CFTC Staff Letter 14-148: Extension of No-Action Relief for ASX Clear (Futures) Pty Limited Regarding Section 5b(a) of the Commodity Exchange Act

U.S. COMMODITY FUTURES TRADING COMMISSION
Three Lafayette Centre
1155 21st Street, NW, Washington, DC 20581
Telephone: (202) 418-5000
Facsimile: (202) 418-5521 www.cftc.gov
Division of Clearing and
Risk
CFTC Letter No. 14-148
No-Action
December 18, 2014
Division of Clearing and Risk
Ms. Amanda J. Harkness
Group General Counsel & Company Secretary
ASX Group
Exchange Centre
20 Bridge Street
Sydney NSW 2000
PO Box H224
Australia Square NSW 1215, Australia
Re: Extension of No-Action Relief with Regard to Section 5b(a) of the Commodity Exchange Act and Commission Regulations Thereunder Dear Ms. Harkness:
This is in response to your letter dated December 2, 2014 (“Letter”) to the Division of Clearing and Risk (“Division”) of the Commodity Futures Trading Commission (“Commission”). In the Letter, you request that the Division extend the no-action relief granted to ASX Clear (Futures) Pty Limited (“ASXCLF”) by letter dated February 6, 2014, 1 from the derivatives clearing organization (“DCO”) registration requirement under Section 5b(a) of the Commodity Exchange Act (“CEA”). Pursuant to the no-action relief, ASXCLF is permitted to clear Australian and New Zealand dollar-denominated interest rate swaps (“A&NZ$ IRS”) for the proprietary trades of qualified U.S. clearing participants and their parent entities and affiliates. The relief is set to expire at the earlier of: (i) December 31, 2014; or (ii) the date on which the Commission either registers ASXCLF as a DCO under Section 5b(a) of the CEA, or the Commission exempts ASXCLF from registration pursuant to Section 5b(h) of the CEA. By letter dated November 26, 2014, the Division informed ASXCLF that it was amenable to extending the no-action relief until December 31, 2015, subject to ASXCLF notifying the Division, no later than December 15, 2014, that it will file by June 30, 2015: (i) a materially complete Form DCO application for registration as a DCO; or (ii) a petition for