Rule 17a-7

Records of Non-resident Brokers and Dealers

a.

1. Except as provided in paragraphs (b) and (c) of this section, each non-resident broker or dealer registered or applying for registration pursuant to section 15 of the Securities Exchange Act of 1934, as amended, shall keep, maintain, and preserve, at a place within the United States designated in a notice from him as provided in paragraph (a)(2) of this section, true, correct, complete and current copies of the books and records which he is required to make, keep current, maintain or preserve pursuant to any provision of any rule or regulation of the Commission adopted under the act.

2. Except as provided in paragraphs (b) and (c) of this section, each non-resident broker or dealer subject to this section shall furnish to the Commission a written notice specifying the address of the place within the United States where the copies of the books and records required to be kept and preserved by him pursuant to paragraph (a)(1) of this section are located. Each non-resident broker or dealer registered or applying for registration when this section becomes effective shall file such notice within 30 days after such rule becomes effective. Each non-resident broker or dealer who files an application for registration after this section becomes effective shall file such notice with such application for registration.

b. Notwithstanding the provisions of paragraph (a) of this section, a non-resident broker or dealer subject to this section need not keep or preserve within the United States copies of the books and records referred to in said paragraph (a) of this section, if:

1. If the security is an "NMS stock" as that term is defined in 17 CFR 242.600, the last sale price with respect to such security reported in the consolidated transaction reporting system ("consolidated system") or the average of the highest current independent bid and lowest current independent offer for such security (reported pursuant to 17 CFR 242.602) if there are no reported transactions in the consolidated system that day; or:

2. Such broker or dealer furnishes to the Commission at his own expense within 14 days after written demand therefor forwarded to him by registered mail at his last address of record filed with the Commission and signed by the Secretary of the Commission or such other person as the Commission may authorize to act in its behalf, true, correct, complete and current copies of any or all books and records which such broker or dealer is required to make, keep current or preserve pursuant to any provision of any rule or regulation of the Commission adopted under the act, or any part of such books and records which may be specified in said written demand. Such copies shall be furnished to the Commission at its principal office in Washington, DC, or at any Regional or District Office of the Commission which may be specified in said written demand.

c. The provisions of this section shall not apply to a broker or dealer registered pursuant to section 15(b)(11)(A) of the Act that is not a member of either a national securities exchange pursuant to section 6(a) of the Act or a national securities association registered pursuant to section 15A(a) of the Act.

d. For purposes of this section the following definitions shall apply:

1. The term "broker" shall have the meaning set out in Section 3(a)(4) of the Securities Exchange Act of 1934;

2. The term "dealer" shall have the meaning set out in Section 3(a)(5) of the Securities Exchange Act of 1934

3. The term "non-resident broker or dealer" shall mean

i. in the case of an individual, one who resides in or has his principal place of business in any place not subject to the jurisdiction of the United States;

ii. in the case of a corporation, one incorporated in or having its principal place of business in any place not subject to the jurisdiction of the United States;

iii. in the case of a partnership of other unincorporated organization or association, one having its principal place of business in any place not subject to the jurisdiction of the United States.