Joseph Cole Barleta, former Chief Financial Officer (CFO) of Complete Business Solutions Group Inc., also known as Par Funding, has been sentenced to 66 months in federal prison. The sentence was handed down by United States District Court Judge Mark A. Kearney. Barleta will also serve three years of supervised release after prison, pay over $302 million in restitution to victims, and forfeit more than $8 million tied to the criminal activity.
This punishment comes after Barleta pleaded guilty in October to participating in a racketeering conspiracy. He admitted that he helped run a fraudulent investment business that misled investors about the company’s financial health. According to federal authorities, the company falsely claimed it was profitable and strong, but in reality, it was losing huge sums of money every year.
Barleta’s crimes included changing financial records, lying about profits, and helping to create fake financial statements. These lies fooled investors into giving their money to Par Funding, believing it was a solid and trustworthy business.
The Par Funding Scam
Par Funding operated as an investment business, offering what seemed to be high-return opportunities. But behind the scenes, it was running a massive scam. Barleta worked with others — including Joseph LaForte and James LaForte — in what authorities called a RICO enterprise, which means they operated as a criminal group committing a series of illegal acts together.
Barleta played a major role in the fraud. Acting under Joseph LaForte’s direction, he manipulated the company’s books and financial records. These doctored reports were used to convince investors that Par Funding was earning money and growing. In fact, the company was struggling and losing tens of millions of dollars.
By creating a false image of success, Barleta and his partners were able to raise more money from unsuspecting investors. These were often people saving for retirement or trying to grow their businesses. The scale of the fraud was enormous. According to a ruling in January 2025, the court found that the total loss caused by the scheme was about $404 million. After accounting for property and assets seized by the government, that number was adjusted to roughly $288 million.
The investigation into Par Funding began after the U.S. Securities and Exchange Commission (SEC) stepped in and placed the company into receivership in July 2020. This move helped prevent further damage and allowed federal investigators to collect evidence and identify how the fraud was carried out.
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Sentencing and Statements
Barleta’s sentence is one of several in this case. Joseph LaForte and James LaForte had already pleaded guilty in 2024 and were sentenced earlier this year. Joseph LaForte received a 15½-year prison term, while James LaForte was sentenced to 11½ years.
United States Attorney David Metcalf, who announced the sentencing, said Barleta had played a “key role” in what he described as a massive and harmful fraud. He noted the serious damage caused to the community and investors, many of whom lost their savings.
Wayne A. Jacobs, the FBI Special Agent in Charge of the Philadelphia Division, said Barleta’s sentencing shows that financial criminals will be held accountable. He emphasized the FBI’s commitment to investigating and stopping complicated fraud schemes like this one.
Patricia Tarasca, who leads the New York Region of the FDIC Office of Inspector General, also commented. She said the case was an example of how law enforcement agencies are working together to protect the public and the financial system from fraud.
The case was investigated by the FBI, FDIC OIG, IRS Criminal Investigation, and Pennsylvania State Police. The prosecution was led by Assistant U.S. Attorneys Matthew Newcomer, Samuel Dalke, and Eric Gill. The SEC’s civil fraud investigation in Florida also played a critical role in building the case against the Par Funding executives.
