Steps to reproduce:
1. Create a project which makes use of Cloth component.
2. Create a script which controls Time.timeScale accordingly. Make sure Time.timeScale is set to 0.00001f at start.
3. Enter play mode. Cloth will be not moving
4. Set Time.timeScale to 1f cloth starts to fall.
5. Set Time.timeScale to 0.00001f again - cloth should stop as if it was step 3, however it is still moving.
6. Set Time.timeScale to 1f again - cloth moves unexpectedly fast.

This is not going to be fixed as Unity 5 will have a new Cloth component.