Fraud Defendant R. G. Reynolds Is Denied Bail

A federal judge in Los Angeles denied bail Thursday to Richard (R. G.) Reynolds, ordering the talk show host and financial adviser to remain in custody through his trial on charges of mail fraud and witness tampering.

The trial is to begin June 11.

Reynolds, 44, who produced and hosted syndicated radio and television financial talk shows and wrote a newsletter, is charged with 60 counts of fraud for allegedly duping hundreds of investors out of nearly $3 million. Prosecutors allege that he used most of the money for business and personal expenses.

He has also been charged with two counts of obstruction of justice for allegedly attempting to destroy evidence.

His attorney, Michael Balaban, had requested that U.S. District Judge Manuel L. Real release Reynolds on $100,000 bail.

But Assistant U.S. Atty. Ronni B. MacLaren contended that Reynolds tried to persuade a witness to destroy a telegram referring to a Swiss bank account and threatened witnesses by saying he would “burn them badly, very badly” for testifying against him.

Real ordered MacLaren to narrow the counts against Reynolds to 15.

In December, 1989, the Securities and Exchange Commission obtained a civil judgment against Reynolds for violating federal securities laws in connection with his investment programs. Reynolds was ordered to repay investors $5.7 million, but he has not, according to federal officials.

Reynolds filed for bankruptcy protection last April.