Casino case ends in mistrial

Fri., Sept. 23, 2005

By John Craig johnc@spokesman.com

A jury declared itself deadlocked Thursday on whether to convict the former chief operating officer of the Lilac Lanes/Classic Rock Casino of stealing $19,706 from the business.

The jury had deliberated about a day when Spokane County Superior Court Judge Greg Sypolt declared a mistrial. Deputy Prosecutor Bob Sargent may bring 51-year-old Robert James Ramelow to trial again, but no date was set.

Meanwhile, Ramelow’s wife, Barbara E. Ramelow, also 51, faces trial Oct. 10, for allegedly embezzling $201,388 from the casino at 1112 E. Magnesium Road in the two years she was its financial controller.

The Ramelows were arrested separately in April, less than two weeks after a third casino employee – part-time security guard Timothy Quaschnick – was arrested on charges that he pilfered $15,000.

Quaschnick was deeply in debt at the time because his 3-year-old son, Gabriel, suffers from a life-threatening cancer that had spread from his kidneys to his lungs. He has not been formally charged, but Deputy Prosecutor Carlin Jude said a decision has been made to prosecute Quaschnick as soon as paperwork can be completed.

Quaschnick was released from jail when formal charges weren’t filed within 72 hours.

Robert Ramelow was arrested April 14, three days after Quaschnick’s arrest and five days before his wife’s arrest. Barbara Ramelow had already been fired in January in the course of an investigation launched in September 2004 when the casino’s auditors detected major financial irregularities.

According to court documents, Robert Ramelow was seen leaving the casino with an envelope containing $960 in receipts from a World Series of Poker Tournament. Investigators who searched Ramelow’s vehicle said they found a bank deposit bag containing the $960 envelope and others containing a total of $19,706.

The casino’s owners and new controller said Ramelow had no authority to remove the money from the casino.

Robert Ramelow is charged with one count of first-degree theft. His wife is charged with first-degree theft, second-degree theft, money laundering and forgery for allegedly plundering the casino in a variety of ways over a period of months.

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