Hey Bullet Hole, with patches that end up like that it's a wonder you're hitting that paper plate at all.

Seriously, you're giving up on that gun too early.As nchawkeye said earlier, your shotpatches should look like you could almost use them again. You definitely need to change your patch material. You need a tight weave pure cotton or linen. Do try some pillow tick from your local fabric store. Just get ahalf-yard for a test.If you have some old jeans laying around in back of the closet, try some denim also. It may be tight loading for the first few inches, but will likely shoot well.

The cap failure problem is clearly a nipple issue. Replace that sucker, or take it out and chuck the threaded portionin a drill. Run the drill slowly and hold a file or some emery paper wrapped around a flat stick against the cone where the cap sits toreduce itsdiameter. The very top of the nipple's conehas probably been flared and flattened a little from dry firing. That's likely what's causing your problem.