Page:United States Statutes at Large Volume 93.djvu/927

 PUBLIC LAW 96-122—NOV. 17, 1979

93 STAT. 895

(D) in accordance with the provisions of law, documents, and instruments governing the retirement program to the extent that such documents and instruments are consistent with the provisions of this title. (b) In addition to any liability which he may have under any other provision of this part, a fiduciary with respect to a Fund shall be liable for a breach of fiduciary responsibility of another fiduciary with respect to the same Fund— (1) if he knowingly participates in, or knowingly undertakes to conceal, an act or omission of such other fiduciary, knowing such act or omission is a breach of fiduciary responsibility; (2) if, by his failure to comply with subsection (a)(2) in the administration of his specific responsibilities which give rise to his status as a fiduciary, he has enabled such other fiduciary to commit a breach of fiduciary responsibility; or (3) if he has knowledge of a breach of fiduciary responsibility by such other fiduciary, unless he makes reasonable efforts under the circumstances to remedy the breach. (c) Except as provided in subsection (0, a fiduciary with respect to a Prohibitions Fund shall not cause the Fund to engage in a transaction, if he knows or should know that such transaction constitutes a direct or indirect— (1) sale or exchange, or leasing, of any property between the Fund and a party in interest; (2) lending of money or other extension of credit between the Fund and a party in interest; (3) furnishing of goods, services, or facilities between the Fund and a party in interest; or (4) transfer to, or use by or for the benefit of, a party in interest, of any assets of the Fund. (d) A fiduciary with respect to a Fund shall not— (1) deal with the assets of the Fund in his own interest or for his own account; (2) in his individual or in any other capacity act in any transaction involving the Fund on behalf of a party (or represent a party) whose interests are adverse to the interests of the Fund or the interests of its participants or beneficiaries; or (3) receive any consideration for his own personal account from any party dealing with such Fund in connection with a transaction involving the assets of the Fund. (e) A transfer of real or personal property by a party in interest to a Real or personal Fund shall be treated as a sale or exchange if the property is subject property, to a mortgage or similar lien which the Fund assumes or if it is transfer. subject to a mortgage or similar lien which a party in interest placed on the property within the ten-year period ending on the date of the transfer. (f) The prohibitions provided in subsection (c) shall not apply to any Prohibitions, nonapplicability. of the following transactions: (1) Contracting or making reasonable arrangements with a party in interest for office space, or legal, accounting, or other services necessary for the establishment or operation of the Fund, if no more than reasonable compensation is paid therefor. (2) The investment of all or part of a Fund's assets in deposits which bear a reasonable interest rate in a bank or similar financial institution supervised by the United States or a State, if such bank or other institution is a fiduciary of such Fund and if such investment is expressly authorized by regulations of the Board or by a fiduciary (other than such bank or institution or

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