Ex-casino manager found not guilty of theft

The former vice president and manager of the Lilac Lanes/Classic Rock Casino in north Spokane wasn’t guilty of theft when he was arrested with poker tournament money in his pockets, in his vehicle and in a crawl space at his home, a jury ruled Thursday.

It was the second time a Spokane County Superior Court jury had refused to convict Robert James Ramelow, 51, of first-degree theft or second-degree theft for taking money out of the combination casino, bowling alley and restaurant at 1112 E. Magnesium Road. His first trial, in September, ended in a hung jury.

Ramelow’s wife, Barbara E. Ramelow, also 51, had been fired as the corporation’s financial controller for allegedly embezzling more than $201,000 when Robert Ramelow was arrested by special agents of the Washington State Gambling Commission on April 14. After that, he also was fired.

Barbara Ramelow faces trial Dec. 5 on charges of first-degree theft, second-degree theft, money laundering and forgery. She allegedly plundered Lilac Lanes in a variety of ways during the two years she was its chief financial officer.

Deanna Kriegh, a certified public accountant who performed an independent audit of the business, testified that she concluded more than $250,000 was missing.

Ramelow testified that he knew about the missing money and was cooperating in efforts to find the leak. He said he told state Gambling Commission agents he would try to get his wife to confess if they had proof she took the money.

But two agents said Ramelow had about a half-dozen envelopes, containing a total of $960 worth of poker receipts, in his pockets when they arrested him outside the casino. They said Ramelow told them about another envelope, hidden in a crawl space at his home, containing $980. Then they searched his GMC Envoy sport utility vehicle and found about $19,000 more under a blanket.

“I felt it was a pretty safe place,” Ramelow testified, acknowledging he left the cash in his vehicle while golfing.

If Ramelow was safeguarding and counting poker receipts as he testified, why had the dated envelope of cash found in his home not been opened in the two weeks it had been there, Deputy Prosecutor Bob Sargent asked.

“I’m a bad bookkeeper,” Ramelow answered. “I’m sorry.”

Defense attorney John Cooney Jr. told jurors there was no proof that Ramelow, one of the owners of the closely held corporation, intended to deprive the other owners of revenue – as required for a conviction.

Ramelow testified he was unaware of state regulations prohibiting anyone from removing money from a casino without written authorization.

His stepfather, corporation president Dan Kukak, said Ramelow likened the rule violation to driving 65 mph in a 50 mph zone without knowing the posted limit.

Kukak and Ramelow’s mother, Kay Kukak, own 35 percent of the Lilac Lanes stock.

Ramelow testified he started removing poker tournament receipts from the casino because he didn’t get along with his wife’s replacement as controller, Ron Clouse. Clouse is the son of 35 percent owner Lucille Brown.

“It’s a control thing between me and Ron,” Ramelow testified. “He was trying to get me out of the office. He was trying to get me out of the business.”

Brown runs the restaurant, and isn’t related to Ramelow or his parents.

Brown and Daniel Kukak both testified that they thought it was improper for Ramelow to remove money from the premises without telling anyone, even if the corporation had no written rule against the practice.

“We’re all adults here, so I thought probably everybody knew,” Brown said.