dash 0.5.7 came out Fri Jul 8 17:00:50 2011 +0800 which was well before the release of Fedora 16. It carries worthwhile bug fixes (e.g. IFS handling for internals), and the Fedora 17 package for dash 0.5.7 builds and works without any problems on Fedora 16. Please update dash to 0.5.7 for Fedora 16.
dash-0.5.7-1.fc16 has been submitted as an update for Fedora 16. https://admin.fedoraproject.org/updates/dash-0.5.7-1.fc16
Package dash-0.5.7-1.fc16: * should fix your issue, * was pushed to the Fedora 16 testing repository, * should be available at your local mirror within two days. Update it with: # su -c 'yum update --enablerepo=updates-testing dash-0.5.7-1.fc16' as soon as you are able to. Please go to the following url: https://admin.fedoraproject.org/updates/FEDORA-2012-2988/dash-0.5.7-1.fc16 then log in and leave karma (feedback).
dash-0.5.7-1.fc16 has been pushed to the Fedora 16 stable repository. If problems still persist, please make note of it in this bug report.