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ABC Company is experiencing financial difficulties due to a down economy. As a result, XYZ Bank requested that ABC Company pledge additional collateral to secure

ABC Company is experiencing financial difficulties due to a down economy. As a result, XYZ Bank requested that ABC Company pledge additional collateral to secure a line of credit necessary to fund its ongoing business operations. ABC Company pledges $200,000 in cash held by the ABC Company 401(k) Plan as the additional collateral to preserve the line of credit. Prohibited Transaction

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