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may be exercised only in a fiduciary capacity. The
Trustee shall discharge such powers and its duties
solely in the interest of the Participants and
Beneficiaries for the exclusive purpose of providing
benefits to them, defraying reasonable expenses of
administering the Plan, and with the care, skill,
prudence and diligence under the circumstances then
prevailing that a prudent man acting in a like capacity
and familiar with such matters would use in the conduct
of an enterprise of a like character and with like aim.
The Trustee shall diversify the investments of the Plan
so as to minimize the risk of large losses unless under
the circumstances it is clearly prudent not to do so.
The Trustee shall not make any investments outside of
the jurisdiction of the United States of America and
shall not engage in any prohibited transactions as
defined in the Code.
Petitioner made the following contributions to the plan for
the years listed:
Year Ended Contribution
9/30/87 $219,000
9/30/88 -0-
9/30/89 226,769
9/30/90 44,044
9/30/91 -0-
9/30/92 127,844
9/30/93 122,665
Loans to Estes Co. From the Plan Before 1986
The plan made loans to Estes Co. sometime before July 29,
1985. During 1985, respondent began an examination of
petitioner's Forms 1120, U.S. Corporation Income Tax Returns, for
years ended September 30, 1980 through 1983. At the same time,
respondent examined the plan for plan years ended September 19,
1982 and 1983. Respondent determined that loans made to Estes
Co. by the plan constituted prohibited transactions because Estes
Co. was a disqualified person. Respondent determined Estes Co.
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Last modified: May 25, 2011