It appeared to be between internal clients. After investigating the header
info determined if was from the smtp server. After a long investigation it
was determined that application we use for encryption was the root cause
of the "loop". One user had a mailbox delivering to a custom recipient
that was slated as part of a mandatory encrypted domain. When CC'ed on a
correspondence the application also sends a response to ALL parties in
involved. The CC'ed users mailbox then reforwarded to the custom recipient
and then encrypted the mail and sent the response to all the users
again...forever.
Minor adjustment in the encryption application has corrected this.
Very appreciative for your response back.

Kent

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