Hey Rob, I'm in Edmonton too
I have a friend that was suckered into buying these Paragon's as well some years ago. When he told me of the deal and I went to see the speakers at his place I noticed some cheap astroturf like carpet on the outside of these and had to laugh. But I kept it to myself - I didn't want to burst his bubble since he figured he just got the best deal of the year. He figured out sometime later that these were not at all very good and has since moved on but left the speakers at mom's.
I have been approached at Southgate mall by these white van sellers and listened to their spiel. Its pretty sophisticated but very cheap tactics using false information to make people think there getting a deal.
But for $40.00 as what your friend acquired his speakers for, actually thats a pretty good price for any tower speaker regardless of quality, at least he didn't pay hundreds.
Watch out for the Nuance scam too. If the white van guys don't try get you in the parking lot, the Nuance "reps" will try to get you in the mall.
And check out AudioArk for some good equipment. They have some nice affordable mid fi stuff.
