A 45-year-old Freeland woman was arrested and booked in Island County jail after she allegedly tried to pass a suspected counterfeit $100 bill.

Heidi Skaugrud was arrested for securities fraud for allegedly trying to spend the counterfeit money in a Clinton business.

The Island County Sheriff’s Office released a sketch of a second “woman of interest” in the counterfeit case.

Det. Ed Wallace, sheriff’s office spokesman, said that detectives hope someone recognizes the woman in the sketch and calls the sheriff.

According to Sheriff Mark Brown, at least 10 fake $100 bills have been passed in the county; eight on the South End and two in Oak Harbor.

“It seems that people with the bills are making low-end purchases,” Brown said.

“We are urging all businesses to check any $100 bills very carefully,” he said.

Brown said Skaugrud was caught in the process of passing the bogus bill.

One of the Clinton business owners noticed the counterfeit bill and was able to alert the sheriff’s office. Deputies arrived before the woman was able to leave.

Brown said he is concerned because people on Whidbey Island are being victimized. Brown said his office, with the assistance of the Secret Service, is continuing to investigate the bogus bills.

The counterfeit money first turned up in early January when a Freeland bank received a counterfeit bill deposited in a night drop deposit bag from a Freeland business.

Two more bills were passed in Clinton businesses and one in a Freeland business.

Brown said it appears the counterfeit bills are being made with $5 bills that have been washed.

A real $100 bill features a portrait of Ben Franklin; a faint image of Franklin, called a watermark, can be seen to the right.

On the fake bill, the watermark shows Lincoln, suggesting a $5 bill had been washed and re-printed as a counterfeit.

To contact the Island County Sheriff’s Office call 321-5111, ext. 7310.