$2 Million HUD 108 - Signature Loan Was Used to Pay Consultants
YONKERS, NY — May 22, 2012– Cappelli Enterprises, Inc. (Louis Cappelli-pictured)maintains viability by not filing appropriate court papers that reveal it true fiscal circumstances. Cappelli Enterprises has failed to create the Le Count Square redevelopment project despite being afforded 18 MOUs (memorandums of understanding) to which he beseeched the New Rochelle City Council (NRCC) with promises unkept. In time, the NRCC realized his redevelopment project was a pipe dream. In White Plains, his residential building is predominantly devoid of tenants. In Yonkers, the designated Master Developer has hidden by his designation after having promised he could and would beging the development project in earnest. He cannot move ahead on any of his promises because for all intent and propose, he is insolvent.
For months, actually a few years now, the Yonkers Tribune has expressed this reality. A few weeks ago, the City of Yonkers demanded receipt of a $391,000.00 installment payment over an overdue signature loan valued at over $2 million. The loan was rationalized for one reason or another, but never the truth. The $2 million was afforded Cappelli Enterprises for the sole purpose of making payment to the consultants on the project who had not been paid. With the HUD 108 loan he was able to pay the consultants. That is, he used taxpayer money to pay the consultants and then refused to pay the loan back to the city, knowing full well Yoners was on the hook to collect on the loan. Yonkers was now out the money it loaned him and the money it required to replenish the HUD 108 loan. The loan was conveniently forgotten to be collected on what was initially called a Signature Loan that was in reality a Housing and Urban Development (HUD) 108 loan that permitted Cappelli a respite. He has not obliged Yonkers likewise. He knew Yonkers was suffering financially. The ploy continued. Executive Vice President Joey Apicella advised Yonkers City Hall Cappelli Enterprises did not possess the wherewithal to pay the $391,000.00 note. City Hall shot back that their response was to file a default judgment. Cappelli Enterprises paid the $391,000.00 note. More is still owed. The payment stayed default from taking affect.
Lest Cappelli be regarded the only villain in this scenario, it must be noted that the City of Yonkers, under its former mayor, Phil Amicone, concocted a scheme in which the properties of H & I, were used as collateral for the HUD 108 loan. The city was putting up it own property to bail out Cappelli Enterprises out of another jam Cappelli got us into and to which the Amicone Administration submitted. THis other nugget of information now brings the entire disaster of economic development ful circle. Former Yonkers Finance Commissioner James LaPerche knew this was the deal then and knows it now. Why is he a consultant to present Mayor Mike Spano's administration. Is it even worthwhile asking for the U.S. Attorney General to look into this matter? Excuse me a moment while I reach for a second helping of my prescribed medications.
And for those who should care to know, why are the same developers of old, now returning to the honey po of the City of Yonkers after having been thwarted in the past? They are to be seen marching in and out of City Hall as if they own the place. They know who they are. They also now know that we know who they are. When will someone speak to this calamity revealing itself once again. Silence will bring the past to the present.
Yesterday, The Journal News reported Westy Self Storage, situated in Elmsford, New York filed a public notice announcing nonpayment to one of its units.
Capelli Executive Vice President Joseph Apicella said Monday that he was unaware of the claim. The storage company would not reveal how much was owed. True to form, Apicella is quoted to have said, “I think that’s an accounts-payable goof.”
Rather than enabling Cappelli Enterprises its ability to sustain itself, the City of Yonkers must file a default notice so that Yonkers may relieve itself of the Master Development status by which Cappelli Enterprises to revive his flagging operation.
Yonkers benevolence in this situation in keeping Cappelli Enterprises Inc. from surviving default will disintegrate. It proves again that the insinuation of serving “Friends and Family” is not prudent vis-à-vis the interests of the City of Yonkers. It’s time to say good-bye and those who have had enough, “Good riddance!” should be added.
For those who hunger for Cappelli and Apicella, a re-run of analagous shenanigans are taking place in The Catskills.