A months-long investigation into a suspected retail fraud operation has led to the arrest of two Glendale residents who are accused of orchestrating a scheme involving fraudulent returns of high-end merchandise, authorities said Thursday.
The investigation began earlier this year when store employees at luxury retailer Nordstrom flagged suspicious return activity at the Glendale location to the Glendale Police Department.
According to investigators, the scheme came to light in February when an employee identified a customer who was attempting to return a counterfeit item. Then in March, Nordstrom’s internal investigations team alerted police to a widespread pattern of fraudulent transactions.
Authorities allege that two Glendale residents, Arpineh Sarkissian and Argin Gharapetyan, began carrying out the operation in 2019. Investigators say the pair purchased authentic designer goods online, including designer clothing and cosmetics, before returning the counterfeit versions for a refund.
The investigation cited designer handbags from brands such as YSL and valued at approximately $3,000 each, while luxury Gucci shoes were valued at more than $1,000.
According to police, the suspects made more than 244 transactions over several years and returned every item purchased.
Detectives estimate the total fraud effort to exceed $300,000, with confirmed losses to retailers now reaching nearly $50,000 as additional fraudulent returns continue to be identified.
On April 22, officers executed a search warrant at a Glendale residence associated with the suspects. Inside, they found a large quantity of designer goods, along with counterfeit goods, packaging materials, retail tags, and identifiable stolen property. Authorities also found evidence that authentic merchandise was resold through online platforms.
According to authorities, both suspects were arrested following a search and now face serious charges including grand theft, receiving stolen property and theft by false pretenses. He is scheduled to return to court for arraignment on August 31.
