Page:United States Statutes at Large Volume 88 Part 1.djvu/1071

 88 STAT. ]

PUBLIC LAW 93-406-SEPT. 2, 1974

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(d)(1) Any residual assets of a plan may be distributed to the employer if— (A) all liabilities of the plan to participants and their beneiiciaries have been satisfied, (B) the distribution does not contravene any provision of law, and (C) the plan provides for such a distribution in these circumstances. (2) Notwithstanding the provisions of paragraph (1), if any assets of the plan attributable to employee contributions, remain after all liabilities of the plan to participants and their beneficiaries have been satisfied, such assets shall be equitably distributed to the employees who made such contributions (or their beneficiaries) in accordance with their rate of contributions. RECAPTURE OF CERTAIN

PAYMENTS

SEC. 4045. (a) Except as provided in subsection (c), the trustee is authorized to recover for the benefit of a plan from a participant the recoverable amount (as defined in subsection (b)) of all payments from the plan to him which commenced within the 3-year period immediately preceding the time the plan is terminated. (b) For purposes of subsection (a) the recoverable amount is the excess of the amount determined under paragraph (1) over the amount determined under paragraph (2). (1) The amount determined under this paragraph is the sum of the amount of the actual payments received by the participant within the 3-year period. (2) The amount determined under this paragraph is the sum of— (A) the sum of the amount such participant would have received during each consecutive 12-month period within the 3 years if the participant received the benefit in the form described in paragraph (3), (B) the sum for each of the consecutive 12-month periods of the lesser of— (i) the excess, if any, of $10,000 over the benefit in the form described in paragraph (3), or (ii) the excess of the actual payment, if any, over the benefit in the form described in paragraph (3), and (C) the present value at the time of termination of the participant's future benefits guaranteed under this title as if the benefits commenced in the form described in paragraph (3) The form of benefit for purposes of this subsection shall be the monthly benefit the participant would have received during the consecutive 12-month period, if he had elected at the time of the first payment made during the 3-year period, to receive his interest in the plan as a monthly benefit in the form of a life annuity commencing at the time of such first payment. (c)(1) I n the event of a distribution described in section 4043(b) (7) the 3-year period referred to in subsection (b) shall not end sooner than the date on which the corporation is notified of the distribution. (2) The trustee shall not recover any payment made from a plan after or on account of the death of a participant, or to a participant who is disabled (within the meaning of section 72(m)(7) of the Internal Revenue Code of 1954).

29 USC 1345.

26 USC 72.

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