Settlement negotiations are reportedly progressing in the high-profile lawsuit between CapRadio and its former general manager Jun Reina, according to attorneys involved in the case. The $900,000 civil suit alleges Reina misappropriated station funds for personal expenses, including $372,000 in direct transfers to personal accounts and over $100,000 in home improvements.
The potential resolution comes eight months after Radio Ink first reported the lawsuit filing in Yolo County Superior Court. The case centers on allegations that Reina used station credit cards and accounts for personal expenses ranging from golf course fees to family vacations between 2017 and 2023.
According to CapRadio's own reporting, the station alleges Reina "stole hundreds of thousands of dollars from the NPR member station" to secretly enrich himself. The forensic examination by CliftonLarsonAllen found more than $460,000 in "unsupported payments" either directly disbursed to Reina or paid by CapRadio for credit card purchases without corresponding receipts.
Defense Claims Good Faith
Reina's legal team has mounted a vigorous defense, with his attorney claiming any financial error was "made in good faith and not intentional," as reported by CapRadio in March. The defense also argues that some causes of action are past the statute of limitations, citing various California Code of Civil Procedure sections with limitation periods ranging from one to five years.
The property at the center of the case—Reina's West Sacramento home—was previously listed for sale but is no longer on the market according to Zillow, as noted by CapRadio. The station had requested the property be placed in a constructive trust to prevent Reina from leaving the state with the proceeds.
Financial Impact on CapRadio
The case has had significant repercussions for Sacramento's public radio station. Following Reina's resignation in June 2023, CapRadio laid off 12% of its staff and canceled four longtime music programs. A recently released financial statement revealed the station is still $10 million in debt after cutting nearly $11 million in expenses, including more than $5 million from programming and production.
CapRadio operates as an auxiliary of Sacramento State, with the university holding licenses to multiple public media stations including CapRadio Music, North State Public Radio based at Chico State, and KHSU at Cal Poly Humboldt. The financial crisis has prompted the California State University Chancellor's Office and Corporation for Public Broadcasting to conduct multiple audits.
Ongoing Investigation
While no criminal charges have been filed, the Sacramento County Sheriff's Office continues its investigation into the allegations, as confirmed by Radio Ink. The civil case represents one of the most significant financial scandals to hit a major Sacramento-area public media institution in recent memory.
CapRadio Chief Marketing and Revenue Officer Chris Bruno has emphasized the station's commitment to accountability, stating that "CapRadio continues to pursue all avenues necessary to ensure that there is proper remediation and accountability for past actions that have impacted the station." He added that the community "has stood by us and deserves nothing less."
