1 DECLARATION OF WILLIAM N.

GREENE,
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I, William N. Greene, declare:
1. I am the President of Cross Complainant California ConsuJting Group dba California
Consulting Group International, a California corporation (hereinafter referred to as
"Cross Complainant") in the above-captioned matter. I am responsible for the
business affairs of Cali fomi a Consulting Group and have personal knowledge of all
facts and matters with respect to the loan made to Cross Defendant Karen de la
Carriere (hereinafter referred to as '"Carriere") in the sum of $] 75,000.00. If called
upon to testify in this matter, I could and would competently testify to the facts
stated herein.
2. I make and submit this Declaration in support of California Consulting Group's
application for right to attach orders and orders for issuance of writs of attachment in
this action against Cross Defendant Carriere, an individual.
3. I make and submit this Declaration based upon my personal knowledge and the
information contained in the records maintained by me with relation to the following
transactions, over which I have maintained custody and control in the ordinary
course of my business.
4. As payments have been received by me, information regarding transactions and
accounts for which such payments are received is inputted by me or by my
employees who have a duty in the ordinary course and scope of their employment to
accurately record such transactions into the business records of such accounts at or
near the time of their occurrence in the ordinary course of business. The records and
other documents in my files relating to the account described be10w, including the
documents submitted in conjunction with my Declaration, constitute writings made
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and kept in the ordinary and regular course of my business, at or near the time of the
event, act, or occurrence, of which they are a record.
5. 1 further state from my own knowledge that each such record or document was
prepared by me or persons employed by me who have persona] knowledge of the
events being recorded and who had a duty in the course and scope of their
employment to accurately record the events and information contained in such
records and documents at or near the time of the occurrence in the ordinary course of
business, and/or are documents received as prepared from third parties and
accurately maintained as received by me in the ordinary course of business, and were
received and are kept in the ordinary and reguJar course of my business.
6. The authenticity of the Loan is evidenced by the fact that Cross Defendant Carriere
has acted upon it as authentic in that, among other things, Cross Defendant Carriere
has made payments on the loans at issue and/or has not disputed the amounts
claimed as past due and owing.
7. On or June 9, 1998, Cross Defendant Carriere informed me that she would like to
borrow money from California Consulting Group as an investment towards the
purchase of commercial real property commonly known as 1935 N. Serrano Ave.,
Los Ange]es, CA 90027. Carriere further informed me that she intended on carrying
out the business of leasing the units of said commercial rea] property to collect rent
from the prospective tenants. Additionally, Carriere informed me that she intends
on operating an art business which will occupy a portion of the commercial rental
property. Carriere's art business is estimated to bring in an annual revenue of
$100,000 to $400,000.
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8. On or about June 9, 1998, Cross Defendant Carriere, for valuable consideration,
executed in my presence, a written Promissory Note in the favor of California
Consulting Group (hereinafter referred to as the "Loan Agreement"), a true and
correct copy of the Loan Agreement is attached hereto as Exhibit 1 and incorporated
herein by reference .
9. Cross Defendant Carriere promised to pay California Consulting Group the principal
sum of One Hundred and Seventy Five Thousand and no 00/1 00 ($175,000.00),
together with interest at the rate of fourteen and a half percent (14.5%) per annum.
10. The Loan Agreement was secured by a Deed of Trust for the property commonly
known as 1935 N. Serrano Ave., Los Ange]es, CA 90027 ("subject property") and
legally described as Lot 45 of Tract No. 3823, as per map recorded in book 41, page
78 of maps in the office of the county recorder of Los Angeles County, APN 5587-
024020, recorded on December 28, 1998 in the Los Angeles County Recorder's
Office as Instrument number 982343686.
I ] . The Loan Agreement provides that "S years PLUS 30 DAYS after date, for value
received, the undersigned maker(s), promise(s) to pay to CALIFORNIA
CONSULTING GROUP ... the principal sum of One Hundred and Seventy Five
Thousand and noll 00 DOLLARS, with interest from 1 July 1998 on the unpaid
principal at the rate of 4 ~ percent per annum, payable NOT LESS THAN
ANNUALLY ON OR BEFORE JULY 1."
12. Additionally, pursuant to the Loan Agreement, if interest is not paid when due, it
shall thereafter bear like interest as the principal, but such unpaid interest so
compounded shall not exceed an amount equal to simple interest on the unpaid
principal at the maximum rate permitted by law.
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13. Further, should default be made in payment of interest when due, the whole sum of
principal and accrued interest shall become immediately due, without notice, at the
option of the California Consulting Group.
14. On or about June 9, 1998, in express reliance thereon, California Consulting Group
disbursed funds to Cross Defendant Carriere for the purchase of commercial real
property.
15. Thereafter, on or around February ~ 2003, Cross Defendant Carriere executed and
delivered to California Consulting Group a Loan Agreement renewing the 1998 Loan
Agreement pursuant to which she promised to pay present and future obligations to
California Consulting Group. ("2003 Loan Agreement") A true and correct copy of
said Loan Agreement executed and delivered in 2003 is attached hereto as Exhibit 2
and incorporated herein.
16. The 2003 Loan Agreement was secured by a 2003 Deed of Trust against the property
commonly known as 1935 N. Serrano Ave., Los Angeles, CA 90027 and legally
described as Lot 45 of Tract No. 3823, as per map recorded in book 41, page 78 of
maps in the office of the county recorder of Los Angeles County, APN 5587-024-
020, recorded on October 9, 2003 in the Los Angeles County Recorder's Office as
Instrument number 033025404.
17. The 2003 Loan Agreement extended the maturity date to 2008. However, when the
note matured in 2008, Cross Defendant Carriere was yet again unable to make the
payments due pursuant to the renewed 2003 Loan Agreement.
18. Cross Defendant Carriere and I, on behalf of California Consulting Group, had
extensive discussions with regards to revising the 2003 Loan Agreement to include a
lower interest rate. Cross Defendant Carriere represented that she is unable to make
payments under the loan agreement due to the economic crisis.
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19. Therefore, on or around October 9, 2008, to assist Carriere with repayment of the
loan, California Consulting Group and Cross Defendant Carriere renegotiated the
teffils of the Loan Agreement and California Consulting Group agreed to indefinitely
extend the tenns of the loan until Cross Complainant notified Carriere otherwise.
20. Cross Defendant Carriere yet again defaulted under the Loan Agreement by, inter
alia, failing to make the payments under the Loan Agreement that fell due on
November I, 2008, and by failing to make any subsequent payments that fell due
under the Loan Agreement.
21. On behalf of California Consulting Group, I ultimate1y notified Carriere that the
maturity date under the Loan Agreement shall be extended to April 2012.
22. By reason of Carriere's default) I, on behalf of Cross Complainant, exercised the
option to dec1are the entire unpaid balance under the Loan Agreement to be
immediately due and payable.
23. Despite Cross Complainant's demands, Cross Defendant ultimately failed to pay the
balance due under the Loan Agreement. Attached hereto as Exhibit 4 is a true and
correct copy of the July 22, 2012 demand letter I sent to Defendant.
24. On or around October 5, 2012, Carriere further defaulted under the Loan Agreement
by, inler alia, fiJing a Complaint disputing the validity of the 2003 Deed of Trust
claiming that the 2003 Deed of Trust is a forgery, California Consulting Group does
not have a valid security interest and no monies are owed by Carriere to Cross
Complainant.
25. Cross Complainant perfonned all the tenns and conditions on its part to be
performed with relation to the above referenced Loan Agreement, except for such
teffils and conditions as have been excused by the conduct and breaches of Cross
Defendant, if any.
26. As of November I, 2012, under the Loan Agreement, there was due, owing and
unpaid by Cross Defendant, the principal sum of $175,000.00 and accrued interest in
the additional sum of$587,060.78, for a total sum of $762,060.78.
27. Cross Complainant is infonned and believes that Cross Defendant owns an interest
in the following property that is subject to attachment:
a. 1935 N. Serrano Ave., Los Angeles, CA 90027
Legally described as: Lot 45 of Tract No. 3823, as per map recorded
in book 41, page 78 of maps in the office of the county recorder of
Los Angeles County. Assessor's Parcel No: 5587-024-020
b. Any other real property, personal property, equipment, motor vehicles,
chattel paper, negotiable and other instruments, securities, deposit accounts,
safe deposit boxes, accounts receivable, general intangibles, property subject
to pending actions, final money judgments, and personal property in estates
of decedents, pursuant to CCP 487.01 O(c), and community property that
qualifies under the criteria subject to attachment pursuant to CCP
487.010(d).
28. Cross Complainant has no infonnation or belief that the claim is discharged in a U.S.
Code Title 11 bankruptcy proceeding or that the prosecution of the action is stayed in
a Title 11 proceeding.
I 29. Cross Complainant is entitled to a \Vril of At1achment against Cross Defendant for
2 the debt based upon the Loan Agreements in the folJowing amount
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Principal
Interest at the rate of 14.5%
per annum
TOTAL
$175,000.00
S5 8 7,060.78
S 761,060.78
I under penalty of pe!jUl)' Wlder the laws of the State of California that the
forgoing is true and correct, except as to such maners as are set forth upon information and
10 belief, and as to such matters, I believe them to be true.
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Executed this day of December, at Los Angeles, California.
WllLIAM. N. OR&'.iE on behalf of
California. Consulting Group dba ,
California Consulting Group Intema.tionaJ