Businessman accused of swindling customers
By Michelle payne
Rocky River
Published Oct. 26, 2005

A local business owner is behind bars after allegedly stealing approximately $41,000 from customers through inflated credit card charges.

Thomas Paghi, 37, owner of the Urban Home and Garden store on the corner of Lakeview Avenue and Detroit Road, was arrested Friday on a felony theft warrant. According to Rocky River police, Paghi has been under investigation since April 24, 2004, when they received the initial complaint of increased charges on a customer’s credit card.

“We got an arrest warrant that we served for $41,000 in charges,” said Sgt. Carl Gulas of the Rocky River Police Department. “We’re talking credit cards and it could be very widespread. This all started with incidents of customers contacting us and saying they made legitimate purchases, but when they got their statements there were illegitimate charges on it.” The department has received numerous complaints about Paghi over the years, and police suspect there are many more victims.

“A lot times people don’t pay attention to credit card statement, and a lot of times these things slip through the cracks,” Gulas said. “Anyone with more information on fraud charges from urban garden should contact the detective bureau of the police department.”

Paghi, a Lakewood resident, has no prior criminal record and police said he acted alone in the crime. He was arraigned Monday on charges of theft and is being held on a $5,000 bond. Police believe more charges could follow.

“There may be additional charges, but right now that’s all we have,” said Lt. Terry Hudec of the Rocky River Police Department.

According to Hudec, this type of crime is not common for the city.