A 26-year-old man was arraigned in Carlton County District Court Friday after allegedly using counterfeit money to buy methamphetamine from an undercover Cloquet police officer earlier last week.
Aldo Albert Hathaway, who said in court that he has no income and that he has been living with a friend in Superior for over a year, is charged with a first degree controlled substance crime and with possessing counterfeit currency.
Hathaway was arrested by Cloquet police officers on Wednesday afternoon as part of a joint drug sting with Fond du Lac Reservation police. They were targeting meth dealing when they learned from a confidential informant that Hathaway had counterfeit bills to deal.
The undercover officers set up the sting in a Cloquet motel, knowing that Duluth police had issued a warning Wednesday that counterfeit $20 bills were being passed at businesses throughout the Twin Ports.
"The individual met with me and showed me 140 $20 bills that were not cut yet," Cloquet Police Detective Darrin Berg said.
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They made a deal and arrested Hathaway. The serial number on all of the bills was the same as one of the two bogus serial numbers police reported on Wednesday: GA12682540B. Berg said Hathaway told him that the bogus money couldn't be used in a casino slot machine or any machine that accepted legitimate bills.
Investigator Shana Harris of the Duluth police Financial Crimes Unit said it appears the counterfeit bills are originating in Superior, where police also are involved in the investigation.
In court, Hathaway's criminal history relating to drugs and theft was brought to light. Currently, he is also on probation for a felony meth possession charge in 2006.
A public defender was appointed for him and Judge Robert Macaulay set Hathaway's bond at $100,000 or $10,000 cash.
"I'm concerned about public safety, that he has no real strong ties to the community and lives across state lines," Macaulay said about the high bond amount.
"It's good we got him off the streets," said Cloquet Police Detective Jeff Palmer, who attended the arraignment.
Duluth News Tribune staff contributed to this story.