Signs point to scam

Owners of four small businesses are out more than $1,000 each after a sign company allegedly took money for materials and then failed to do the work.

“Twelve hundred and fifty dollars in cash may not seem like a lot of money, but some months that’s our profit,” said Jean Moore, who owns the Village Tavern in Airway Heights with her husband, Tracy Moore.

Although Moore said she gave a salesman, who police identify as Michael A. Patenaude, weeks to make good on his agreement to build a red neon light that wrapped around her building, he walked away with cash to purchase materials and then never delivered or installed any lighting.

“I really truly thought he was legitimate. When I didn’t hear from him, and didn’t see him, I started calling him and didn’t get any calls back,” Moore said.

The Airway Heights Police Department arrested 38-year-old Patenaude at a hotel near Geiger Corrections Center earlier this week, according to Sgt. Greg Rogan, who said the suspect told the officer he couldn’t be arrested because it was a civil, rather than a criminal, matter.

Victims say Patenaude used a laptop and sophisticated computer program to convince people to purchase signs, awnings and lighting. Department Detective Kelly Justice is currently investigating alleged fraud that may stretch across multiple states, Rogan said, and plans to charge Patenaude with first- and second-degree theft for several alleged crimes committed locally.

Police say Patenaude took money from the owners of Top Hat Pub & Grill in north Spokane and from Village Tavern, Lai Lai Garden Chinese Restaurant and La Presa Mexican restaurant in Airway Heights and never provided the work as promised.

“It was kind of a domino effect right down (state) Highway 2,” Rogan said.

When contacted by cell phone, the suspect who was released from the Spokane County jail on Thursday, questioned where the newspaper had gotten the information about his alleged crimes and denied defrauding people.

Patenaude said he has started some of the projects, although he declined to name which ones, and said he was unsure if it was appropriate to say anything more and would call his attorney for advice.

Police say the suspect used a laptop and graphics programs that were allegedly stolen from his father and stepmother’s legitimate All about Signs business, which operated in Texas.

Police in Bastrop, Texas, told the detective that Patenaude’s parents reported their son had stolen a laptop and other supplies from their company. Rogan said. Additionally, the parents told police their son had taken out a credit card and racked up $20,000 in debt.

Patenaude’s father passed away last week.

“He knows how to do this stuff because his dad had a business,” Rogan said.

Moore of Village Tavern said Patenaude seemed legitimate because he came across as having professional knowledge, including specifics about electrical wiring. Since the couple had worked in the lighting industry in the past, they trusted him.

“We’ve been doing lighting for 25 years and didn’t even question what he was going to do,” Moore said. “He was very good. He knew exactly what he was doing.”

Ken and Karen Bigelow, owners of Top Hat Pub & Grill on North Division, said they’re out $1,038 after writing All about Signs a check to cover materials for a new awning with graphics.

The suspect cashed the check immediately, Ken Bigelow said, and then failed to return to install the awning.

The couple, who work a combined schedule of about 100 hours a week, said losing the money comes at a hard time because summer is their slow season.

“What’s sad for me is it’s not just money, I’m losing trust in people too,” said Karen Bigelow.

The Better Business Bureau released a warning about the sign company on Wednesday, saying Patenaude went door-to-door in Texas, California, Montana and Washington, offering sign advertising to retail businesses, mostly restaurants.

He also allegedly sold bogus raffle tickets in Missoula, Mont., the news release said, under the name of an organization called “The New Life Foundation.”

The Airway Heights Police Department has contacted the Federal Bureau of Investigation, Rogan said, since the alleged fraud occurred in multiple states.

The Bigelows, who moved to the area from Montana, reported the awning incident to a Spokane Police representative, but Karen Bigelow said she was told it was a civil matter.

“We can’t do the old Montana thing and take a gun after him.”