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Letter Ruling: Restorative Payments to 401(k) Plan by Employer Are Deductible as Business Expenses (PDF)
Internal Revenue Service [IRS] 
Oct. 15, 2002
PLR 200241046 (July 15, 2002). Excerpt: The plaintiffs ... allege that the class of plaintiffs purchased Employer A Stock [in Employer A's self-directed 401(k) plan] at artificially inflated prices as a result of Employer A's materially false and misleading statements and omissions.
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