REDWOOD CITY (CBS SF) – An owner of a Menlo Park dry cleaning business is facing up to eight years in state prison after pleading no contest Friday to numerous charges of felony identity theft and fraud, prosecutors said.

Edwin Smith, the 64-year-old owner of Menalto Cleaners, accepted a plea deal that dropped many of the 40 felony counts he was arrested on suspicion of in January 2015.

He was arrested following an investigation launched in late 2014 when two victims reported credit card fraud connected to his business at 1921 Menalto Ave., according to the San Mateo County District Attorney’s Office.

Prosecutors said a large-scale credit card theft investigation determined that Smith overcharged 19 customers of his dry cleaning, laundry, alteration and shoe repair service business by more than $350,000 over the course of many years.

Some of the victims confronted Smith about the theft and he agreed to pay them back so they did not report the crime to police, according to prosecutors.

On Friday, Smith admitted to felony fraudulent use of an access card for grand theft and seven charges of identity theft with an enhancement for theft of more than $150,000.

Although many of the counts he was facing were dropped, prosecutors said the defendant agreed that the court could order restitution for all victims on all of the dismissed counts.

Smith’s sentence will be imposed on Oct. 4. He is out of custody on a $350,000 property bond.

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