Optimization Challenge

Well i wanted to prove to some guys that cursors are not really that important:shocked: .
:D So this code is suppose to remove duplicate tuples from a table without temporary tables or cursors:D. Except it needs some optimization(and alot of system down time, not sure about that:confused: ).
I would like it, if some one could find an instance of the table when the below code fails or some way to optimize the code or anything;) .

--trashtable for real data
create table abc
(col1 tinyint,
col2 tinyint,
col3 tinyint)

--trash values for trash table
insert into abc values (1,1,1)
insert into abc values (1,1,1)
insert into abc values (1,1,1)
insert into abc values (1,1,1)
insert into abc values (2,2,2)
insert into abc values (2,2,2)
insert into abc values (2,2,2)
insert into abc values (3,2,1)
insert into abc values (2,2,3)
insert into abc values (3,2,4)

--check that there are ten rows
select * from abc
--check that there are only five distinct rows
select distinct * from abc

--run code : next 15 line as a batch
declare @lp tinyint
declare @col1 tinyint,@col2 tinyint,@col3 tinyint
set @lp=1
while @lp>0
begin
if not exists (select top 1 * from abc group by col1,col2,col3 having count(col1)>1)
set @lp=0
else
begin
select top 1 @col1 = col1,@col2 = col2,@col3 = col3 from abc group by col1,col2,col3 having count(col1)>1
delete from abc where col1=@col1 and col2=@col2 and col3=@col3
insert into abc values(@col1,@col2,@col3)
end
end

--only distinct values left in trash table
select * from abc

--think code can be optimized
--just wanted to prove: can be done without cursors or temporary tables