STOCKTON’S CITY MANAGER’S OFFICE this week announced the launch of an internal investigation after discovering that $50,000 in public funds were used without the city manager’s knowledge or approval.
The funds came from the city’s Risk Mitigation Fund and were used for a recent entertainment event, according to the announcement. The investigation aims to determine whether any city policies were bypassed as well as evaluate reports of a sitting council member “actively engaging between city staff and event promoters, rais[ing] serious concerns about the appropriateness of such involvement.”
The allegations appear to be aimed at Stockton Vice Mayor Jason Lee, who performed in May at the event Wild ‘N Out Live Tour featuring Nick Cannon at Adventist Health Arena.
Lee, a Stockton native, founded Hollywood news and gossip site Hollywood Unlocked. He won his City Council seat in 2024.
“It’s made me extremely happy to see the smiles on the faces of people who live in my city,” Lee wrote in an Instagram caption accompanying photos of him performing in May to his 1.2 million followers. “Honestly, being an elected official is not fun. Not sure it supposed to be fun. I have felt like quitting many times because of how toxic and fake it is. But you reminded me WHY I decided to do what I’m doing.”
On Tuesday, Lee responded to the allegations in a separate Instagram post.
“Let’s be clear: Nick and the Wild ‘N Out team came to Stockton as a favor to ME — to turn this city up and prove that we deserve world-class partnerships,” Lee wrote. “The attacks on our hardworking city staff for simply doing their jobs? Beyond disappointing.”
The show’s impact
In a hearing Monday, the City Council’s Audit Committee discussed the allegations of fund misuse.
At the hearing, Jason Perry, general manager of ASM Global Stockton, Adventist Health Arena’s venue management company, shared that the funding was used to entice the show to perform in Stockton. The night before the performance, Rip Micheals, a member of Wild ‘N Out’s lineup, called to inform Perry that the show was planning on pulling out of Stockton due to a projected loss of $300,000, Perry said.
“I was like we can’t. Stockton cannot afford that. Stockton cannot afford another show going away, especially one of this large magnitude,” he said.
“In 2025, alone, we’ve lost 16 shows as a result of some of the federal mandates that have come down,” he elaborated, citing U.S. Immigration and Customs Enforcement limiting sales and visas for shows playing in the area.
Contributing to the deficit, some of the show’s attendees bought tickets on Groupon for as little as $6, Perry said, calling them “the cheapest ticket ever in the history of the venue.”
In a statement, Perry highlighted the show’s positive community impact.
“Arenas are economic engine drivers and that is exactly what happened here, we drove the positive economic impact in our community at all levels,” Perry wrote. “The use of the funds, appropriately done, were with the understanding of how it was set-up by council several budget cycles ago.”
Calls for Lee’s removal
City Councilmember Brando Villapudua on Wednesday shared a letter he sent to Stockton City Attorney Lori Asuncion asking her to intervene into the “deeply troubling matters” regarding Lee. He clarified that the letter was from him only and did not reflect the official position of the city or the council.
In the letter, Villapudua alleges Lee’s conduct has “demonstrated a sustained pattern of behavior” that may violate the city charter and other laws. Villapudua cited allegations of formal records of staff filing hostile work environment complaints against Lee, verbal abuse, disrespect and intimidation “behind closed doors,” and a documented history of “publicly berating staff.”
“This request is grounded not in speculation but in a growing body of evidence, admissions, and behavior,” writes Villapudua, adding that it “directly undermines the legal, ethical, and operational integrity of our city government.”
Specifically, Villapudua raised questions about Lee’s possible conflicts of interest, him possibly being “financially interested in any contract” made in an official capacity, and abusing public funds.
Villapudua is asking for a full forensic and legal review of the Wild N’ Out event, an investigation into Lee’s associations with Micheals, ASM Global, and a company called 5120 Entertainment. He asked that he disclose any gifts, payments, travel or reimbursements related to the event. He also asked that Lee be removed immediately from the audit committee.
“This is not a symbolic request,” he said. “It is a matter of legal integrity.”
Finally, Villapudua requested an emergency council session regarding the removal of Lee.
Lee, at the hearing Monday, underscored the importance of transparency.
“There was this conspiracy theory that I somehow took $50,000 from the city or asked you all to give me $50,000,” Lee said. “It’s about really having these conversations out in the open because we have nothing to hide.”
Steve Colangelo, Stockton’s interim city manager, also highlighted the need for public disclosure in a press statement.
“The city is committed to transparency and accountability,” Colangelo said. “The public can be assured that this matter is being taken seriously and will be addressed appropriately.”
‘ The preceding article may include information circulated by third parties ’
‘ Some details of this article were extracted from the following source localnewsmatters.org ’
