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(A) sale or exchange, or leasing, of property
between a private foundation and a disqualified
person;
(B) lending of money or other extension of
credit between a private foundation and a
disqualified person;
(C) furnishing of goods, services, or
facilities between a private foundation and a
disqualified person;
(D) payment of compensation (or payment or
reimbursement of expenses) by a private foundation
to a disqualified person;
(E) transfer to, or use by or for the benefit of,
a disqualified person of the income or assets of a
private foundation; and
(F) agreement by a private foundation to make any
payment of money or other property to a government
official (as defined in section 4946(c)), other than an
agreement to employ such individual for any period
after the termination of his government service if such
individual is terminating his government service within
a 90-day period.
The Senate Finance Committee illustrated the application of
these provisions, in pertinent part, as follows:
A self-dealing transaction may occur even though
there has been no transfer of money or property between
the foundation and any disqualified person. For
example, a “use by, or for the benefit of, a
disqualified person of the income or assets of a
private foundation” may consist of securities purchases
or sales by the foundation in order to manipulate the
prices of the securities to the advantage of the
disqualified person.
* * * * * * *
It has been suggested that many of those with whom
a foundation “naturally” deals are, or may be,
disqualified persons. However, the difficulties that
prompted this legislation in many cases arise because
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