DECLARATION OF KARA DIPIETRO

Pursuant to 28 U.S.C. Section 1746, the undersigned states as follows:

1. My name is Kara DiPietro. I am over twenty-one years of age and have 

personal knowledge of the matters set forth herein. I am the President and Chief 

Executive Officer of HMC, Inc. (HMC), a company that is in the business of building 

commercial cafeterias. I reside in Maryland where my business is also located.

2. Beginning in approximately February 2018, HMC entered into a series of 

merchant cash advance agreements with Joseph LaForte (“LaForte”) and Complete 

Business Solutions Group, Inc. d/b/a Par Funding (“CBSG”). A broker by the name of 

Alan contacted me and referred me to CBSG to consolidate my business loans. 

3. Soon thereafter, I spoke directly with LaForte. He introduced himself as 

“Joe Mack” or “Joe Macki” and told me he was in charge of CBSG. During our initial 

conversation, LaForte confirmed to me that he was the boss at CBSG as well as Par 

Funding (“Par”) entities he controlled. As detailed in the exhibits described below, 

LaForte would sent me emails from “Joe Mack” with the email address joe@parfunding. 

4. LaForte explained that CBSG/Par Funding would loan money to HMC in 

exchange for daily payments. The loan agreements stated that payments are based on a 

specified 10% of HMC’s accounts receivables. 

5. Based on the loan terms that LaForte proposed, I agreed to consolidate 

HMC’s loans with CBSG on or about February 26, 2018. After that, and through 

February 24, 2019 HMC and CBSG entered into many more separate loan agreements 

that I secured through personal guarantees.

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6. During this same time period, LaForte also told me that CBSG offered 

investments to individuals who wished to invest in CBSG’s merchant loan business, the 

very same business that had consolidated HMC’s loans.

7. In approximately April 2018, Perry Abbonizio (“Abbonizio”), who told 

me that he is the lead sales person for CBSG, contacted me to follow up on my interest in 

CBSG’s investment opportunity. Attached hereto as Exhibit “A” is a true and correct

copy of emails to me and my father, Gerry Dzurek, ranging from April-July 2018 

discussing the CBSG investment opportunity.

8. Abbonizio told me that CBSG only accepted investments through its 

investment funds and that he would arrange for an in-person meeting with David 

Alperstein of Alperstein & Associates in Philadelphia to discuss the CBSG investment. 

9. On or about June 5, 2018, I met with Alperstein and Abbonizio at Par’s 

offices in Philadelphia. Alperstein told me that he served as the manager of a Par 

investment fund that handled investments in CBSG’s loan business.

10. LaForte joined us about halfway through the meeting. With LaForte 

present at the meeting, Alperstein told me that CBSG would use my investment funds to 

make merchant loans similar to the loans I had obtained for HMC through CBSG.

11. During the meeting, Alperstein said Par would pay me monthly interest 

with a return of principal in one year. The percentage of interest Par paid investors 

depended on the amount invested, so that the more I invested, the higher my return.

12. Alperstein told me that Par required a minimum investment amount of 

$50,000. Alperstein also told me that if I invested $200,000, Par promised to pay me a 

12% return paid monthly for 12-months. 

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13. During the meeting, LaForte told me CBSG had a loan default rate of less 

than 1% so there was virtually no risk to my investment funds given the low default rate.

14. LaForte also told me that my investment was secured by insurance, and 

that there was no risk to my principal. He told me that if a merchant defaulted on his 

loan, then CBSG had the insurance to back up investor funds, thus reassuring me that my 

investment was safe and secure. 

15. After the meeting, Alperstein emailed me documents concerning the Par

investment that included a Subscription Agreement with MCA Capital Fund I, LLC 

(MCA), an Investor Questionnaire, and Promissory Note.

16. In mid-June 2018, based on what LaForte and Alperstein told me about 

the investment opportunity, as well as LaForte’s reassurances to me that CBSG had a less 

than 1% default rate, and that my funds were secured by insurance, I decided to invest. 

Attached hereto as Composite Exhibit “B” are true and correct copies of my signed 

investment documents. 

17. Neither LaForte, nor Alperstein, Abbonizio, or anyone associated with the 

investment opportunity ever disclosed any risks associated with an investment with Par or 

MCA, such as that I could lose all my investment funds. If I had known that CBSG had a 

higher default rate than what LaForte told me, or that my investment funds were not 

backed by insurance, I never would have invested. 

18. In October 2018, I contacted LaForte to inquire whether he had any 

investment opportunities for my father if he were to invest $14 million with CBSG and 

Par. Attached hereto as Exhibit “C” is a true and correct copy of that my email exchange 

with LaForte. 

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19. I had no expertise with investments of this type. I was looking for a safe 

and secure investment with no risk to my principal. 

20. If LaForte, Abbonizio, Alperstein, or anyone with CBSG, Par, MCA or 

any entity related to the investment opportunity had told me that I could lose my 

principal, I never would have invested. 

21. No one told me that my principal would be used for anything other than to

fund loans to merchants. Had I known that my money would be used for any other 

purpose, I would never have invested.

22. By May 2019, CBSG had debited far more per day than it was entitled to 

under the loans with CBSG. Around the same time period, my investment term was 

approaching maturity. I repeatedly complained and asked for an accounting from CBSG.

23. On May 3, 2019, LaForte demanded I travel to Philadelphia to meet with 

him and CBSG’s CFO to discuss my outstanding balances. That meeting occurred on 

May 6, 2019. At that meeting LaForte presented me with a new loan that he demanded I 

sign. After the meeting, LaForte followed me to my car and threatened to blow up my 

home if I did not sign the new loan with CBSG and pay what he said I “owed” them. 

LaForte also made similar physical threats to HMC’s attorney, telling him that he did not 

want anybody to get “hurt.” On Friday, May 10, 2019, LaForte sent me a text message 

saying “Get your fat ass up and call me,” followed by “That was my last call. Now 

action.” A true and correct copy of this text message I received from LaForte is attached 

as Exhibit D.

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24. On July 26, 2019, I filed a lawsuit against CBSG and others alleging 

violations of the federal Wire Fraud and RICO statutes. That lawsuit is still ongoing. 

I declare under penalty of perjury that the foregoing is true, correct, and made in 

good faith.

 

Executed on this 14 day of July 2020 in Baltimore, Maryland. 

_________________________

KARA DIPIETRO

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The following emails chain is illustrating how the MCA I fund manager, David Alperstien, and Perry Abbonizio the Lead 

Sales/Relationship guy along with LaForte solicited my participation and my father Gerry Dzurek’s participation with 

their MCA I fund.

_________________________________________________________________________________________________

From: david@mcacapfund.com <david@mcacapfund.com> 

Sent: Monday, April 9, 2018 3:04:20 PM

To: Kara DiPietro

Cc: Perry Abbonizio

Subject: MCA Capital Fund I, LLC 

 

Dear Kara,

 

First and foremost, it is a pleasure to meet you. Perry indicated that you inquired about an investment in Complete 

Business Solutions Group/Par Funding (CBSG). Previously, those willing to place money with CBSG did so directly. 

However, as Perry discussed, in January of this year the investment structure has changed to a fund based platform. As 

an attorney retained by merchant cash advance companies, I understood the means of setting up the proper investment 

product in this space with the use of a Private Placement Memorandum pursuant to SEC Regulation D. 

 

Attached you will find a detailed summary of terms and most importantly, the schedule of investment. The offering is a 

debt instrument that pays a fixed monthly distribution based on a one-year Promissory Note. The investment itself will 

be placed with CBSG who will then execute a Promissory Note and a Security Agreement with MCA Capital Fund I, LLC. 

This is important because the fund will then be secured against their entire portfolio. I know this was a concern for you. 

 

Of course, we can discuss in greater detail after you have some time to review the attached materials. Thank you again 

for your interest and look forward to speaking with you in the near future!

 

Very truly yours, 

David R. Alperstein, Esquire

MCA Capital Fund I, LLC

1080 N. Delaware Avenue

Suite 505

Philadelphia, PA 19125

(215) 710-0690 Phone

(215) 710-0689 Fax

 

From: Kara DiPietro [mailto:k.dipietro@hmcincorporated.com] 

Sent: Monday, April 09, 2018 3:13 PM

To: david@mcacapfund.com

Cc: Perry Abbonizio; Gerry Dzurek

Subject: Re: MCA Capital Fund I, LLC

 

Thank you David for the the timely delivery of the information.

Perry, we appreciated your time on the phone today.

We will review the information and be back in touch soon with questions or next steps.

Best, 

Kara 

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From: david@mcacapfund.com <david@mcacapfund.com> 

Sent: Tuesday, April 10, 2018 3:45:28 PM

To: Kara DiPietro

Cc: 'Perry Abbonizio'; Gerry Dzurek

Subject: RE: MCA Capital Fund I, LLC 

 

Kara, 

Sounds good!

There is one thing I forgot to mention in my initial email. The fund has the ability to accept monies from retirement 

funds (IRA). 

If this is something of interest, I can recommend some custodians we work with that will facilitate the transfer. 

Thanks again and look forward to speaking with you soon. 

David R. Alperstein, Esquire

MCA Capital Fund I, LLC

1080 N. Delaware Avenue

Suite 505

Philadelphia, PA 19125

(215) 710-0690 Phone

(215) 710-0689 Fax

From: Kara DiPietro <k.dipietro@hmcincorporated.com> 

Sent: Tuesday, April 10, 2018 3:50 PM

To: david@mcacapfund.com

Cc: 'Perry Abbonizio' <perry@parfunding.com>; Gerry Dzurek <g.dzurek@hmcincorporated.com> 

Subject: Re: MCA Capital Fund I, LLC

David,

Thank you for mentioning. I arrived in Baltimore at 4:30am - I’ll be back in the office tomorrow and will be in touch.

Thanks again,

Kara

From: david@mcacapfund.com <david@mcacapfund.com> 

Sent: Thursday, April 26, 2018 9:27 AM

To: Kara DiPietro <k.dipietro@hmcincorporated.com> 

Cc: 'Perry Abbonizio' <perry@parfunding.com>; Gerry Dzurek <g.dzurek@hmcincorporated.com> 

Subject: RE: MCA Capital Fund I, LLC

Hello Kara, 

Hope all is well. 

Just a follow up to our previous discussions. If you should have any additional questions, let me know of course. 

Look forward to speaking with you.

Thanks. 

Case 9:20-cv-81205-RAR Document 21-4 Entered on FLSD Docket 07/27/2020 Page 7 of 25
David R. Alperstein, Esquire

MCA Capital Fund I, LLC

1080 N. Delaware Avenue

Suite 505

Philadelphia, PA 19125

(215) 710-0690 Phone

(215) 710-0689 Fax

From: Gerry Dzurek <g.dzurek@hmcincorporated.com> 

Sent: Thursday, April 26, 2018 3:32 PM

To: david@mcacapfund.com; Kara DiPietro <k.dipietro@hmcincorporated.com> 

Cc: 'Perry Abbonizio' <perry@parfunding.com> 

Subject: RE: MCA Capital Fund I, LLC

David,

We will hopefully be in touch soon. Thanks for the follow up.

Sincerely,

Gerry Dzurek

From: david@mcacapfund.com [mailto:david@mcacapfund.com] 

Sent: Thursday, May 10, 2018 4:13 PM

To: Gerry Dzurek <g.dzurek@hmcincorporated.com>; Kara DiPietro <k.dipietro@hmcincorporated.com>

Cc: 'Perry Abbonizio' <perry@parfunding.com>

Subject: RE: MCA Capital Fund I, LLC

Gerry/Kara,

Just a friendly hello and checking in to see if you might have any questions. 

If I can assist in any way let me know of course.

Hope all is well!

David R. Alperstein, Esquire

MCA Capital Fund I, LLC

1080 N. Delaware Avenue

Suite 505

Philadelphia, PA 19125

(215) 710-0690 Phone

(215) 710-0689 Fax

Case 9:20-cv-81205-RAR Document 21-4 Entered on FLSD Docket 07/27/2020 Page 8 of 25
From: Kara DiPietro 

Sent: Thursday, May 10, 2018 4:17 PM

To: david@mcacapfund.com

Cc: Gerry Dzurek <g.dzurek@hmcincorporated.com>; Perry Abbonizio <perry@parfunding.com>

Subject: Re: MCA Capital Fund I, LLC

Thank you for reaching out David. It’s been a really busy couple of months, our year end, planning for rest of year. We 

will schedule a call in a month or so - feel free to reach out again.

Kara

From: Kara DiPietro 

Sent: Sunday, July 01, 2018 8:36 PM

To: Joe Mack <joe@parfunding.com>; perry@parfunding.com; david@mcacapfund.com

Subject: 🇺🇺🇸🇸07-01-2018 Meeting Request🇺🇺🇸🇸

Joe, Perry, David - 

When I visited your offices and proposed the idea to turn invoices in a way that would maximize my cash flow and widen 

your margin (because of the quick pay down term), and that I wanted to invest in CBSG, you asked me why I wanted to 

do that. I told you that your program saved me, my business and because they go hand in hand you saved my life. 

Since our paths crossed I’ve been outlining my experience and the possibilities and I think with your industry knowledge 

and bank roll we could bring something amazing to small businesses from sea to shining sea. 

I did not mention by name the company I’m ready to go after but I bet you could guess in three tries. 

Perry, I sent you an email and then had the opportunity to speak with David for a few minutes and gave him the short 

version of what I’m thinking. 

I’m looping in the SBA now as well as my legal counsel who are the perfect fit for taking these jokers out. When can we 

meet again?

Kara 

Sent from my iPhone

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From: Kara DiPietro 

Sent: Friday, October 19, 2018 9:21 PM

To: Joe Mack <joe@parfunding.com>

Subject: 10-19-2018 RFI $14,000,000

Hey! My dad just called and asked if I’d help him secure a facility where he could put $14,000,000 for 12-24 

months - and if that short term investment would work what would be the return? 

From: Joe Mack [mailto:joe@parfunding.com] 

Sent: Friday, October 19, 2018 10:15 PM

To: Kara DiPietro <k.dipietro@hmcincorporated.com>

Subject: Re: 10-19-2018 RFI $14,000,000

I can get him 12 percent for 24 months. Interest payable monthly 140k a month. Balloon at the 24th month. Just 

got audited financials done. We have 270 million in advances working w Par and I have several other funds. 

But I would recommend he come to Par. I have 80 million in the company myself. So his money would be side 

by side w mine. I can send Perry out to see him to go over details if he would like that 

Sent from my iPhone 

From: Kara DiPietro 

Sent: Friday, October 19, 2018 10:20 PM

To: Joe Mack <joe@parfunding.com>

Subject: Re: 10-19-2018 RFI $14,000,000

Awesome. Is it ok if I forward your response to him? I can copy you and Perry - then you guys can coordinate?

From: Joe Mack [mailto:joe@parfunding.com] 

Sent: Friday, October 19, 2018 11:04 PM

To: Kara DiPietro <k.dipietro@hmcincorporated.com>

Subject: Re: 10-19-2018 RFI $14,000,000

Of course

From: Kara DiPietro 

Sent: Friday, October 19, 2018 11:13 PM

To: Gerry Dzurek <g.dzurek@hmcincorporated.com>

Cc: Joe Mack <joe@parfunding.com>; Perry Abbonizio <perry@parfunding.com>

Subject: Fwd: 10-19-2018 RFI $14,000,000

Case 9:20-cv-81205-RAR Document 21-4 Entered on FLSD Docket 07/27/2020 Page 22 of 25
Dad - See below. I believe you said that you needed confirmation by Monday/Tuesday. I’ll give you a call 

tomorrow and will assist coordinating next steps. 

Kara

From: Kara DiPietro 

Sent: Saturday, October 20, 2018 7:56 PM

To: Joe Mack <joe@parfunding.com>

Subject: Re: 10-19-2018 RFI $14,000,000

George Chanos is one of my Dad’s friends. George and my father are partnering on a couple of interesting 

ventures. They are both in Vegas now - one of the items on their agenda is the 14mm we discussed. I will be in 

touch with next steps regarding that - but thought you may be interested in this short lecture George gave in 

Deleware a few weeks back. My dad and I were in the audience.

https://m.youtube.com/watch?feature=youtu.be&v=T 6-Ys8t0Mk#menu

From: Joe Mack [mailto:joe@parfunding.com] 

Sent: Sunday, October 21, 2018 12:35 AM

To: Kara DiPietro <k.dipietro@hmcincorporated.com>

Subject: Re: 10-19-2018 RFI $14,000,000

He is amazing. Thanks for sharing that. I believe he is correct on the AI. I have been using it for 6 months and 

increased revenue by 30 percent. It is good and bad. I think he is spot on. Let me know what I can do for your 

Dad. Be happy to work with you all. 

Sent from my iPhone 

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