Boston fashionista busted in $400,000 alleged Saks fraud scheme is ordered to stay away from all store locations

A former Saks Fifth Avenue wardrobe stylist who has been known around the region for outfitting socialites has been ordered to stay away from all Saks locations after he was busted for allegedly stealing more than $400,000.

Suhail Kwatra, 43, was arraigned in Boston Municipal Court on Friday in connection with the alleged $400,000 fraud scam at the Pru Saks.

He’s facing charges of larceny over $1,200 and fraud under false pretense for an alleged series of counterfeit returns to the Saks Fifth Avenue store where he previously worked.

The BMC Central judge released Kwatra on personal recognizance and ordered him to stay away from all Saks locations and have no contact with Saks employees.

After Boston Police last month issued the criminal complaint against Kwatra, the former Saks employee in Suffolk Superior Court sued the company for a “vindictive and unlawful scheme to destroy” his reputation.

In December, Kwatra was accused of making numerous fraudulent refunds at the Back Bay Saks store. He had been working for the luxury store for 20 years.

Saks’ internal investigation revealed he had processed fake merchandise refunds on three recent occasions: Sept. 19, Sept. 21, and Nov. 3. Kwatra allegedly stole more than $11,700 in those three instances.

The Saks investigators gave Boston Police a reported copy of a handwritten letter from Kwatra during their separation meeting with him.

“In that letter, Kwatra stated that he apologized for his actions and that the total loss was approximately $429,400,” the criminal complaint reads. “This included fraudulent refunds, mismanagement of ‘Promo Cards,’ giving unpaid merchandise to clients, and abuse of the company ‘Corporate Card.’ ”

On the letter, the loss was separated by category: $375,000 in fraudulent returns; $50,000 in mismanagement of promo cards; $3,400 in given unpaid merchandise; and $1,000 from abusing the corporate card.

Kwatra on social media had allegedly posted photos of him “wearing some of the articles of clothing that had been fraudulently purchased,” the criminal complaint states.

Kwatra wrote that he intended to pay the company back. He signed a “promissory note,” an agreement to pay the loss back.

Kwatra is expected to return to court on April 10 for a pretrial hearing.

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In a rebuttal to the criminal complaint, Kwatra has responded with a civil lawsuit against Saks.

“This case arises from a calculated campaign by a global luxury retailer to punish and silence one of its most valuable employees after he dared to explore other professional opportunities,” Kwatra’s attorneys wrote in the civil lawsuit.

“When Saks learned that Kwatra was considering an opportunity with a competing luxury retailer—and when he declined to accept a retention bonus without assurances about his future global role— Saks responded not with negotiation, but with retaliation,” the lawsuit reads. “Saks launched a vindictive and unlawful scheme to destroy Kwatra’s reputation, coerce him into signing false and unenforceable documents, and ensure that he could not take his talents, clients, or relationships elsewhere.”

 

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