Je veux savoir à propos de…

lotter on DSK11XQN23PROD with PROPOSALS2

68312

Federal Register / Vol. 86, No. 228 / Wednesday, December 1, 2021 / Proposed Rules
Rule 17a4f? 93 If so, explain why. If not, explain why not. If the requirements should be retained, should analogous requirements be added to Rule 18a6e? If so, explain why. If not, explain why not.
4. Is the proposal to limit the requirements for electronic recordkeeping systems including the audit-trail and WORM requirements in paragraph e2 of Rule 18a6 to nonbank SBS Entities appropriate? 94 If so, explain why. If not, explain why not.
Would these requirements conflict with requirements and guidance of the U.S.
prudential regulators governing the use of electronic recordkeeping systems by bank SBS Entities? If so, please identify the requirements and guidance of the prudential regulators that would conflict with the proposed requirements of paragraph e2 of Rule 18a6 and explain how they would conflict with those proposed requirements. Would it be appropriate to apply certain of the requirements of paragraph e2 of Rule 18a6 to bank SBS Entities? For example, would it be appropriate to apply the requirements other than the audit-trail and WORM requirements? If so, explain why. If not, explain why not.
5. Would the proposed rule text setting forth the audit-trail requirement achieve the Commissions objective of imposing an obligation that the electronic recordkeeping system be configured to permit the re-creation of an original record if it is altered, overwritten, or erased? 95 If so, explain why.
If not, explain why not and suggest alternative rule text that would achieve this objective.
6. Would the proposed rule text requiring that the electronic recordkeeping system verify automatically the quality and accuracy of the electronic storage system storage and retention process achieve the Commissions objective that the electronic recordkeeping system be configured to ensure that when an original record is added to the electronic recordkeeping system it is completely and accurately captured in the system? 96 If so, explain why. If not, explain why not and suggest alternative rule text that would achieve this objective.
7. Is the proposed rule text requiring that the electronic recordkeeping system serialize the original and duplicate units
of the storage media, and time-date for the required period of retention the information placed on such electronic storage media, if applicable, appropriate? 97 If so, explain why. If not, explain why not. Does this requirement as it exists today only apply to electronic recordkeeping systems that use optical disk technology? If so, explain why. If not, identify other electronic recordkeeping systems for which serializing original and duplicate units of the storage media, and timedating for the required period of retention the information placed on the electronic storage media is appropriate and done under current practices.
8. Is the proposed rule text requiring that the electronic recordkeeping system have the capacity to readily download and transfer copies of a record and its audit trail if applicable in both a human readable format and a reasonably usable electronic format appropriate? 98
If so, explain why. If not, explain why not and suggest alternative rule text.
What types of electronic record formats should be considered reasonably usable? Do broker-dealers and SBS
Entities use unique i.e., proprietary electronic formats? If so, can those electronic formats be converted into electronic formats that are reasonably usable?
9. Is the proposed rule text requiring that the electronic recordkeeping system have the capacity to readily download and transfer the information needed to locate the electronic record sufficiently clear? 99 If so, explain why. If not, explain why not. For example, what type of information is necessary to locate a specific record maintained and preserved on an electronic recordkeeping system? Are indexes used? If so, how? Are data fields used?
If so, how? Should the rule be more specific in identifying the type of information necessary to locate a specific record maintained and preserved on an electronic recordkeeping system? If so, explain how and suggest alternative rule text.
10. Is the proposed rule text requiring the broker-dealer or SBS Entity to at all times have available, for examination by the regulators, facilities for immediate production of records preserved by means of the electronic recordkeeping system and for producing copies of those records appropriate? 100 If so,
explain why. If not, explain why not and suggest alternative rule text. What type of facilities would be needed to meet this requirement?
11. Is the proposed rule text requiring the broker-dealer or SBS Entity to be ready at all times to provide immediately any record or information needed to locate records stored by means of the electronic recordkeeping system that the regulators may request appropriate? 101 If so, explain why. If not, explain why not and suggest alternative rule text.
12. Is the proposed rule text requiring the broker-dealer or SBS Entity to maintain a backup electronic recordkeeping system appropriate and necessary? 102 If so, explain why. If not, explain why not. For example, do broker-dealers maintain a backup electronic recordkeeping system with respect to the electronic records they preserve for business purposes? Are their other measures that broker-dealers take with respect to preserving their business-purpose electronic records that are designed to maintain access to the records if the electronic recordkeeping systems fails? If so, please identify and describe them and suggest how they could be incorporated into a final rule.
13. Is the proposed rule text requiring the broker-dealer or SBS Entity to organize and maintain information necessary to locate records maintained by the electronic recordkeeping system appropriate? 103 If so, explain why. If not, explain why not and suggest alternative rule text.
14. Is the proposed rule text requiring a broker-dealer or SBS Entity using an electronic recordkeeping system to have in place an auditable system of controls that records, among other things: The names of persons inputting, altering, or deleting a record; and the date and time such persons input, altered, or deleted the record appropriate? 104 For example, is this the type of information that could be used to examine whether the system is operating in conformance with the requirements of the proposed rule e.g., if the electronic recordkeeping system is adhering to the audit-trail requirement, that it is preserving records in a manner that allows the original record to be recreated if overwritten, erased, or otherwise altered? If so, explain why. If not, explain why not and suggest alternative rule text. For example, is
93 See section II.C. of the release discussing these proposed amendments.
94 See section II.D. of the release discussing these proposed amendments.
95 See section II.D. of the release discussing these proposed amendments.
96 See section II.D. of the release discussing these proposed amendments.

97 See section II.D. of the release discussing these proposed amendments.
98 See section II.D. of the release discussing these proposed amendments.
99 See section II.D. of the release discussing these proposed amendments.
100 See section II.E. of the release discussing these proposed amendments.

101 See section II.E. of the release discussing these proposed amendments.
102 See section II.E. of the release discussing these proposed amendments.
103 See section II.E. of the release discussing these proposed amendments.
104 See section II.E. of the release discussing these proposed amendments.

VerDate Sep<11>2014

17:28 Nov 30, 2021

Jkt 256001

PO 00000

Frm 00014

Fmt 4701

Sfmt 4702

E:FRFM01DEP2.SGM

01DEP2