Ex-Company Executive Pleads Guilty to Arson, Fraud

Victor Soto, a former executive of Tailored Baby Inc., pleaded guilty Wednesday to committing arson and insurance fraud by setting fire to the company’s San Fernando plant in December, 1990, doing nearly $1.4 million damage.

Soto, 36, of Valencia entered the plea before Superior Court Judge Michael Tynan in Los Angeles. He faces up to nine years in prison and remained free on $50,000 bail until his sentencing, scheduled for March 13.

He has also admitted shooting and killing Tailored Baby’s owner and president, Aaron Thomas, 47, during a February argument at the company’s headquarters in the 500 block of Library Street. Soto, a former Tailored Baby vice president, told police he shot Thomas in self-defense after Thomas attacked him and hit him on the head with a hammer.

No charges have been filed in connection with the shooting.

Deputy Dist. Atty. Michael J. Cabral said Soto set the fire as part of a scheme to bail the company out of financial problems. According to an audit by the federal Bureau of Alcohol, Tobacco & Firearms conducted as part of the arson investigation, Tailored Baby’s sales fell to $15 million in 1990, a decrease of 25% from the previous year, and it had $2 million in unpaid debts. The company made baby care products such as quilts, blankets and bibs.

Tailored Baby’s insurer, Cigna Corp., paid a $500,000 advance to the company after the fire, but since then has refused to discuss the case.

Cabral said other suspects also are being investigated in connection with the fire.

Thomas’ widow and Tailored Baby’s current owner, Margaret B. Thomas, declined to comment Wednesday. But Tailored Baby’s attorney, Warren Greene, said that no one else at the company had anything to do with the fire.

Greene said the company’s executives were shocked to learn of Soto’s guilty plea. He said the company would consider “seeking legal redress against Mr. Soto for his wrongful acts against the company and its property.”