Grant of Individual Exemption Involving the Derose Dental Offices
Inc., Profit Sharing Plan, Located in Racine, WI
[07/02/2007]
Volume 72, Number 126, Page 36045
[[Page 36045]]
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DEPARTMENT OF LABOR
Employee Benefits Security Administration
[Prohibited Transaction Exemption 2007-09; Exemption Application No. D-
11408]
Grant of Individual Exemption Involving the Derose Dental Offices
Inc., Profit Sharing Plan, Located in Racine, WI
AGENCY: Employee Benefits Security Administration, Labor.
ACTION: Grant of individual exemption.
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SUMMARY: This document contains an exemption issued by the Department
of Labor (the Department) from certain of the prohibited transaction
restrictions of the Employee Retirement Income Security Act of 1974
(ERISA or the Act) and/or the Internal Revenue Code of 1986 (the Code).
A notice was published in the Federal Register of the pendency
before the Department of a proposal to grant such exemption. The notice
set forth a summary of facts and representations contained in the
application for exemption and referred interested persons to the
application for a complete statement of the facts and representations.
The application has been available for public inspection at the
Department in Washington, DC. The notice also invited interested
persons to submit comments on the requested exemption to the
Department. In addition the notice stated that any interested person
might submit a written request that a public hearing be held (where
appropriate). The applicant has represented that it has complied with
the requirements of the notification to interested persons. No requests
for a hearing were received by the Department. Public comments were
received by the Department as described in the granted exemption.
The notice of proposed exemption was issued and the exemption is
being granted solely by the Department because, effective December 31,
1978, section 102 of Reorganization Plan No. 4 of 1978, 5 U.S.C. App. 1
(1996), transferred the authority of the Secretary of the Treasury to
issue exemptions of the type proposed to the Secretary of Labor.
Statutory Findings
In accordance with section 408(a) of the Act and/or section
4975(c)(2) of the Code and the procedures set forth in 29 CFR Part
2570, Subpart B (55 FR 32836, 32847, August 10, 1990) and based upon
the entire record, the Department makes the following findings:
(a) The exemption is administratively feasible;
(b) The exemption is in the interests of the plan and its
participants and beneficiaries; and
(c) The exemption is protective of the rights of the participants
and beneficiaries of the plan.
The DeRose Dental Offices, Inc., S.C. Profit Sharing Plan (the Plan)
Located in Racine, Wisconsin
[Prohibited Transaction Exemption 2007-09; Exemption Application No. D-
11408]
Exemption
The restrictions of section 406(a), 406(b)(1) and (b)(2) of the
Act, and the sanctions resulting from the application of section
4975(a) and (b) of the Code, by reason of section 4975(c)(1)(A) through
(E) of the Code, shall not apply to the December 29, 2006 sale by the
Plan of 2,174 shares of stock (the Stock) in Wisconsin Bancshares, Inc.
each to Francesca DeRose and Nicolet DeRose, parties in interest with
respect to the Plan, provided the following conditions are satisfied:
(a) The sales of the Stock were one-time transactions for cash;
(b) The Plan paid no commissions or other fees in connection with
the sales;
(c) The terms of the transactions were at least as favorable to the
Plan as those the Plan could obtain in similar transactions with an
unrelated party; and
(d) The sales price of the Stock was determined by a qualified,
independent appraiser.
For a more complete statement of the facts and representations
supporting the Department's decision to grant this exemption, refer to
the notice of proposed exemption published on March 22, 2007 at 72 FR
13517.
DATES: Effective Date: This exemption is effective as of December 29,
2006.
FOR FURTHER INFORMATION CONTACT: Gary H. Lefkowitz of the Department,
telephone (202) 693-8546. (This is not a toll-free number.)
General Information
The attention of interested persons is directed to the following:
(1) The fact that a transaction is the subject of an exemption
under section 408(a) of the Act and/or section 4975(c)(2) of the Code
does not relieve a fiduciary or other party in interest or disqualified
person from certain other provisions to which the exemption does not
apply and the general fiduciary responsibility provisions of section
404 of the Act, which among other things require a fiduciary to
discharge his duties respecting the plan solely in the interest of the
participants and beneficiaries of the plan and in a prudent fashion in
accordance with section 404(a)(1)(B) of the Act; nor does it affect the
requirement of section 401(a) of the Code that the plan must operate
for the exclusive benefit of the employees of the employer maintaining
the plan and their beneficiaries;
(2) This exemption is supplemental to and not in derogation of, any
other provisions of the Act and/or the Code, including statutory or
administrative exemptions and transactional rules. Furthermore, the
fact that a transaction is subject to an administrative or statutory
exemption is not dispositive of whether the transaction is in fact a
prohibited transaction; and
(3) The availability of this exemption is subject to the express
condition that the material facts and representations contained in the
application accurately describes all material terms of the transaction
which is the subject of the exemption.
Signed at Washington, DC, this 26th day of June, 2007.
Ivan Strasfeld,
Director of Exemption, Determinations Employee Benefits, Security
Administration, Department of Labor.
[FR Doc. E7-12674 Filed 6-29-07; 8:45 am]
BILLING CODE 4510-29-P
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