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The Process Files method does result in a new connection for each file. Adding a Wait step in the loop to pause between each file may help, depending on the delay required by your server. The next release of VBP will have recursive put built into the FTP action (using a single connection for all files).
See the Recurse.bld sample (Update Web Site section) for how to recursively put files into subfolders to match the source.
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