UNITED STATES DISTRICT COURT

SOUTHERN DISTRICT OF FLORIDA

CASE NO. 20-CIV-81205-RAR

SECURITIES AND EXCHANGE 

COMMISSION,

Plaintiff,

v.

COMPLETE BUSINESS SOLUTIONS 

GROUP, INC. d/b/a PAR FUNDING, et al.,

Defendants.

_______________________________/ 

ORDER REQUIRING AFFIDAVIT FROM DEFENDANT DEAN J. VAGNOZZI

THIS CAUSE comes before the Court on Defendant Dean J. Vagnozzi’s Expedited 

Motion to Approve Payment of Insurance Premiums [ECF No. 203] (“Motion”), filed on August 

27, 2020. In the Motion, Mr. Vagnozzi requests that the Court enter an order approving payment 

of life insurance premiums by non-Receivership entities that are legally managed by Receivership 

entity ABFP Management Co. LLP. See Mot. at 1. Plaintiff Securities and Exchange Commission

(“SEC”) filed a response to the Motion on August 27, 2020 [ECF No. 204]. On August 28, 2020, 

Mr. Vagnozzi filed a Reply [ECF No. 205]. Pursuant to an Order of the Court [ECF No. 207], 

Receiver Ryan K. Stumphauzer filed a response to the Motion on August 31, 2020 [ECF No. 208] 

(“Response”). 

In the Response, Receiver asserts that he does not object to the payment of certain life 

insurance premiums. See Resp. at 4. However, Receiver indicates that—considering potentially 

inaccurate representations Mr. Vagnozzi made in his Reply regarding the timing of his settlement 

with ABFP Income Fund, L.P. noteholder, Mr. David Jancarski—Receiver needs further 

confirmation from Mr. Vagnozzi that the payments will not use funds from any Receivership 

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entity. Id. at 2-5. Having reviewed the Motion [ECF No. 23], the SEC’s Response [ECF No. 204], 

Mr. Vagnozzi’s Reply [ECF No. 205], and the Receiver’s Response [ECF No. 208], it is

ORDERED AND ADJUDGED as follows:

1. On or before 2:00 P.M. on September 1, 2020, Mr. Vagnozzi shall serve an 

affidavit on Receiver and the SEC containing the following information:

• With respect to the “Pillar Entities” (defined in [ECF No. 203] at ¶ 2):

o any Pillar Entity that has any beneficial or legal interest in any Receivership 

Entity or any asset of any Receivership Entity, and a description of any such 

interest; 

o any Pillar Entity that has a contract, security interest, pledge, lien, or 

encumbrance relating to any Receivership Entity or any asset of any 

Receivership Entity, and a description of any such contract, security 

interest, pledge, lien, or encumbrance; and

o for any payment that Mr. Vagnozzi intends to make from any Pillar Entity 

account, banking and accounting records sufficient to identify the source of 

the funds being used for such payment.

• With respect to the “Multi-Strategy Entities” (defined in [ECF No. 203] at ¶ 2):

o any Multi-Strategy Entity that has any beneficial or legal interest in any 

Receivership Entity or any asset of any Receivership Entity, and a 

description of any such interest;

o any Multi-Strategy Entity that has a contract, security interest, pledge, lien, 

or encumbrance relating to any Receivership Entity or any asset of any 

Receivership Entity, and a description of any such contract, security 

interest, pledge, lien, or encumbrance; and

o for any payment that Mr. Vagnozzi intends to make from any MultiStrategy Entity account, banking and accounting records sufficient to 

identify the source of the funds being used for such payment.

• With respect to Mr. Vagnozzi’s settlement with Mr. Jancarski:

o a description of when any purported oral or written settlement agreements 

were executed;

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o a description of when settlement consideration was paid by Mr. Vagnozzi, 

including the bank records or check receipt showing any such payment;

o a description of why any settlement consideration was transferred to counsel 

for Mr. Jancarski before the parties entered into a fully-executed settlement 

agreement;

o any bank records or other documents identifying the source of funds used 

in any settlement agreement; and

o any facts known by Mr. Vagnozzi relating to when the settlement 

consideration was released to the noteholder.

2. On or before 5:00 P.M. on September 1, 2020, Receiver shall advise the Court of 

any additional facts relevant to Mr. Vagnozzi’s Motion. 

DONE AND ORDERED in Fort Lauderdale, Florida, this 31st day of August, 2020.

_________________________________

RODOLFO A. RUIZ II

UNITED STATES DISTRICT JUDGE

Copies to: Counsel of record

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