FILED: RICHMOND COUNTY CLERK 03/17/ :14 AM INDEX NO /2016 NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 03/17/2016

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1 FILED: RICHMOND COUNTY CLERK 03/17/ :14 AM INDEX NO /2016 NYSCEF DOC. NO. 1 RECEIVED NYSCEF: 03/17/2016 SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF RICHMOND X JONATHAN MARTIN personally and as owner of DERIVDOCS LLC, and REKHA PATEL personally and as owner of DERIVDOCS LLC, -against- Plaintiffs, JOSEPH MUSTO, DEAN BETZIOS, HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC NORTH STREET GLOBAL FUND SERVICES LLC, Index No. SUMMONS Defendants X YOU ARE HEREBY SUMMONED to answer the complaint in this action and to serve a copy of your answer, or, if the complaint is not served with this summons, to serve a notice of appearance, on Plaintiffs attorney within 20 days after service of this summons, exclusive of the day of service (or within 30 days after service is complete if this summons is not personally delivered to you within the State of New York); and in the case of your failure to appear or answer, judgment will be taken against you by default for the relief demanded in the complaint. The basis of venue is Plaintiff s maintenance of an office to transact business. DATED: Staten Island, NY March 16, 2016 Yours, etc., THE LUTHMANN LAW FIRM, PLLC By: Richard A. Luthmann 1 1 of 36

2 1811 Victory Boulevard Staten Island, NY Tel: (718) Fax: (347) TO: JOSEPH MUSTO 1452, 163rd Street, Whitestone, NY DEAN BETZIOS 132 High Street, Huntington, NY HEDGE FUND SOLUTIONS LLC 600 THIRD AVENUE SECOND FLOOR NEW YORK, NY HEDGE SOLUTIONS LLC 708 Third Avenue 16 th Floor New York, NY NORTH STREET GLOBAL FUND SERVICES LLC 708 Third Avenue 16 th Floor New York, NY of 36

3 SUPREME COURT OF THE STATE OF NEW YORK COUNTY OF RICHMOND X JONATHAN MARTIN personally and as owner of DERIVDOCS LLC, and REKHA PATEL personally and as owner of DERIVDOCS LLC, -against- Plaintiffs, JOSEPH MUSTO, DEAN BETZIOS, HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC NORTH STREET GLOBAL FUND SERVICES LLC, Index No. VERIFIED COMPLAINT Defendants X Plaintiffs JONATHAN MARTIN ( MARTIN ) and REKHA PATEL ( PATEL ), personally and as owners of DERIVDOCS LLC ( DERIVDOCS ) by and through their undersigned attorneys, the LUTHMANN LAW FIRM, PLLC, for their complaint against Defendants JOSEPH MUSTO ( MUSTO ), DEAN BETZIOS ( BETZIOS ), HEDGE FUND SOLUTIONS LLC ( HF SOLUTIONS ), HEDGE SOLUTIONS LLC ( HEDGE SOLUTIONS ), and NORTH STREET GLOBAL FUND SERVICES LLC ( NORTH STREET ) hereby allege as follows: NATURE OF THE ACTION PRELIMINARY STATEMENT 1. This is an action for Declaratory Judgment, Breach of Contract, Fraud, Breach of Fiduciary Duty, Unjust Enrichment, Conversion, Accounting, Fraudulent Transfer, Civil Conspiracy, Tortious Interference with Contract and Tortious Interference with Business Advantage based upon the actions and omissions of concerted actions of 1 3 of 36

4 Defendants MUSTO, BETZIOS, HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC. THE PARTIES 2. Plaintiff, JONATHAN MARTIN ( MARTIN ) is an owner and partner in DERIVDOCS LLC, who maintains an office for the transaction of business in Richmond County, New York. MARTIN currently resides in the United Kingdom. 3. Plaintiff, REKHA PATEL ( PATEL ) is an owner and partner in DERIVDOCS LLC, who currently resides in the State of New Jersey. 4. That at all the times herein after mentioned, the Defendant JOSEPH MUSTO ( MUSTO ), was one of the partners of DERIVDOCS LLC, who resides in the State of New York. 5. That at all the times herein after mentioned, the Defendant DEAN BETZIOS BETZIOS resides in the State of New York. 6. That at all he times herein after mentioned, the Defendant NORTH STREET GLOBAL FUND SERVICES LLC ( NORTH STREET ), was and still is a New York Limited Liability Company operating in the State of New York. 7. That at all he times herein after mentioned, the Defendant HEDGE SOLUTIONS LLC ( HEDGE SOLUTIONS ), was and still is a New York Limited Liability Company duly organized and existing under the Laws of the State of New York. 8. That at all he times herein after mentioned, the Defendant HEDGE FUND SOLUTIONS LLC ( HF SOLUTIONS ), was and still is a New York Limited Liability Company duly organized and existing under the Laws of the State of New York. 2 4 of 36

5 9. Jurisdiction is proper as the Defendants MUSTO, BETZIOS, HEDGE SOLUTIONS, HF SOLUTIONS and NORTHSTREET are all resident of the State of New York and or are transacting business in the State of New York. FACTS COMMON TO ALL COUNTS 10. JONATHAN MARTIN and REKHA PATEL founded DERIVDOCS LLC ( DERIVDOCS ) in June, 2009, to provide back office solutions to hedge funds and financial companies. FORMATION OF DERIV DOCS LLC 11. Plaintiffs MARTIN and PATEL formed DERIVDOCS LLC to provide support services to firms trading in Derivatives Markets. They provided a wide range of essential services at competitive prices for firms trading in the financial markets and the services included Document Negotiation, Middle/Back Office support in Financial/Accounting, Recruiting, and Legal/Compliance. 12. Plaintiffs MARTIN and PATEL contributed a capital of $3,000 each to set up the website and formed the DERIVDOCS. MUSTO BECOMES A PARTNER IN DERIVDOCS 13. In October 2009, JOSEPH MUSTO began working with DERIVDOCS LLC. Shortly thereafter, MUSTO expressed a willingness to become the business partner of MARTIN and PATEL in the DERIVDOCS business. JOSEPH MUSTO claimed that he would provide additional Middle Office services which the DERIVDOCS already provided. 14. By on or about May 2010, MUSTO, MARTIN and PATEL were and are, at all relevant times, co-owners and partners of DERIVDOCS LLC. 3 5 of 36

6 MUSTO BRINGS BETZIOS INTO DERIVDOCS 15. Defendant JOSEPH MUSTO proposed to Plaintiffs that his contact DEAN BETZIOS join the DERIVDOCS. BETZIOS claimed that he would provide additional accounting services to DERIVDOCS. Both Plaintiffs MARTIN and PATEL accepted the proposal of Defendant JOSEPH MUSTO and they insisted that BETZIOS should provide the capital amount of $3,000 to the DERIVDOCS as contributed by the other partners of the DERIVDOCS. 16. The website of the DERIVDOCS was soon updated to include DEAN BETZIOS profile and the service that DEAN BETZIOS could provide to DERIVDOCS and current and prospective clients. 17. DEAN BETZIOS never paid the capital sum of $3,000 and so DEAN BETZIOS was never officially added to the DERIVDOCS corporate documents as a partner. 18. On or about May 2012, DEAN BETZIOS began working with DERIVDOCS. 19. At some point in or about October, 2012, MUSTO, MARTIN and PATEL, the three partners of the DERIVDOCS decided that they would rebrand DERIVDOCS as HF SOLUTIONS. 20. The Defendants JOSEPH MUSTO and DEAN BETZIOS started to attend industry seminars and social events in order to obtain clients for the DERIVDOCS. It was at one of these events they met technology company Nirvana Solution. 21. DERIVDOCS (now branded as HF SOLUTIONS) joined forces with technology provider Nirvana Solution to provide an innovative back office, middle office and accounting system, called Nirvana Touch. It was envisaged that services through Nirvana Solution would enable the DERIVDOCS to increase productivity and improve 4 6 of 36

7 efficiency by allowing the DERIVDOCS to mirror the client's information for assured data integrity. 22. Plaintiffs MARTIN and PATEL found an office rental that could be rented for the hour for client meeting. 23. At some point in or about October, 2012, MUSTO, MARTIN and PATEL, the three titular partners of the DERIVDOCS decided that they would change the DERIVDOCS website to to more accurately describe the business and the clients of the DERIVDOCS. MUSTO AND BETZIOS BEGAN TO MAKE CASH WITHDRAWALS FROM THE DERIVDOCS ACCOUNT 24. Beginning at some point on or after October, 2012, MUSTO and BETZIOS began misappropriating DERIVDOCS funds. 25. In October 2012, the Defendant MUSTO made some large cash withdrawals fraudulently and in breach of fiduciary duty, without the knowledge or approval of other two partners of the DERIVDOCS. Both Plaintiffs MARTIN and PATEL had a conference call with Defendant MUSTO to find out the reason for unauthorized cash withdrawal. 26. As per on October 25 th, 2012, PATEL questioned the Defendant MUSTO for an expense of $2,000. Plaintiff PATEL also added that she would create a policy on expenses and reimbursements and shall circulate among the partners. Furthermore Plaintiffs expressed that all the expenses made from the DERIVDOCS account shall be authorized by either PATEL or MARTIN along with MUSTO. 27. The Defendant MUSTO falsely and fraudulently misrepresented that the cash withdrawal was towards return of an overpayment made to a client, Kylin. Both Plaintiffs MARTIN and PATEL further warned the Defendant that any cash withdrawal or 5 7 of 36

8 expenses must be approved by the other two partners and that evidence of the withdrawal or expense must be provided in the form of receipt. 28. In spite of such clear directions and contrary to the DERIVDOCS s policy, the Defendant MUSTO continued to make cash withdrawals over the next three months, transferred money to his own account and ran up bills on the DERIVDOCS credit card with fraudulent and malicious intent. Continuous attempt made by Plaintiffs seeking the Defendant to provide evidence and receipts of expenses could not secure any such document. 29. Plaintiff PATEL spoke to the Defendant MUSTO raising concerns about the Defendant MUSTO spending and withdrawals from the DERIVDOCS account. Almost all the money in the DERIVDOCS account had been spent by the Defendant MUSTO without proper accounting. 30. Plaintiff PATEL requested the Defendant MUSTO to provide receipts for every expense made through the DERIVDOCS account. On the contrary the Defendant insisted that Plaintiffs MARTIN and PATEL add more money to the DERIVDOCS account in order to invest more in the DERIVDOCS to grow the business. This request was being made with the malicious and fraudulent intention of further swindling the contributions without proper receipt and accounting. 31. Beginning at some point on or after October, 2012, BETZIOS began behaving like a de facto partner of DERIVDOCS. 6 8 of 36

9 MUSTO AND BETZIOS FORM A NEW DERIVDOCS 32. Beginning at some point in 2013, MUSTO and BETZIOS and formed a new DERIVDOCS by creating the Defendant HEDGE FUND SOLUTIONS, LLC, without the knowledge of the other two DERIVDOCS partners MARTIN and PATEL. 33. The new DERIVDOCS, the Defendant HEDGE FUND SOLUTIONS, LLC, created by Defendants MUSTO and BETZIOS, began to offer the same or substantially similar products and services as DERIVDOCS. 34. Beginning at some point in 2013, without the knowledge of MARTIN and PATEL, MUSTO and BETZIOS improperly began to divert the DERIVDOCS s on the domain to the detriment of DERIVDOCS and for the benefit of Defendant HEDGE FUND SOLUTIONS, LLC, and its owners, Defendants MUSTO and BETZIOS. 35. At some point before May, 23, 2013, without the knowledge of MARTIN and PATEL, MUSTO and BETZIOS improperly continued to divert the DERIVDOCS s on the domain to the detriment of DERIVDOCS and for the benefit of Defendant HF SOLUTIONS, and its owners, Defendants MUSTO and BETZIOS, in violation of prior agreements, applicable principles of law and equity. 36. At some point before May, 23, 2013, without the knowledge of MARTIN and PATEL, MUSTO and BETZIOS improperly diverted the business of DERIVDOCS into the Defendant HF SOLUTIONS, for the benefit of its owners, the Defendant HF SOLUTIONS and Defendants MUSTO and BETZIOS, in violation of prior agreements, applicable principles of law and equity. 7 9 of 36

10 37. At all relevant times, the Defendant HF SOLUTIONS was and is a device to divert monies, business opportunities and other things of value, tangible and intangible without limitation away from their proper owner, DERIVDOCS. MUSTO AND BETZIOS SELL THE NEW DERIVDOCS 38. At some time in May, 2013, Defendants MUSTO and BETZIOS sold the Defendant HF SOLUTIONS to the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC. See the press release dated May 23, 2013 and attached as EXHIBIT A. 39. At the time Defendants MUSTO and BETZIOS sold the Defendant HF SOLUTIONS to the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, all the Defendants knew or should have known that the Defendant HF SOLUTIONS was and is a device to divert monies, business opportunities and other things of value, tangible and intangible without limitation away from their proper owner, DERIVDOCS. 40. At the time Defendants MUSTO and BETZIOS sold the Defendant HF SOLUTIONS to the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, Defendants MUSTO and BETZIOS knew or should have known that the Defendant HF SOLUTIONS was and is a device to divert monies, business opportunities and other things of value, tangible and intangible without limitation away from their proper owner, DERIVDOCS. 41. At the time Defendants MUSTO and BETZIOS sold the Defendant HF SOLUTIONS to the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, the Defendant NORTH STREET knew or should have known that the Defendant HF SOLUTIONS was and is a device to divert monies, business opportunities and other 8 10 of 36

11 things of value, tangible and intangible without limitation away from their proper owner, DERIVDOCS. 42. At the time Defendants MUSTO and BETZIOS sold the Defendant HF SOLUTIONS to the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, Defendants MUSTO and BETZIOS knew or should have known that MARTIN and PATEL were equitable owners in the Defendant HF SOLUTIONS. 43. At the time Defendants MUSTO and BETZIOS sold the Defendant HF SOLUTIONS to the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, the Defendant NORTH STREET knew or should have known that MARTIN and PATEL were equitable owners in the Defendant HF SOLUTIONS. 44. As a result of the purchase of the Defendant HF SOLUTIONS by the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, Plaintiffs MARTIN and PATEL were harmed. 45. As a result of the purchase of the Defendant HF SOLUTIONS by the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, Defendant JOSEPH MUSTO was unjustly enriched. 46. As a result of the purchase of the Defendant HF SOLUTIONS by the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, Defendant DEAN BETZIOS was unjustly enriched. MUSTO BECOMES MANAGING DIRECTOR OF NORTH STREET AND TRIES TO HIDE HIS MALFEASANCE 47. As a result of the purchase of the Defendant HF SOLUTIONS by the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, Defendant JOSEPH MUSTO became Managing Director of the Defendant NORTH STREET of 36

12 48. On or about February, 6, 2014, all Defendants received a spoliation letter from the undersigned s offices (the Spoliation Letter ). 49. On or about February, 6, 2014, Defendant JOSEPH MUSTO received the Spoliation Letter from the undersigned s offices. 50. On or about February, 6, 2014, Defendant DEAN BETZIOS received the Spoliation Letter from the undersigned s offices. 51. On or about February, 6, 2014, Defendant NORTH STREET received the Spoliation Letter from the undersigned s offices. 52. On or about February, 6, 2014, Defendant HF SOLUTIONS received the Spoliation Letter from the undersigned s offices. 53. On or about February, 6, 2014, Defendant JOSEPH MUSTO, now the Managing Director of Defendant NORTH STREET, received the Spoliation Letter from the undersigned s offices. A copy of the letter is attached hereto as EXHIBIT B. 54. Upon receipt of the Spoliation Letter, the Defendant JOSEPH MUSTO, knew or should have known that at the time Defendants MUSTO and BETZIOS sold the Defendant HF SOLUTIONS to the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, the Defendant HF SOLUTIONS was and is a device to divert monies, business opportunities and other things of value, tangible and intangible without limitation away from their proper owner, DERIVDOCS. 55. Upon receipt of the Spoliation Letter, the Defendant DEAN BETZIOS, knew or should have known that at the time Defendants MUSTO and BETZIOS sold the Defendant HF SOLUTIONS to the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, the Defendant HF SOLUTIONS was and is a device to divert monies, of 36

13 business opportunities and other things of value, tangible and intangible without limitation away from their proper owner, DERIVDOCS. 56. Upon receipt of the Spoliation Letter, the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, knew or should have known that at the time Defendants MUSTO and BETZIOS sold the Defendant HF SOLUTIONS to the Defendant NORTH STREET GLOBAL FUND SERVICES, LLC, the Defendant HF SOLUTIONS was and is a device to divert monies, business opportunities and other things of value, tangible and intangible without limitation away from their proper owner, DERIVDOCS. 57. On March 31, 2014, the Defendant HEDGE SOLUTIONS LLC was formed with a corporate address at 708 Third Avenue, 1610, New York, NY the same address as the Defendant NORTH STREET. 58. The formation on March 31, 2014, of the Defendant HEDGE SOLUTIONS LLC was directed by the Defendant NORTH STREET. 59. The formation on March 31, 2014, of the Defendant HEDGE SOLUTIONS LLC was directed by the Defendant MUSTO. 60. The formation on March 31, 2014, of the Defendant HEDGE SOLUTIONS LLC was directed by the Defendant BETZIOS. 61. The Defendant HEDGE SOLUTIONS LLC is a subsidiary of Defendant NORTH STREET. 62. The Defendant HEDGE SOLUTIONS LLC is a successor entity to Defendant HF SOLUTIONS. 63. The Defendant HEDGE SOLUTIONS LLC is the equitable successor to Defendant HF SOLUTIONS of 36

14 64. The Defendant HF SOLUTIONS is the equitable owner of the assets of the Defendant HEDGE SOLUTIONS LLC. 65. The Plaintiffs are equitable owners of the assets of the Defendant HF SOLUTIONS. 66. The corporate veil as between Defendants JOSEPH MUSTO, DEAN BETZIOS, HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC, should be pierced because of the frauds perpetrated by all of the several Defendants individual and in concert. 67. The corporate veil as between Defendants JOSEPH MUSTO, DEAN BETZIOS, HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC, should be pierced because of the self-dealing perpetrated by all of the several Defendants individual and in concert. 68. It is clear from the about statements that both the Defendants MUSTO and BETZIOS had fraudulently set up a new DERIVDOCS as HF Solutions when they engaged in a planned scheme of conduct that included diverting the s and website and other business interests both existing and prospective. 69. Defendants MUSTO and BETZIOS used the monetary benefits of DERIVDOCS to market, promote and pay the expenses of the new DERIVDOCS the Defendant, Hedge Fund Solutions LLC. 70. Defendants MUSTO and BETZIOS used the website of DERIVDOCS to promote Hedge Fund Solutions LLC of 36

15 71. Defendants MUSTO and BETZIOS directed DERIVDOCS business, properties, monies, clients and other valuable things, tangible and intangible and without limitation to Hedge Fund Solutions LLC. 72. Defendants MUSTO and BETZIOS misrepresented to clients that DERIVDOCS branded as HF Solutions and Hedge Fund Solutions LLC were one and the same. 73. Defendants MUSTO and BETZIOS further insisted on Plaintiffs to add more money to the DERIVDOCS account as to promote the new DERIVDOCS Hedge Fund Solutions LLC. 74. The Defendant MUSTO and BETZIOS maliciously and fraudulently had withdrawn funds from the account of the DERIVDOCS, undercapitalizing the same, for improper business purposes, including to market, promote and pay the expenses of Defendant Hedge Fund Solutions LLC and its successor entities. 75. Plaintiffs MARTIN and PATEL, each of them, have been harmed by the intentional and/or fraudulent and/or reckless and/or grossly negligent and or negligent actions and/or omissions of the Defendants, all of whom are the fiduciary of and /or the constructive trustee of DERIVDOCS. 76. To the extent Plaintiffs, JONATHAN and PATEL have been harmed by the intentional and/or fraudulent and/or reckless actions and/or omissions of the Defendants, Plaintiffs, JONATHAN and PATEL, are entitled to costs, fees, compensatory and punitive damages of 36

16 AS AND FOR A FIRST CAUSE OF ACTION ON BEHALF OF PLAINTIFFS DECLARATORY JUDGMENT: DISREGARD OF THE CORPORATE ENTITIES 77. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows. 78. Defendants MUSTO and BETZIOS routinely used HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES LLC and other entities to transact their personal business and to engage in fraud, illegality, breaches of fiduciary duty and other wrongdoing. 79. Upon information and belief, none of HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, nor NORTH STREET GLOBAL FUND SERVICES LLC had adequate capitalization. 80. Upon information and belief, Defendants MUSTO and BETZIOS have engaged in the personal use of corporate offices and employees, and have engaged in the personal use of corporate vehicles which he purchased, with funds properly belonging to DERIVDOCS, ostensibly for business use. 81. Upon information and belief, HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC have no corporate officers other than Defendants MUSTO and BETZIOS and/or their strawmen. 82. None of HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, nor NORTH STREET GLOBAL FUND SERVICES LLC maintains books of account, there has been no formal election of officers of HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, nor NORTH STREET GLOBAL FUND SERVICES LLC, nor have shares or ownership interests ever been issued and its board of directors either does not exist, has never met or has met infrequently with no minutes being taken of 36

17 83. Upon information and belief, Defendants MUSTO and BETZIOS have exercised and continues to exercise complete and exclusive control over the affairs of HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC, and have appropriated assets of HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC properly belonging to DERIVDOCS for their own personal use, and has conducted business in disregard of corporate formalities. 84. Finally, Defendants MUSTO and BETZIOS have committed personal torts in the performance of their duties for HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC, and DERIVDOCS LLC, in acting outside the scope of his duty and authority. This conduct warrants disregard of the corporate entity, the piercing of the corporate veil and treatment, of HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC as the alter egos of MUSTO and BETZIOS, such that MUSTO and BETZIOS may be held personally liable for its breaches of contract, breaches of fiduciary duty and other wrongful acts and omissions as herein detailed. 85. In sum, HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC are the alter egos of Defendants MUSTO and BETZIOS. Defendants MUSTO and BETZIOS have disregarded the legal separation, distinct properties, or proper formalities of the different business entities engaged in by MUSTO and BETZIOS and HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC; accordingly, of 36

18 the Court should likewise disregard them so far as necessary to protect DERIVDOCS and Plaintiffs MARTIN and PATEL. AS AND FOR A SECOND CAUSE OF ACTION ON BEHALF OF PLAINTIFFS FORMAL ACCOUNTING 86. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows. 87. Of greatest and most immediate concern, Defendants have breached fiduciary duties owed to DERIVDOCS, MARTIN and PATEL, have been guilty of gross negligence, willful misconduct and bad faith in connection with the management of DERIVDOCS and its properties, and have been guilty of other conduct tending to affect prejudicially the carrying on of DERIVDOCS business. 88. In addition, Defendants MUSTO and BETZIOS has failed and refused to conduct the partnership in accordance with applicable law. 89. Upon information and belief, HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC as the alter egos of Defendants MUSTO and BETZIOS have engaged in acts of self-dealing in breach of their fiduciary duty to DERIVDOCS, MARTIN and PATEL, by attempting to discharge their own personal debts with DERIVDOCS funds. 90. Upon information and belief, HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC as the alter egos of Defendants MUSTO and BETZIOS have engaged in waste and mismanagement of DERIVDOCS assets, by failing to keep proper books and records, by failing to keep partners informed as to the business and affairs of DERIVDOCS, by making imprudent investments and arbitrarily refusing to make prudent investments, by failing to devote of 36

19 sufficient time to the business and affairs of DERIVDOCS to fully promote its interests and by engaging in other misconduct. 91. By reason of the foregoing wrongful acts of HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC as the alter egos of Defendants MUSTO and BETZIOS, Plaintiffs MARTIN and PATEL are entitled to an accounting from HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS of all their acts and transactions. 92. Prior to the commencement of this action, Plaintiffs MARTIN and PATEL demanded of Defendants MUSTO and BETZIOS that they render and state and accurate and complete account of their acts and transactions in the operation of DERIVDOCS and its assets, and said defendants have refused to do so. 93. HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS are wasting the assets of DERIVDOCS to the detriment of Plaintiffs MARTIN and PATEL. 94. Upon information and belief, HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS have established other businesses subsequent to the execution of the DERIVDOCS Operating Agreement. 95. Upon information and belief, Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS have used funds diverted from DERIVDOCS to establish such businesses. 96. All or substantially all of the DERIVDOCS assets have been sold, are under contract for sale or are being aggressively marketed for sale. No new business is being of 36

20 done and HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS does not intend to approve any new deals or business by the DERIVDOCS. at law. 97. DERIVDOCS and Plaintiffs MARTIN and PATEL have no adequate remedy AS AND FOR A THIRD CAUSE OF ACTION ON BEHALF OF PLAINTIFFS BREACH OF CONTRACT 98. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows. 99. Defendants MUSTO and BETZIOS have breached the DERIVDOCS Operating Agreement Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, and NORTH STREET GLOBAL FUND SERVICES LLC as the alter egos of Defendants MUSTO and BETZIOS have breached the DERIVDOCS Operating Agreement Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS have neglected the affairs of DERIVDOCS, and, contrary to the terms of the DERIVDOCS Operating Agreement, has given its time and labor to other business to such an extent that it has failed to devote sufficient time to the business of DERIVDOCS to fully and properly promote and protect DERIVDOCS interests Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS have been grossly extravagant in conducting its affairs; it has squandered a large amount of DERIVDOCS moneys; it has thus, without consulting DERIVDOCS or obtaining its consent, engaged of 36

21 in ventures and enterprises outside of the business in which DERIVDOCS was formed to engage Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS are guilty of gross negligence and mismanagement of the business of DERIVDOCS in violation of the terms of the Operating Agreement as to impair DERIVDOCS assets and wrong and defraud DERIVDOCS, MARTIN and PATEL Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS breached the DERIVDOCS Operating Agreement by (1) depositing funds of DERIVDOCS in accounts other than those maintained by and for the use and benefit of DERIVDOCS, (2) commingling the funds of DERIVDOCS with its own funds and those of its Managing Director and those which were held by or for the benefit of members of his family, and (3) drawing checks upon DERIVDOCS account or accounts for purposes other than the purpose of DERIVDOCS Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS breached the DERIVDOCS Operating Agreement in that it excluded MARTIN AND PATEL from participation in the business and affairs of DERIVDOCS, refused to allow MARTIN and PATEL to vote on the management of the affairs of DERIVDOCS, took over exclusive control of DERIVDOCS, made decisions regarding the business of DERIVDOCS without consulting MARTIN and PATEL or obtaining its consent and refused to limit its actions on behalf of DERIVDOCS to those which were approved by MARTIN and PATEL of 36

22 106. Upon information and belief, Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS breached the DERIVDOCS Operating Agreement by arranging for reimbursement of certain unreasonable and extravagant expenses Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS failing to conduct their affairs in the best interest of DERIVDOCS in that it failed to provide for the safekeeping and use of all DERIVDOCS's funds and assets for the benefit of DERIVDOCS and instead used them for their own purposes; (2) failing to act with integrity and good faith and to utilize all reasonable efforts in all activities relating to the conduct of the business of DERIVDOCS and in resolving conflicts of interest; (3) failing to devote such time and effort to DERIVDOCS business and operations as was necessary to promote fully the interests of DERIVDOCS; and (4) by using DERIVDOCS funds, assets and employees to engage in non- DERIVDOCS business During the existence of DERIVDOCS, MUSTO and BETZIOS failed to devote such time and effort to DERIVDOCS business and operations as was necessary to promote fully the interests of DERIVDOCS. Instead, MUSTO and BETZIOS formed new entities, devoted most of their time to these new entities, neglecting the business of, but continuing to withdraw a full share of its profits and funds. By reason of MUSTO and BETZIOS' failure to devote sufficient time to the operation of DERIVDOCS s business, plaintiffs are entitled to charge resultant expenses against MUSTO and BETZIOS's share of Partnership profits. Moreover, while neglecting DERIVDOCS's business, MUSTO and BETZIOS used, rent-free, office space owned by a Partnership investor to create new of 36

23 partnerships and entities and to pursue new deals from which MARTIN and PATEL and DERIVDOCSwere excluded Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS has been guilty of gross negligence, willful misconduct and bad faith in connection with the management of DERIVDOCS Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS failed to ensure that development and rehabilitation work on Partnership properties was done in a workmanlike manner and at a reasonable cost to DERIVDOCS Defendants have wasted DERIVDOCS funds on lavish office space and extravagant spending Without knowledge or consent of its MARTIN and PATEL, Defendants used DERIVDOCS assets for non-derivdocs business and to conduct non- DERIVDOCS business Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS has failed and refused to provide MARTIN and PATEL with full and accurate information on the business and affairs of DERIVDOCS MARTIN and PATEL requested a full written explanation of the facts and circumstances relating to the alleged misconduct and a formal accounting with regard to DERIVDOCS's business and assets and MARTIN and PATEL has not received the requested information or the requested accounting of 36

24 115. In sum, Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS has grossly mismanaged the business and affairs of DERIVDOCS, in violation of the DERIVDOCS Operating Agreement By reason of the foregoing, the Plaintiffs havve suffered pecuniary damages as a result of the Defendants conduct in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs costs and legal fees in seeking recovery in an amount greater than the minimum jurisdictional amounts of this court. AS AND FOR A FOURTH CAUSE OF ACTION ON BEHALF OF PLAINTIFFS Fraud 117. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows Defendants fraudulently used the website of HF Solution LLC to promote Hedge Fund Solution LLC Defendants fraudulently spent the money from the DERIVDOCS AMOUNT to market, promote and pay the expenses of his new DERIVDOCS Hedge Fund Solutions LLC 120. Defendants committed acts of fraud by intentionally misrepresenting and/or fraudulently concealing the new DERIVDOCS Hedge Funds Solutions LLC from Plaintiffs Defendants with a fraudulent intention misrepresented to clients that both HF Solutions LLC and Hedge Fund Solutions LLC are one and the same DERIVDOCS of 36

25 122. Defendants grossly exaggerated and mislead the clients of HF Solutions to believe that both HF Solutions LLC and Hedge Fund Solutions LLC are one and the same DERIVDOCS Defendants deceived Plaintiffs into believing that all the money were spent in promotion of the DERIVDOCS, whereas all the money were invested in promotion of their own new DERIVDOCS (Hedge Fund Solutions LLC) Defendants made these false representations with the knowledge and belief that the representations were false and for the purpose of exploiting Plaintiffs DERIVDOCS and its reputation Defendants have intentionally violated the contract with the Plaintiffs of the DERIVDOCS in (i) fraudulently spending the DERIVDOCS s funds by false pretenses and representations; and (ii) invested and promoted the new DERIVDOCS from the DERIVDOCS s funds By reason of the foregoing, the Plaintiffs have suffered pecuniary damages as a result of the Defendants conduct in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs costs and legal fees in seeking recovery in an amount greater than the minimum jurisdictional amounts of this court. AS AND FOR A FIFTH CAUSE OF ACTION ON BEHALF OF PLAINTIFFS BREACH OF FIDUCIARY DUTY 127. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows Defendants MUSTO and BETZIOS and Plaintiffs are partners of the DERIVDOCS owing to each other a fiduciary duty of 36

26 129. The Defendants, MUSTO and BETZIOS breached their fiduciary duty as partners of DERIVDOCS by failing to produce the receipts of the expenses made by them The Defendants breached his fiduciary duty by using the money of HF Solution LLC to market, promote and pay the expenses of the new DERIVDOCS Hedge Fund Solutions LLC The conduct of the Defendants included severe and substantial breaches of fiduciary duty that have caused harm to Plaintiffs DERIVDOCS. As their partners and fiduciaries, Defendants breached their fiduciary duty by promoting and getting involved in another business by diverting the funds swindled out of the first DERIVDOCS and developed entirely out of the contacts of the first DERIVDOCS Defendants, MUSTO and BETZIOS, have breached his fiduciary duty to the DERIVDOCS by changing the account and removing Plaintiffs without the consent of Plaintiffs By reason of the foregoing, the Plaintiffs have suffered pecuniary damages as a result of the Defendants conduct in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs costs and legal fees in seeking recovery in an amount greater than the minimum jurisdictional amounts of this court. AS AND FOR A SIXTH CAUSE OF ACTION ON BEHALF OF PLAINTIFFS UNJUST ENRICHMENT 134. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows A valid agreement existed between Plaintiffs and the Defendants of 36

27 136. The Defendants have unjustly exploited the funds of DERIVDOCS which have unjustly enriched the Defendants at the cost of Plaintiffs to form a new DERIVDOCS of their own Plaintiffs are entitled to damages as a result of Defendants unjust enrichment, including the disgorgement of all monies unlawfully consumed by the Defendants from the DERIVDOCS fund Plaintiff demands monetary damages against the Defendants for unjust enrichment and such other relief this Court deems just and proper By reason of the foregoing, the Plaintiffs have suffered pecuniary damages as a result of the Defendants conduct in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs costs and legal fees in seeking recovery in an amount greater than the minimum jurisdictional amounts of this court. AS AND FOR A SEVENTH CAUSE OF ACTION ON BEHALF OF PLAINTIFFS Conversion 140. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows The Defendants intentionally assumed and exercised rights over DERIVDOCS to the exclusion of the rights of Plaintiffs, over funds rightfully belonging to DERIVDOCS The Defendant wrongfully exerted control and dominion over DERIVDOCS, without Plaintiffs consent and without lawful justification The Defendants wrongfully exerted control over the funds of DERIVDOCS, without Plaintiffs consent and without lawful justification of 36

28 144. The Defendants intentionally and substantially prevented Plaintiffs from receiving DERIVDOCS s The Defendants intentionally and substantially prevented the Plaintiffs from receiving the receipts and expenses made from the DERIVDOCS funds The Defendants have diverted Plaintiffs money from the account of the HF Solution LLC to market promote and pay the expenses of Hedge Fund Solutions LLC 147. The Defendants conduct was a cause and a substantial factor causing harm to Plaintiffs As a result of the Defendants conversion, the Plaintiffs suffered a loss By reason of the foregoing, the Plaintiffs have suffered pecuniary damages as a result of the Defendants conduct in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs costs and legal fees in seeking recovery in an amount greater than the minimum jurisdictional amounts of this court. AS AND FOR A SEVENTH CAUSE OF ACTION ON BEHALF OF PLAINTIFFS Fraudulent Transfer 150. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows Defendants have caused and/or engaged in the transfer of property to another party in order to deter, hinder or defraud Plaintiffs Defendants have caused and/or engaged in the transfer of property to another party in order to unfairly place such property out of the reach of a creditor is a fraudulent transfer of 36

29 153. Plaintiffs are entitled to the equitable remedy of having all fraudulent transactions unwound. AS AND FOR AN EIGHTH CAUSE OF ACTION ON BEHALF OF PLAINTIFFS CIVIL CONSPIRACY 154. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows There was a corrupt agreement between the Defendants Each of the Defendants have performed an overt act in furtherance of the corrupt agreement The Defendants intentionally participated in the furtherance of the corrupt agreement, plan and/or purpose The actions and / or conduct of the Defendants caused damage and / or injury to the Plaintiffs By reason of the foregoing, the Plaintiffs have suffered pecuniary damages as a result of the Defendants conduct in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs costs and legal fees in seeking recovery in an amount greater than the minimum jurisdictional amounts of this court. AS AND FOR A NINTH CAUSE OF ACTION ON BEHALF OF PLAINTIFFS Tortious Interference with Contract 160. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows A valid contractual agreement existed between Plaintiffs and Defendants and as between each of them of 36

30 162. The Defendants and each of them had knowledge of the contractual agreement The interference by the Defendants and each of them caused a breach of the contract The interference by the Defendants and each of them were both intentional and improper The Plaintiffs suffered damages as a result of the contractual interference By reason of the foregoing, the Plaintiffs have suffered pecuniary damages as a result of the Defendants conduct in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs costs and legal fees in seeking recovery in an amount greater than the minimum jurisdictional amounts of this court. AS AND FOR A TENTH CAUSE OF ACTION ON BEHALF OF PLAINTIFFS Tortious Interference Prospective Economic Advantage 167. Plaintiffs repeat, re-allege and reiterate all allegations made above in their entirety and further alleges as follows A valid contractual agreement existed between Plaintiffs and another party The Defendants and each of them intentionally and unjustifiably procured the other party s breach of the contract The contract between Plaintiffs and the other party was breached The breach of the contract caused resulting damages to Plaintiffs By reason of the foregoing, the Plaintiffs have suffered pecuniary damages as a result of the Defendants conduct in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs costs and legal fees in of 36

31 seeking recovery in an amount greater than the minimum jurisdictional amounts of this court. PRAYER FOR RELIEF WHEREFORE, Plaintiffs respectfully requests relief as follows: A. For their First Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs cost and legal fees. B. For their Second Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs cost and legal fees. C. For their Third Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted of 36

32 declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs cost and legal fees. D. For their Fourth Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs cost and legal fees. E. For their Fifth Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs cost and legal fees. F. For their Sixth Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL of 36

33 FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs cost and legal fees. G. For their Seventh Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs cost and legal fees. H. For their Eighth Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs cost and legal fees of 36

34 I. For their Ninth Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs cost and legal fees. J. For their Tenth Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus punitive damages, in addition to Plaintiffs cost and legal fees. K. And for any and all other Cause of Action as against Defendants HEDGE FUND SOLUTIONS LLC, HEDGE SOLUTIONS LLC, NORTH STREET GLOBAL FUND SERVICES, MUSTO and BETZIOS, that Plaintiffs be granted declaratory judgment, equitable relief, judgment against Defendants for the total amount of all damages whether incidental, compensatory, punitive, special or other, suffered by Plaintiffs as a result of Defendant s acts, in an amount to be established at trial, plus interest, plus of 36

35 punitive damages, in addition to Plaintiffs cost and legal fees., and such other and further relief as may be deemed just and equitable under the circumstances. DATED: Staten Island, New York March 16, 2016 Respectfully submitted, THE LUTHMANN LAW FIRM, PLLC By: Richard A. Luthmann 1811 Victory Boulevard Staten Island, NY Tel: (718) Fax: (347) of 36