3 Alaska Admin. Code § 21.899

Current through October 17, 2024

Section 3 AAC 21.899 - Definitions

In 3 AAC 21.865 - 3 AAC 21.899, unless the context requires otherwise,

(1) "affiliate" or "affiliated" has the meaning given in AS 21.22.200;

(2) "agent" means a national bank, state bank, trust company, or broker-dealer that maintains an account in its name in a clearing corporation or is a member of the Federal Reserve System and through which a custodian participates in a clearing corporation, including the Treasury/Reserve Automated Debt Entry System (TRADES) or Treasury Direct system; with respect to securities issued by institutions organized or existing under the laws of a foreign country or securities used to meet the deposit requirements under the laws of a foreign country as a condition of doing business there, "agent" also includes a corporation that

(A) is organized or exists under the laws of a foreign country; and

(B) is legally qualified under those laws to accept custody of securities;

(3) "clearing corporation"

(A) means an entity within the meaning given in AS 45.08.102 that is organized for the purpose of effecting transactions in securities by computerized book-entry; with respect to securities issued by institutions organized or existing under the laws of a foreign country or securities used to meet the deposit requirements under the laws of a foreign country as a condition of doing business there, "clearing corporation" also includes a corporation that

(i) is organized or exists under the laws of a foreign country; and

(ii) is legally qualified under those laws to effect transactions in securities by computerized book-entry;

(B) includes the Treasury/Reserve Automated Debt Entry System (TRADES) and Treasury Direct book-entry securities systems;

(4) "custodian" means

(A) a national bank, state bank, or trust company that, at all times during which it acts as a custodian under 3 AAC 21.865 - 3 AAC 21.899, is no less than adequately capitalized as determined by United States banking regulators, that either is regulated by state banking laws or is a member of the Federal Reserve System, and that is legally qualified to accept custody of securities; with respect to securities issued by institutions organized or existing under the laws of a foreign country or securities used to meet the deposit requirements under the laws of a foreign country as a condition of doing business there, "custodian" also includes a bank or trust company that

(i) is incorporated or organized under the laws of a country other than the United States;

(ii) is regulated by that country's government or an agency of it;

(iii) at all times during which it acts as a custodian under 3 AAC 21.865 - 3 AAC 21.899, is no less than adequately capitalized as determined by the standards adopted by international banking authorities; and

(iv) is legally qualified to accept custody of securities; or

(B) a broker-dealer that

(i) is registered under 15 U.S.C. 78 o (sec. 15 of the Securities Exchange Act of 1934) with the United States Securities and Exchange Commission;

(ii) maintains membership in the Securities Investor Protection Corporation; and

(iii) has a tangible net worth equal to or greater than $250,000,000;

(5) "custodied securities" means securities held by the custodian or its agent or in a clearing corporation;

(6) "nonadmitted assets" means assets not included in the determination of the financial condition of an insurer;

(7) "tangible net worth" means shareholders' equity, less intangible assets, as reported in the broker-dealer's most recent annual or transition report required under 15 U.S.C. 78 m or 78o(d) (sec. 13 or 15(d) of the Securities Exchange Act of 1934) filed with the Securities and Exchange Commission;

(8) "Treasury/Reserve Automated Debt Entry System (TRADES)" and "Treasury Direct" mean the book-entry securities systems established under 5 U.S.C. 301, 12 U.S.C. 391, 31 U.S.C. 3101 - 3130, and 31 C.F.R. Parts 357 and 363;

(9) "security" has the meaning given in AS 45.08.102;

(10) "state" has the meaning given in AS 21.97.900;

(11) "security certificate" has the meaning given in AS 45.08.102;

(12) "working day" means a calendar day other than Saturday, Sunday, an official federal holiday, or an official holiday in this state.

3 AAC 21.899

Eff. 8/31/2008, Register 187

In 2010 the revisor of statutes, acting under AS 01.05.031, renumbered former AS 21.90.900 as AS 21.97.900. As of Register 196 (January 2011), the regulations attorney made a conforming technical revision under AS 44.62.125(b)(6), to 3 AAC 21.899, so that a cross-reference to former AS 21.90.900 now refers to the renumbered statute, AS 21.97.900.

Authority:AS 21.06.090

AS 21.21.410