Door County man, 80, is charged with defrauding two elderly women of more than $600,000

STURGEON BAY - An 80-year-old Town of Nasewaupee man is charged with defrauding two older Door County women out of a total more than $600,000, and investigators are asking to hear from others who might have been additional possible victims.

Dale Pautsch, 80, appeared by video in Door County Circuit Court on June 28, a day after he was arrested following what the Door County Sheriff's Office described in a press release as "lengthy, complex fraud investigations" conducted by the sheriff's office and Sturgeon Bay Police Department.

The complaint filed against Pautsch alleges he stole $37,877.75 from one victim, a now-81-year-old woman, and $610,400.13 from the second, a now-85-year-old woman.

Pautsch is charged with four counts: one count of money laundering, knowingly receive/acquire proceeds and one count of theft in a business setting, both for an amount of money between $10,000 and $100,000; and the same two counts for an amount of more than $100,000. All four counts are felonies and carry a modifier for crimes against an elderly or disabled person.

Officers executed search warrants June 27 at Pautsch's home in Nasewaupee and his business, the Little Brown Jug tavern in Gardner. He was arrested at the time the warrants were served.

According to the complaint filed against Pautsch, the Sturgeon Bay Police Department began investigating him almost two years ago, dating back to September of 2022. At that time, the 81-year-old woman told the investigating officer Pautsch had been her tax preparer and handled some financial investments for her for some time and she was happy with her investments.

But further investigation alleged Pautsch took checks from the woman that were meant for investments and a coming tax bill and deposited them into a personal bank account in his wife's name instead of ROS Consultants, Inc., Pautsch's tax preparation company. Those funds allegedly were used by Pautsch for personal expenses.

The Door County Sheriff's Office investigation was into the case of the 85-year-old woman, who the complaint says had Pautsch set up a wealth management account under the name JW Wealth Management at a local bank for her and her husband in September 2016. Over the next five years, the woman deposited more than $620,000 into the account.

This May, the woman attempted to withdraw money from the account and was told the account was empty and was closed in January 2023. The complaint says she then called Pautsch about it and told the investigator Pautsch yelled at her and didn't say why the account was closed or empty. The woman was able to withdraw $10,000 at one point, but she didn't give permission for any other withdrawals, resulting in the loss of $610,000, the complaint says.

Subsequent investigation revealed JW Wealth Management bought the Little Brown Jug in December of 2016, and a number of checks written by the account allegedly were used for the tavern's operating expenses along with personal expenses, and funds were transferred back and forth between the JW, ROS and Little Brown Jug accounts as well as several other accounts Pautsch had opened at different banks, with some checks made out to "Cash."

Following his arrest, a Door County deputy interviewed a woman who said she was in a romantic relationship with Pautsch. The complaint said she told the deputy Pautsch was trying to sell the Little Brown Jug and his house so he could move overseas, to Belize.

When initially interviewed by the Sturgeon Bay investigator in 2022, Pautsch said he was not licensed as a financial adviser and served as a tax preparer and planner, not as an investment adviser. When arrested, the only thing Pautsch said was that he'd been an honest businessman for over 20 years and didn't do anything wrong, the complaint says.

The investigation is continuing, and the press release said "there is some concern" other victims could be involved. Those who might have more information about Pautsch or ROS Consultants, Inc. are asked to call Door County Sheriff’s Office Investigator Jon Gilson at 920-746-2555 or Sturgeon Bay Police Department Sgt. Investigator Luke Diebele at 920-746-2429.

Pautsch is scheduled for an initial appearance in court at 11 a.m. Aug. 19. As of July 3, he remains in Door County Jail on a $20,000 cash bond.

This article originally appeared on Green Bay Press-Gazette: Door County man, 80, is charged with defrauding two elderly women of more than $600,000