Saks Fifth Avenue Manager Scammed Florida Store Out of $800K

A Florida client development manager who formerly worked at the Saks Fifth Avenue store located at the Bal Harbour Shops has been arrested on allegations that he defrauded the high-end store out of about $800,000.

Authorities say, Peter Matthew Pagan, 34, of Miami, was arrested on Tuesday on charges of grand theft, organized fraud, and credit card forgery/intent to defraud.

The arrest report states that Saks Fifth Avenue’s corporate office in New York launched an internal investigation which led to the discovery that Pagan, over two years, fraudulently obtained gift cards and would resell or make purchases with the cards. It cost the company about $800,000 in losses.

Bal Harbour Village police said a Saks Fifth Avenue investigative analyst came across a transaction where two gift cards were used, that was suspicious to the company and as a result, an investigation into the matter began, Local 10 reported.

Police said Saks Fifth learned that the suspect would get the gift cards that were supposed to be used for special promotional events, override the value amounts and after resell the gift cards at a lower price than the value they held.

Pagan’s position at the company gave him the authority “to have access to the locations and computer systems necessary to obtain the gift cards.”

Pagan is currently detained at Turner Guilford Knight Correctional Center with a $25,000 bond.