Tax Consequences Regarding a Rollover Made to a Plan that is Subsequently Disqualified

[Guest EMM118]

A defined benefit pension plan ("DBPP") was established in 2001. In 2002, an HCE rolled $100,000 into the DBPP. In 2007, the IRS is proposing to disqualify the DBPP for potentionally violating the minimum coverage rules. Whst happens to the $100,000?

Thanks in advance for your assistance.

Ed