , a l l a p p l i c a b ]
it e m s m ust b e an sw e re d i n f u l l . 9 I f an y i t e m i s n o t a p p l i c a b l e , i n d i c a t e ' by
" n o n e " o r "N /A " a s a p p r o p r i a t e .
S ch ed u les

t o Form

E a c h S c h e d u l e t o F orm MSD i s

d eem ed t o b e a p a r t o f t h e F o rm .
« *

F i l i n g o f Form
F o rm MSD m u s t b e f i l e d i n t r i p l i c a t e w i t h t h e S e c u r i t i e s a n d E x c h a n g e
C o m m i s s i o n , W a s h i n g t o n , D. C. 2 0 5 4 9 .
The e x e c u t i o n p a g e o f e a c h copy
s h a l l c o n ta in an o r i g i n a l m anual s i g n a t u r e .
In a d d i t i o n , an o r i g i n a l
s i g n e d c o p y o f t h e Form m u s t b e f i l e d w i t h a p p l i c a n t ' s a p p r o p r i a t e
r e g u l a t o r y a g e n c y , d e te r m in e d in a c c o rd a n c e w i t h s e c t i o n 3 ( a ) (34) o f
th e A c t.
A p p lic a n ts w h ich a r e n a t i o n a l b a n k s , o r d e p a rtm e n ts o r d i ­
v i s i o n s o f s u c h b a n k s , m u s t f i l e Form MSD w i t h t h e C o m p t r o l l e r o f t h e
C u r r e n c y , W a s h i n g t o n , D. C. 2 0 2 1 9 ; a p p l i c a n t s w h i c h a r e S t a t e member
b a n k s o f t h e F e d e r a l R e s e r v e S y ste m , o r d e p a r t m e n t s o r d i v i s i o n s o f
s u c h b a n k s , m u s t f i l e Form MSD w i t h t h e F e d e r a l R e s e r v e B o a r d ,
W a s h i n g t o n , D. C. 2 0 5 5 1 ; a p p l i c a n t s w h i c h a r e b a n k s i n s u r e d b y t h e
F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t i o n ( o t h e r t h a n m em b ers o f t h e
F e d e r a l R eserv e S y ste m ), o r d e p a rtm e n ts o r d i v i s i o n s o f such b a n k s,
m u s t f i l e Form MSD w i t h t h e F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t i o n ,
W a s h i n g t o n , D. C. 2 0 4 2 9 .
In stru c tio n s

to S p e c i f i c

Item s

a.

Item s
bank,
th an
w h ich
2( d ) .

b.

Item 5 - T h is ite m c a l l s f o r i n f o r m a t i o n c o n c e r n i n g p e r s o n s
d i r e c t l y en g ag ed in t h e s u p e r v i s i o n o f any o f t h e a p p l i c a n t ' s m u nic­
ip a l s e c u ritie s d e a le r a c ti v i t i e s .
A s e p a r a t e S c h e d u l e A m u s t be
c o m p l e t e d f o r e a c h p e r s o n named i n r e s p o n s e t o i t e m 5.




2 ( a ) and 2 (b ) - I f a p p l i c a n t i s a d e p a r t m e n t o r d i v i s i o n o f a
t h e s e i t e m s s h o u l d be a n s w e r e d o n l y f o r a p p l i c a n t , r a t h e r
fo r th e bank.
In fo rm a tio n w ith r e s p e c t to th e bank of
a p p l i c a n t i s a p a r t m u s t be g i v e n i n r e s p o n s e t o i t e m

FORM MSD

Page Two




(b )

A d d r e s s a n d t e l e p h o n e nu m b er o f p r i n c i p a l o f f i c e a t w h i c h a p p l i ­
c a n t ' s m u n ic ip a l s e c u r i t i e s d e a l e r a c t i v i t i e s a r e co n d u c te d :
A d d ress o f p r i n c i p a l o f f i c e :

Number a n d S t r e e t
M ailin g a d d re ss i f

C ity

S ta te

Z i p Code

C ity

S ta te

Z ip Code

d iffe re n t

Number a n d S t r e e t
T e l e p h o n e N um ber:

T e l e p h o n e N um ber

A r e a Code

Name, t i t l e , m a i l i n g a d d r e s s an d t e l e p h o n e n u m b e r o f p e r s o n t o
c o n ta c t w ith r e s p e c t to a p p l i c a n t's m u n ic ip a l s e c u r i ti e s d e a le r
a c tiv itie s :

T itle

Name
M a ilin g A ddress:

Number a n d S t r e e t

C ity

S ta te

Z ip Code

T e l e p h o n e N um ber:

T e l e p h o n e N um ber

A r e a Code

(d)

I f a p p l i c a n t i s a d e p a r t m e n t o r d i v i s i o n o f a b a n k , nam e,
p r in c ip a l b u sin e ss a d d re s s , m a ilin g a d d r e s s , i f d i f f e r e n t ,
a n d t e l e p h o n e n um b er o f b a n k :
F u l l name o f b a n k :

Number a n d S t r e e t

C ity

S ta te

Z ip Code

C ity

S ta te

Z i p Code

C ity

S ta te

Z ip Cod o

A ddress o f p r i n c i p a l p la c e of b u s in e s s :

Number and S t r e e t
M ailin g a d d re s s

if

d iffe re n t:

Number a n d S t r e e t

FORM MSD
P age T h re e

T e l e p h o n e Num ber:

A r e a Code

(e)

3.

A.

T e l e p h o n e N um ber

A p p l i c a n t a g r e e s and c o n s e n ts t h a t t h e n o t i c e o f an y p r o c e e d i n g
u n d e r t h e A c t i n v o l v i n g a p p l i c a n t may b e g i v e n by s e n d i n g s u c h
n o t i c e by m a i l o r c o n f ir m e d t e l e g r a m t o t h e p e r s o n nam ed, a t t h e
a d d re s s g iv e n , in r e s p o n s e to ite m 2 ( c ) .

L i s t belo w e a c h j u r i s d i c t i o n i n w h ic h a p p l i c a n t , o r t h e b an k o f
w hich a p p l i c a n t i s a p a r t , i s f i l i n g o r h as f i l e d an a p p l i c a t i o n
f o r r e g i s t r a t i o n o r lic e n s e as a m u n icip al s e c u r i t i e s d e a le r o r in
w h ic h a p p l i c a n t , o r t h e b a n k o f w h ic h a p p l i c a n t i s a p a r t , i s so
re g is te re d or lic e n se d :
4

(a)

I n d i c a t e w h e th e r a p p l i c a n t , o r th e bank o f w h ich a p p l i c a n t i s a
p a r t , i s a n a t i o n a l b an k in g a s s o c i a t i o n o r o p e r a te s u n d er th e
Code o f Law o f t h e D i s t r i c t o f C o l u m b i a :

Yes

No

(b)

I f a p p lic a n t i s a b an k , th e d a te o f a p p l i c a n t 's o r g a n iz a t i o n .
I f a p p lic a n t i s a d ep a rtm en t o r d i v i s i o n o f a b ank, th e d a te
o f th e b a n k 's o r g a n iz a tio n :

(c)

I f a p p l i c a n t , o r th e bank o f V h ich a p p l i c a n t i s a p a r t , i s a
s t a t e - c h a r t e r e d b a n k , i n d i c a t e w h e th e r a p p l i c a n t o r such bank
is :




(1)

a member o f F e d e r a l R e s e r v e S y s t e m :

Y es
(2)

No

i f n o t a member o f t h e F e d e r a l R e s e r v e S y sL cm , i n s u r e d bv
th e F e d e ra l D e p o sit In su ra n c e C o rp o r a tio n :

Yes

No

FORM MSD
Page F our

5.




F u r n i s h t h e f o l l o w i n g i n f o r m a t i o n f o r e a c h p e r s o n who i s d i r e c t l y
e n g ag ed i n th e m an ag em en t, d i r e c t i o n o r s u p e r v i s i o n o f any o f th e
a p p l i c a n t 's m u n icip al s e c u r i t i e s d e a le r a c t i v i t i e s :
________________FULL NAME___________________

_________ RELATIONSHIP

L ast

T itle or
S ta tu s

'

F irst

M id d le

B e g i n n i n g D a te
Mo.
Y r.

I f a p p l i c a n t i s a d e p a r t m e n t o r d i v i s i o n o f a b a n k , p l a c e an
a s t e r i s k n e x t t o t h e name o f e a c h p e r s o n l i s t e d a b o v e who h a s b e e n
d e s i g n a t e d by t h e b o a r d o f d i r e c t o r s o f t h e b a n k a s r e s p o n s i b l e f o r
th e d a y -to -d a y co n d u ct o f th e b a n k 's m u n ic ip a l s e c u r i t i e s d e a le r
a c t i v i t i e s , in c lu d in g th e s u p e r v is io n o f a l l o f th e b a n k 's
em p lo y ees engaged i n th e p e r fo rm a n c e o f su c h a c t i v i t i e s .

i u i u ’l fl^U

Page F iv e

C o m p le te a s e p a r a t e S c h e d u l e A f o r e a c h p e r s o n nam ed i n r e s p o n s e
to item 5 ( a ) .
I f a p p lic a n t i s a d ep a rtm en t o r d i v i s i o n o f a bank,
a t t a c h a s a n e x h i b i t t o t h i s Form a c o p y o f t h e r e s o l u t i o n 6 r
r e s o l u t i o n s o f the b o a r d o f d i r e c t o r s o f t h e b an k i n w h ic h ea ch
p e r s o n i d e n t i f i e d i n i t e m 5 ( a ) a s h a v i n g b e e n d e s i g n a t e d by t h e
board as r e s p o n s ib le f o r th e d a y - to - d a y c o n d u c t o f th e b a n k 's m u n ic ip a l
s e c u r i t i e s d e a l e r a c t i v i t i e s i s so d e s i g n a t e d . ' S u c h r e s o l u t i o n s m u s t
be c e r t i f i e d by a n a p p r o p r i a t e o f f i c e r o f t h e b a n k a s h a v i n g b e e n d u l y
a d o p t e d and a s t r u e , c u r r e n t an d c o m p l e t e .

6.

*

Does an y p e r s o n n o t named i n i t e m 5 d i r e c t l y o r i n d i r e c t l y c o n t r o l
any o f t h e a p p l i c a n t ' s m u n i c i p a l s e c u r i t i e s d e a l e r a c t i v i t i e s ?

Yes

No

•

I f " y e s , " s t a t e on S c h e d u l e B t h e e x a c t name ^ n d . b u s i n e s s ( o r i f n o n e ,
r e s id e n c e ) a d d re s s o f each such p e rs o n ( i f an i n d i v i d u a l , s t a t e l a s t ,
f i r s t and m id d le nam es) and d e s c r i b e t h e b a s i s t h r o u g h w h ic h such
perso n d i r e c t ly or i n d i r e c t l y c o n tr o ls a p p l i c a n t 's m u n ic ip a l s e c u r i­
t i e s d e a le r a c t i v i t i e s .
I f a p p lic a n t i s a d ep a rtm en t o r d iv is io n
o f a b a n k and a n y s u c h p e r s o n h a s b e e n d e s i g n a t e d by t h e b o a r d o f
d i r e c t o r s of th e bank as r e s p o n s i b l e f o r th e d a y - to - d a y co n d u c t o f
t h e b a n k 's m u n ic ip a l s e c u r i t i e s d e a l e r a c t i v i t i e s , so i n d i c a t e i n
S c h e d u l e B an d e x p l a i n why s u c h p e r s o n i s n o t n a m e d . i n i t e m 5 .

7.

(a)




S t a t e w h e t h e r t h e a p p l i c a n t , a n y p e r s o n nam ed i n r e s p o n s e t o
ite m s 5 o r 6 , o r any p e r s o n d i r e c t l y e n g a g ed i n th e m anage­
m en t, d i r e c t i o n , s u p e r v i s i o n o r p e rfo rm a n c e o f any o f t h e a p p l i ­
c a n t ' s m u n i c i p a l s e c u r i t i e s d e a l e r a c t i v i t i e s , o r who d i r e c t l y
o r i n d i r e c t l y c o n t r o l s a n y o f s u c h a c t i v i t i e s o r who i s d i r e c t l y
o r i n d i r e c t l y c o n t r o l l e d by a p p l i c a n t i n c o n n e c t i o n w i t h an y
o f s u c h a c t i v i t i e s , i n c l u d i n g an y e m p l o y e e :
(i)

Has b e e n f o u n d by t h e S e c u r i t i e s a n d E x c h a n g e C o m m is s io n o r
an a p p r o p r i a t e r e g u l a t o r y agen cy o r any j u r i s d i c t i o n w i l l ­
f u l l y t o h a v e m ade o r c a u s e d t o b e m ad e a n y s t a t e m e n t w h i c h
w a s, a t th e tim e and i n th e l i g h t o f th e c irc u m s ta n c e s under
w h i c h i t w a s m a d e , f a l s e a n d m i s l e a d i n g w i t h r e s p e c t t o any
m a t e r i a l f a c t , o r t o h a v e o m i t t e d to s t a t e any m a t e r i a l f a c t ,
w h i c h w as r e q u i r e d t o b e s t a t e d , i n an y a p p l i c a t i o n l o r
r e g i s t r a t i o n o r r e p o r t r e q u ir e d to be f i l e d u n d er th e F e d e ra l
s e c u r i t i e s law s o r u n d e r t h e s e c u r i t i e s law s o f any j u r i s d i c t i o n
o r i n a n y p r o c e e d i n g b e f o r e t h e S e c u r i t i e s a n d E x c h a n g e Com­
m i s s i o n o r an a p p r o p r i a t e r e g u l a t o r y a g e n c y o r any j u r i s d i c t i o n
r e l a t i n g to s e c u r i t i e s o r th e co n d u ct o f b u s in e s s o r r e g i s t r a ­
tio n as a b ro k e r, d e a le r , m u n icip al s e c u r i t i e s d e a le r or in ­
v estm en t a d v is e r o r a s s o c ia te d p e rs o n t h e r e o f :

Yes

No

FORM MSD
Page Six




(ii)

Has b e e n c o n v i c t e d w i t h i n 10 y e a r s o f a n y f e l o n y o r m i s ­
d e m e a n o r ( 1 ) i n v o l v i n g t h e p u r c h a s e 6 r s a l e o f any
s e c u r i t y , th e t a k i n g o f a f a l s e o a t h , t h e m aking o f a
f a l s e r e p o r t , b r i b e r y , p e r ju r y , b u r g l a r y , o r co n sp ira cy
t o com m it a n y s u c h o f f e n s e ; ( 2 ) a r i s i n g o u t o f t h e c o n d u c t
o f th e b u s in e s s of a b ro k e r, d e a l e r , m u n ic ip a l s e c u r i­
t i e s d e a l e r , i n v e s t m e n t a d v i s e r , b a n k , i n s u r a n c e com p any ,
o r f i d u c i a r y ; (3) in v o lv in g th e l a r c e n y , t h e f t , ro b b e ry ,
e x t o r t i o n , f o r g e r y , c o u n t e r f e i t i n g , f r a u d u l e n t con­
c e a lm e n t, em b ezzlem en t, f r a u d u l e n t c o n v e r s i o n , o r m is­
a p p r o p r i a t i o n o f fu n d s o r s e c u r i t i e s ; o r (4 ) in v o lv in g
t h e v i o l a t i o n o f S e c t i o n s 1 5 2 , 1 3 4 1 , 1 3 4 2 o r 1 3 43 o r
C h a p t e r s 25 o r 4 7 o f . T i t l e 1 8 , U n i t e d S t a t e s Code
(c o n c e a lm e n t o f a s s e t s , f a l s e o a th s and c l a i m s , o r
b r i b e r y , i n any b a n k r u p tc y p r o c e e d i n g ; m a il f r a u d , fra u d
by w i r e , i n c l u d i n g t e l e p h o n e , t e l e g r a p h , r a d i o o r t e l e ­
v i s i o n ; c o u n t e r f e i t i n g , f o r g e r y , fra b d ,* f a l s e s t a t e m e n t s ) ;
o r h as p le a d e d n o lo c o n te n d e re to any su c h f e lo n y o r
m isd em ean o r:

Y es
(iii)

No

I s e n j o i n e d p e r m a n e n t l y , o r w i t h i n t h e p a s t 10 y e a r s h a s b e e n
e n j o i n e d t e m p o r a r i l y , b y o r d e r , j u d g m e n t o r d e c r e e o f any
c o u r t o f co m p e te n t j u r i s d i c t i o n from a c t i n g a s an in v e stm e n t
a d v is e r , u n d e r w rite r, b ro k e r, d e a le r , o r m u n ic ip a l s e c u r itie s
d e a l e r o r a s a n a s s o c i a t e d p e r s o n o r e m p l o y e e o f any o f t h e
f o r e g o i n g , o r a s a n a f f i l i a t e d p e r s o n o r e m p l o y e e o f any
i n v e s t m e n t c o m p a n y , b a n k , o r i n s u r a n c e c o m p a n y , o r fro m
e n g a g in g i n o r c o n t i n u i n g any c o n d u c t o r p r a c t i c e i n c o n n e c t i o n
w i t h any su c h a c t i v i t y , o r i n c o n n e c t i o n w i t h t h e p u r c h a s e
o r s a l e o f any s e c u r i t y , o r a r i s i n g o u t o f an y s e c u r i t i e s
o r in v e stm e n t a d v is o ry a c t i v i t i e s :

Ye s

(iv )

No

Has b e e n f o u n d by t h e S e c u r i t i e s a n d E x c h a n g e C om m issio n o r
a n a p p r o p r i a t e r e g u l a t o r y a g e n c y o r a n y j u r i s d i c t i o n o r anv
c o u r t to have v i o l a t e d o r to have a i d e d , a b e t t e d , c o u n s e lle d ,
com m anded, i n d u c e d , o r p r o c u r e d t h e v i o l a t i o n by any o t h e r
p e r s o n o f th e F e d e r a l la w s , o r th e la v a o f any j u r i s d i c t i o n
r e l a t i n g to s e c u r i t i e s o r r e l a t i n g to t h e c o n d u c t o f b u s in e s s
a s a b r o k e r , d e a l e r , m u n i c i p a l s e c u r i t i e s d e a l e r , investm ent
a d v i s e r , o r i n v e s tm e n t com pany, any r u l e o r r e g u l a t i o n u u u er
any o f such la w s , o r any r u l e o f th e M u n ic ip a l S e c u r i t i e s
R u lem ak in g H o a rd , o r to h av e f a i l e d r e a s o n a b l y to s u p e r v i s e
a n o t h e r p e r s o n who c o m m i t t e d s u c h a v i o l a t i o n , o r t o h a v e b e e n
u n a b l e t o c o m p ly w i t h a n y o f t h e f o r e g o i n g :

----------------------------------------------

I

i vjm 'i rujL>

P age Seven

(v)

<

Has b e e n t h e s u b j e c t o f a n o r d e r o f t h e S e c u r i t i e s a n d E x c h a n g e
C o m m is s io n e n t e r e d p u r s u a n t t o p a r a g r a p h ( 6 ) o f S e c t i o n 1 5 ( b ) o r
p a r a g r a p h (4 ) o f S e c t i o n 15B (c) o f t h e S e c u r i t i e s Exchange A ct o f
1934 o r a n o r d e r o f a c o u r t o r j u r i s d i c t i o n , o r a n o r d e r o f
an a p p r o p r i a t e r e g u la t o r y agency e n t e r e d p u r s u a n t to p a ra g ra p h
(5) o f S e c tio n 15B (c) o f th e S e c u r i t i e s E xchange A ct o f 1934,
b a r r i n g o r s u sp e n d in g th e r i g h t o f su ch p e r s o n to be a s s o c ia te d
w ith a b ro k e r o r d e a le r o r m u n icip al s e c u r i t i e s d e a le r :

••

(v i)

Yes

No

Has b e e n d e n i e d m e m b e r s h i p o r r e g i s t r a t i o n w i t h , o r p a r t i c i p a ­
t i o n i n , o r h a s b e e n s u s p e n d e d , r e v o k e d o r e x p e l l e d fr o m
m em b ersh ip , p a r t i c i p a t i o n i n o r r e g i s t r a t i o n w i t h any s e l f r e g u l a t o r y o r g a n i z a t i o n , o r h a s b e e n s u s p e n d e d o r b a r r e d fro m
b e i n g a s s o c i a t e d w i t h an y member o f a s e l f - r e g u l a t o r y o r g a n i z a t i o n :

Yes
(v ii)

Has b e e n d e n i e d r e g i s t r a t i o n ( l i c e n s e ) w i t h , o r s u s p e n d e d ,
re v o k e d o r e x p e l l e d fro m r e g i s t r a t i o n ( l i c e n s e ) w i t h t h e
S e c u r i t i e s a n d E x c h a n g e C o m m is s io n o r a n y j u r i s d i c t i o n a s
a b ro k e r, d e a le r , in v e stm e n t a d v i s e r , s e c u r i t i e s salesm an ,
o r m u n i c i p a l s e c u r i t i e s d e a l e r , o r h a s b e e n b a r r e d from
b ein g a s s o c ia te d w ith a p erso n engaged i n su ch b u s in e s s :

Yes
(v iii)




No

Has b e e n f o u n d t o h a v e b e e n a c a u s e o f ( 1 ) t h e d e n i a l ,
s u s p e n s i o n , o r r e v o c a t i o n o f any p e r s o n ’ s m em b ersh ip o r
p a r tic ip a tio n in , or r e g is tr a tio n w ith th e S e c u ritie s
an d E x c h a n g e C o m m i s s i o n , a n y j u r i s d i c t i o n , o r a n y s e l f r e g u l a t o r y o r g a n i z a t i o n , (2 ) a n y b a r o r s u s p e n s i o n o f any
p e r s o n from b e in g a s s o c i a t e d w i t h a b r o k e r , d e a l e r , m u n ic ip a l
s e c u r i t i e s d e a l e r , o r member o f a s e l f - r e g u l a t o r y o r g a n i z a ­
t i o n , o r (3 ) any e x p u l s i o n o f any p e r s o n fro m a s e l f - r e g u l a t o r y
o rg a n iz a tio n :

Yes •.
(ix )

No

No

Has w i l l f u l l y m ade o r c a u s e d t o be m ade a n y s t a t e m e n t w h i c h w a s ,
a t t h e t i m e an d i n t h e l i g h t o f t h e c i r c u m s t a n c e s u n d e r w h i c h i t
was m ade, f a l s e and m i s l e a d i n g w i t h r e s p e c t to any m a t e r i a l f a c t ,
o r h a s o m i t t e d t o s t a t e an y m a t e r i a l f a c t , w h i c h w as r e q u i r e d t o
be s t a t e d , in any a p p l i c a t i o n f o r m e m b e rsh ip o r p a r t i c i p a t i o n i n ,
o r t o becom e a s s o c i a t e d w i t h a m em ber o f , a s o l f - r e j ’. u ] a t e r y o r g a n i ­
z a t i o n , in any r e p o r t r e q u i r e d to be f i l e d w i t h a s e l f - r e g u l a t o r y
o r g a n i s a t i o n , o r in any p r o c e e d i n g b e f o r e a s e l f - r e g u l a t o r y
o rg a n iz a tio n :
Yes

No

FORM MSD
Page Eight

(x)

Has b e e n , w i t h i n t h e p a s t 10 y e a r s , t h e s u b j e c t o f a n y c e a s e
an d d e s i s t , d e s i s t a n d r e f r a i n , p r o h i b i t i o n , o r s i m i l a r o r d e r
w h i c h w a s i s s u e d by t h e U n i t e d S t a t e s o r a n y j u r i s d i c t i o n
a r i s i n g o u t o f th e co n d u ct o f th e b u s in e s s o f a b ro k e r, d e a le r ,
m u n icip al s e c u r i t i e s d e a le r o r in v e stm e n t a d v i s e r :

Yes

No

*

(x i)

Has b e e n a s s o c i a t e d a t a n y t i m e a s a n o f f i c e r , d i r e c t o r , g e n e r a l
p a r t n e r , o r o w n e r o f 10 p e r c e n t u m o r m o r e o f t h e v o t i n g s e c u r i t i e s ,
o r h a s a t any tim e d i r e c t l y o r i n d i r e c t l y th r o u g h ag reem en t
o r o th e r w is e e x e r c i s e d o r had th e power to e x e r c i s e a c o n t r o l l i n g
i n f l u e n c e o v e r t h e m anagem ent o r p o l i c i e s o f , a b r o k e r o r d e a le r
o r m u n ic ip a l s e c u r i t i e s d e a l e r w h ich h a s b e e n a d j u d i c a t e d b an k ru p t
o r a b r o k e r o r d e a l e r f o r w h ich a t r u s t e e .h as b e e n a p p o in te d
p u r s u a n t to th e S e c u r i t i e s I n v e s t o r P r o t e c t i o n A c t o f 1970:

Yes
(x ii)




No

Has b e e n t h e s u b j e c t o f a n y o r d e r , j u d g m e n t , d e c r e e o r o t h e r
s a n c tio n of a fo r e ig n c o u r t, fo re ig n exchange, o r fo re ig n
governm ent o r r e g u l a t o r y agency a r i s i n g o u t o f any s e c u r i t i e s
o r in v estm en t a d v is o ry a c t i v i t i e s :

Yes

No

FORM MSI)
Page Nine

( b ) S t a t e w h e t h e r a p p l i c a n t , a n y p e r s o n named . i n r e s p o n s e t<? i t e m s
5 o r 6 , o r an y o t h e r p e r s o n d i r c c t l y 'e n g a g e d , i n t h e m a n a g e m e n t,
d i r e c t i o n , s u p e r v i s i o n o r p e rfo rm a n c e o f any o f t h e a p p l i c a n t ' s
m u n i c i p a l s e c u r i t i e s d e a l e r a c t i v i t i e s , o r who d i r e c t l y o r i n d i r e c t l y
c o n t r o l s any o f s u c h a c t i v i t i e s o r who i s d i r e c t l y o r i n d i r e c t l y c o n ­
t r o l l e d by a p p l i c a n t i n c o n n e c t i o n w i t h a n y o f s u c h a c t i v i t i e s , i n ­
c l u d i n g an y e m p l o y e e , i s p r e s e n t l y t h e s u b j e c t o f a n y p r o c e e d i n g s i n
w h i c h a n a d v e r s e d e c i s i o n v /o u ld r e s u l t i n a n y o f t h e f o r e g o i n g q u e s t i o n s
i n 'p a r t (a ) b e in g an sw ered "y es
Yes
I f th e answ er to any p a r a g ra p h o f ite m 7 i s
S c h e d u l e A.

No

" y e s , " e x p l a i n on
• -

8.

Each j u r i s d i c t i o n w i t h w h i c h a p p l i c a n t , o r t h s b a n k o f w h i c h
a p p lic a n t i s a p a r t , i s lic e n s e d o r r e g i s t e r e d as a m u n icip al
s e c u r i t i e s d e a l e r o r t o w h i c h a p p l i c a t i o n h a s b e e n m ade s h o u l d
be l i s t e d in ite m 3 .
I f any l i c e n s e o r r e g i s t r a t i o n l i s t e d t h e r e i n
i s o f a r e s t r i c t e d n a t u r e o r h a s b e e n s u s p e n d e d o r i f any l i c e n s e
o r r e g i s t r a t i o n n o t l i s t e d i n ite m 3 was t e r m i n a t e d , o r w ith d ra w n
o r v o l u n t a r i l y t e r m i n a t e d , e x p l a i n f u l l y o n S c h e d u l e C.

9.

Does a p p l i c a n t , o r t h e b a n k o f w h i c h a p p l i c a n t i s a ’ p a r t , h a v e any a r r a n g e ­
m e n t w i t h any o t h e r p e r s o n t o p e r f o r m a n y s e r v i c e s f o r a p p l i c a n t o r f o r
th e bank r e l a t i n g to a p p l i c a n t ’ s m u n i c i p a l s e c u r i t i e s d e a l e r a c t i v i t i e s ?

Y es

No

I f " y e s , " e x p l a i n on S c h e d u le C h e r e t o , i d e n t i f y i n g ea c h such o t h e r
p e r s o n , th e n a t u r e o f a p p l i c a n t 's r e l a t i o n , i f a n y , to such p e r s o n s ,
th e n a t u r e o f su ch s e r v i c e s , and t h e a r r a n g e m e n ts p u r s u a n t to w h ich
such s e r v ic e s a r e p e rfo rm e d .
10.

(a)

I f a p p lic a n t i s a ban k , does a p p l i c a n t m a in ta in a m u n ic ip a l
s e c u r i t i e s in v estm en t p o r t f o l i o ?

Y es
(b)




No

I f a p p l i c a n t i s a b a n k , d o e s a p p l i c a n t buy an d s e l l m u n i c i p a l
s e c u r i t i e s in a f i d u c i a r y c a p a c ity r r a s a g e n t f o r c u sto m e rs?

Yes

FORM MSD
Page Ten -

( c ) Does a n y p e r s o n named i n i t e m 5 a b o v e o r a n y p e r s o n c o n t r o l l e d
by a p p l i c a n t i n c o n n e c tio n w ith a p p l i c a n t ' s m u n ic ip a l s e c u r i t i e s
d e a l e r a c t i v i t i e s , i n c l u d i n g a n y e m p l o y e e , e n g a g e i n any a c t i v i t i e s
o f th e bank w i t h r e s p e c t to m u n ic ip a l s e c u r i t i e s o t h e r th a n
• m u n icip al s e c u r i t i e s d e a le r a c t i v i t i e s ?

Yes

No

»

I f t h e a n s w e r t o ( c ) i s ny e s " e x p l a i n f u l l y o n S c h e d u l e C, s e t t i n g
f o r t h t h e name o f e a c h s u c h p e r s o n , i f . s u c h p e r s o n i s named i n
i t e m 5 , o r t h e f u n c t i o n p e r f o r m e d by e a c h s u c h p e r s o n i f n o t so
na m e d , a n d t h e n a t u r e o f e a c h s u c h p e r s o n ' s a c t i v i t i e s o t h e r t h a n
m u n icip al s e c u r i t i e s d e a le r a c t i v i t i e s .
• •

L I.

How many e m p l o y e e s d o e s a p p l i c a n t h a v e e n g a g e d i n i t s
t ie s d e a le r a c ti v i t i e s :
S u p e r v i s o r y and M a n a g e r i a l :

12.




m u n icip al s e c u r i­

O th er:

I f a p p l i c a n t i s a d e p a r t m e n t o r d i v i s i o n o f a b a n k :*
( a ) I d e n t i f y o n S c h e d u l e C e a c h g e o g r a p h i c , o r g a n i z a t i o n a l and o p e r a ­
t i o n a l u n i t o f th e b an k o f w h ic h a p p l i c a n t i s a p a r t i n w h ich
a p p l i c a n t ' s m u n ic ip a l s e c u r i t i e s d e a l e r a c t i v i t i e s a r e co n d u c te d ,
s p e c i f y i n g t h e name a n d l o c a t i o n o f e a c h s u c h u n i t a n d t h e n a t u r e
o f t h e m u n i c i p a l s e c u r i t i e s d e a l e r a c t i v i t i e s c o n d u c t e d i n e a c h su c h
u n it.
I n d i c a t e on S c h e d u le C w h e th e r any b u s i n e s s a c t i v i t i e s o t h e r
t h a n m u n i c i p a l s e c u r i t i e s d e a l e r a c t i v i t i e s a r e c o n d u c t e d i n any
such u n i t , and d e s c r i b e t h e n a t u r e o f su ch o t h e r a c t i v i t i e s .
( b ) Does a n y u n i t o f t h e b a n k o f w h i c h a p p l i c a n t i s a p a r t , o t h e r
th a n t h o s e i d e n t i f i e d i n r e s p o n s e ' t o i t e m 1 2 ( a ) , p e r f o r m any m u n ic ip a l
s e c u r itie s d e a le r a c ti v i t i e s ?

Y es

No

I f t h e an sw er to (b ) i s " y e s , " e x p l a i n on S c h e d u le C h e r e t o , i d e n t i f y i n g
e a c h s u c h u n i t an d t h e n a t u r e o f t h e a c t i v i t i e s p e r f o r m e d by s u c h u n i t .
( c ) A rc a l l r e c o r d s r e l a t i n g t o a p p l i c a n t ' s m u n i c i p a l s e c u r i t i e s d e a l e r
a c t i v i t i e s m a i n t a i n e d s e p a r a t e an d a p a r t f r o m a l l o t h e r r e c o r d s o f t h e
a p p l i c a n t o r o f t h e bank o f w h ich a p p l i c a n t i s a p a r t ?

Yes

No

FORM MSD
Page Eleven

( d ) A re a l l r e c o r d s r e l a t i n g t o a p p l i c a n t ' s m u n i c i p a l s e c u r i t i e s d e a l e r
a c t i v i t i e s s e p a r a t e l y e x t r a c t a b l e f r o m a p p l i c a n t ' s f a c i l i t i e s o r fr o m
t h e f a c i l i t i e s o f th e ban k o f w h ich a p p l i c a n t i s a p a r t ?

Y es

No

D e s c r i b e on S c h e d u l e C t h e m a n n e r i n w h i c h a l l r e c o r d s r e l a t i n g t o
a p p l i c a n t 's m u n icip al s e c u r i t i e s d e a le r a c t i v i t i e s a r e m a in ta in e d ,
i n c l u d i n g t h e i r l o c a t i o n , how s u c h r e c o r d s a r e c o l l e c t e d an d r e t r i e v e d ,
th e p e r io d o f tim e r e q u i r e d to c o l l e c t o r r e t r i e v e any su ch r e c o r d , th e
c a t e g o r y o f em p lo y ee s h a v in g a u t h o r i t y t o c o l l e c t o r r e t r i e v e such
r e c o r d s , an d t h e name o f e a c h p e r s o n who s u p e r v i s e s t h e m a i n t e n a n c e o f
such r e c o r d s .
( e ) A re s e p a r a t e f i n a n c i a l r e c o r d s m a i n t a i n e d w i t h
m u n icip al s e c u r i t i e s d e a le r a c t i v i t i e s ?

Yes

r e s p e c t to a p p l i c a n t 's

No

I f th e answ er to (e ) i s " y e s ," e x p l a i n on S c h e d u le C th e n a tu r e o f
such s e p a r a t e f i n a n c i a l r e c o r d s .
( f ) Does t h e b a n k o f w h i c h a p p l i c a n t i s
s e c u r i t i e s in v estm en t p o r t f o l i o ?

a p a r t m a in ta in a m u n icip al

Yes

No

( g ) Does t h e b a n k o f w h i c h a p p l i c a n t i s a p a r t b u y a n d s e l l m u n i c i p a l
s e c u r i t i e s in a f i d u c i a r y c a p a c ity o r as a g e n t f o r cu sto m ers?

Yes

No

( h ) Does an y p e r s o n nam ed i n i t e m 5 a b o v e o r a n y p e r s o n c o n t r o l l e d by
a p p lic a n t in c o n n e ctio n w ith a p p l i c a n t's m u n ic ip a l s e c u r i ti e s d e a le r
a c t i v i t i e s , i n c l u d i n g any em p lo y ee , e n g a g e i n any a c t i v i t i e s o f th e
bank w ith r e s p e c t to m u n ic ip a l s e c u r i t i e s o t h e r th a n m u n ic ip a l s e c u r i t i e s
d e a le r a c ti v it ie s ?

Y es

No

I f t h e a n s w e r t o ( h ) i s " y e s , " e x p l a i n f u l l y o n S c h e d u l e C, s e t t i n g
f o r t h t h e name o l e a c h s u c h p e r s o n i f s u c h p e r s o n i s named i n i t e m 5
o r t h e f u n c t i o n p e r f o r m e d by e a c h s u c h p e r s o n i f n o t so n am ed , an d t h e
n a tu r e o f each such p e r s o n 's a c t i v i t i e s o t h e r th a n m u n ic ip a l s e c u r i t i e s
d en ier a c t i v i t i e s .
I f any o f such o t h e r a c t i v i t i e s w ith r e s p e c t to
m u n i c i p a l s e c u r i t i e s a r e p e r f o r m e d by a p p l i c a n t , s o s p e c i f y on S c h e d u l e C.




FORM MSD
tfuge Tw elve
EXECUTION:
STATE OF

)

} S S:
COUNTY OF

,)

The u n d e r s i g n e d , b e i n g f i r s t d u l y s w o r n , d e p o s e s a n d s a y s t h a t h e o r
s h e h a s e x e c u t e d t h i s Form o n b e h a l f o f , a n d w i t h t h e a u t h o r i t y o f , t h e
a p p l i c a n t named i n i t e m 2 ( a ) a n d , i f a p p l i c a n t i s a d e p a r t m e n t o r d i v i s i o n
o f a b a n k , o n b e h a l f o f , a n d w i t h t h e a u t h o r i t y o f , t h e b a n k named i n i t e m
2 (d ).
The u n d e r s i g n e d r e p r e s e n t s t h a t t h e i n f o r m a t i o n a n d s t a t e m e n t s c o n ­
ta in e d h e r e i n , in c lu d in g e x h i b i t s a tta c h e d h e r e to and o t h e r in fo rm a tio n
f i l e d h e r e w i t h , a l l o f w h i c h a r e m ade a p a r t h e r e o f , a r e , t o t h e b e s t o f
t h e u n d e r s i g n e d 's k n o w led g e and b e l i e f and on t h e b a s i s o f d i l i g e n t i n q u i r y ,
c u r r e n t , t r u e , and c o m p l e t e .
The u n d e r s i g n e d f u r t h e r r e p r e s e n t s t h a t t o t h e
e x t e n t any i n f o r m a t i o n p r e v i o u s l y s u b m itte d i s n o t am ended, such in f o r m a tio n
i s , t o t h e b e s t o f t h e u n d e r s i g n e d ' s k n o w l e d g e a n d . b e l i e f a n d o n Che b a s i s
o f d i l i g e n t i n q u i r y , c u r r e n t , t r u e and c o m p l e t e . • D a t e d t h e __________ d a y o f ________________________________________ 19

(Name o f A p p l i c a n t )

(M a n u a l s i g n a t u r e o f d u l y a u t h o r i z e d o f f i c e r )

(T itle )
S u b s c r i b e d a n d s w o rn
t o b e f o r e me t h i s
day o f

19

(N o ta ry P u b lic )

_ /N o ta ria l S e a l/
My c o m m i s s i o n e x p i r e s :




A T T E N T IO N -T n to n tio n .il m i s s t a t e m e n t s o r o m i s s * i o n s
of f a c ts c o n s titu te F ed eral c rim in a l v i o l a t io n s .
( S q c 18 U . S . C . 1001 a n d 15 U . S . C . 7 8 f f ( a ) )

.SCHEDULE A OF FORM MSD
( A n s w e r s i n r e s p o n s e t o i t e m s 5 a n d 7 o£ FORM MSD)
NOTE:

(a)

<

C o m p le te a s e p a r a t e S c h e d u l e A f o r e a c h p e r s o n nam ed i n
i t e m 5 and e a c h p e r s o n s u b j e c t t o a n y a c t i o n . r e p o r t e d
under item 7.
.
.

(b)

S t a t e a l l nam es i n t h e o r d e r o f l a s t nam e, f i r s t nam e, f u l l
m i d d l e nam e.
I f any p e r s o n l e g a l l y h a s o n l y a n i n i t i a l , so
in d ic a te a f t e r th e i n i t i a l .

I.

F u l l name o f a p p l i c a n t e x a c t l y a s s t a t e d

II.

F u l l name o f p e r s o n f o r whom t h i s

III.

(b)

*

i n i t e m 2 ( a ) o f Form MSD:

S ch ed u le i s

( a ) R e s i d e n c e a d d r e s s o f p e r s o n f o r whom
t h i s S ch ed u le i s b e in g c o m p le te d :

D a te o f B i r t h :

(c ) C ity o f B ir t h :

b e in g co m p leted

(N um ber a n d S t r e e t ,
S t a t e , Z i p C o d e)

(d)

S ta te o r P ro v in ce:

C ity ,

( e ) C ou n try

IV . NAMES USED:
F u r n i s h b e l o w a l i s t o f a l l n am es i n d i v i d u a l h a s b e e n known
by o r h a s u s e d , i n c l u d i n g m a i d e n name i f a p p l i c a b l e .
I f no o t h e r names
u s e d , s t a t e "N o n e."




L ast

F irst

M id d le

SCHEDULE A OF FORM MSD
Page Two

V.

EDUCATION:
F u r n i s h below a d e s c r i p t i o n o f t h e e d u c a t i o n o f th e p e r nam ed i n i t e m I I o f t h i s S c h e d u l e ( i n c l u d e nam e a n d l o c a t i o n o f l a s t
h i g h s c h o o l a t t e n d e d , nam e a n d l o c a t i o n o f a n y c o l l e g e o r u n i v e r s i t y
a t t e n d e d , d e g r e e o r d e g r e e s r e c e i v e d and y e a r o r y e a r s i n w h ic h
re c e iv e d ).

4 son

V I.

BUSINESS BACKGROUND: F u r n i s h b e l o w a c o m p l e t e , c o n s e c u t i v e s t a t e m e n t
o f a l l b u s i n e s s e x p e r i e n c e a n d e m p lo y m e n t f o r t h e p a s t t e n y e a r s .
L i s t th e l a s t p o s i t io n f i r s t .
I f n o n e , s t a t e " N o r;e # "

Name o f F i r m
and A ddress




K in d o f
B u sin e ss

E x act N a tu re o f
C o n n ectio n o r
E m p lo y m e n t

B e g in n in g
D a te
Mo.
Y r.

E n d in g
D a te
Mo.
Yr

aUtLDULli A OF FORM MSD
Page TItrcc

V II.

PROCEEDINGS:
I f any an sw e r to any p a r a g r a p h o f i t e m 7 i s "Y es"
w i t h r e s p e c t t o t h e p e r s o n f o r whom t h i s S c h e d u l e i s b e i n g c o m p l e t e d ,
fu r n is h th e fo llo w in g d e t a i l s :

A p p lic a b le
P aragraph
of
Item
7




T i t le or D e sc rip tio n
o f A c tio n

Name a n d L o c a t i o n o f
C o u rt, A gency, J u r i s ­
d ic tio n or S e lfR e g u lato ry O rg a n iz a tio n

N a tu re and
D a te of
D isp o sitio n
of
P ro ce e d in g

SCHEDULE B OF FORM MSD
(A n s w e r s i n r e s p o n s e t o i t e m 6 o f F o rm MSD)

„

.

.

4

I.

F u l l name o f a p p l i c a n t e x a c t l y a s s t a t e d

X I.

I n f o r m a t i o n w i t h r e s p e c t t o p e r s o n s d e s c r i b e d i n i t e m 6 o f Form MSD
F u l l Name
L ast




,
F irst

M id d le

in ite m 2 (a )

o f F o rm MSD:

B a s is f o r C o n tro l

I

SCHEDULE C OF FORM MSD

I . « F u l l name o f a p p l i c a n t e x a c t l y a s s t a t e d

II.

I t e m o f Form
(id e n tify )




i n i t e m 2 ( a ) o f F orm MSD:

A nsw er