Unfinished construction projects lead to investigation in Spokane

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SPOKANE, Wash. – Customers of a regional contracting company, Penguin Guys, are speaking out after alleging the company abandoned projects and left them unfinished. Many customers and subcontractors claim they are owed money for services not rendered.

Phil, a resident of the Inland Northwest, shared his experience with Penguin Guys. He moved back to the area in 2021, finding his dream home and planning a remodel. He heard an ad for Penguin Guys and contacted the owner, Sterling Scholar, in March of this year.

Phil described Scholar as “very presentable, very personable, exuded business sense and professionalism.” He said he chose Penguin Guys because they were the only company to present him with a full comprehensive report. He said Scholar quoted him $140,000 for the entire remodel.

However, Phil said excuses began shortly after signing the contract in April. “Sterling is kind of an excuse factory,” he said. Despite paying $80,000, Phil claims little work was completed, stating, “67k is gone into thin air.”

Sheila Crump, a subcontractor from A Team Build, was involved in the project. “I was the subcontractor that came in and did all the demo work here,” she said. Crump claims Scholar owes her nearly $8,000, adding, “Loosing that amount of money, might not be a lot to a bigger company, but to me that’s risking me losing my home.”

Christine Saftner, another customer, expressed her frustration. She paid Scholar nearly $40,000 for a porch that was never completed. “All I wanted was my porch that was it,” she said. Saftner claims she hasn’t heard from Scholar since November.

NonStop Local reached out to over a dozen subcontractors and former customers, all sharing similar experiences. In total, Scholar is alleged to owe over $200,000 for incomplete work.

Sterling Scholar responded to these claims, stating, “I’ve tried to be in communication with as many of them that have reached out to me.” He explained that the money is tied up in other jobs, saying, “We do have some people that owe us money that don’t want to pay us.”

Scholar’s contractor license was suspended in November, according to the Labor and Industries website. He mentioned, “Ummm I am doing other things in different industries to make money and get things going.”

The Spokane Police Department is investigating Penguin Guys, confirming more than a dozen cases. Scholar commented, “If I have to face any kind of criminal investigation then I’ll face it – and if I have to I’ll do the time.”

Phil and other victims remain doubtful they will recover their money. “The biggest thing is, is that he doesn’t get anymore victims,” Phil said.

The Spokane Police Department advises anyone with similar experiences to notify Crime Check.


 

FOX28 Spokane©