Lawsuit alleges Rutgers Athletics squandered millions in public funds amid $78M deficit
A former Rutgers University graduate, Hector Rodriguez, is suing his alma mater, accusing the school’s athletic department of wasting tens of millions of taxpayer dollars while running massive deficits.
A former Rutgers University graduate is now suing his alma mater, accusing the school’s athletic department of wasting tens of millions of taxpayer dollars while running massive deficits.
On Rutgers’ Busch Campus, the athletic facilities — including SHI Stadium — look polished and powerful, symbols of a major college sports program. But behind the scenes, alumni Hector Rodriguez says the numbers tell a very different story.
According to Rutgers’ own financial report, the athletic department finished the 2024–2025 academic year $78 million in the red. That figure helped spark an 11-page class action lawsuit alleging the department has “squandered tens of millions in taxpayer funding” — and more than half a billion dollars since joining the Big Ten Conference in 2014.
The lawsuit was filed Tuesday by Rodriguez, a member of Rutgers’ Class of 1975 and a former judge. Rodriguez’s attorney, Barry Eichen, tells News 12 this case is about accountability — and public money. Rutgers is a state university, funded in part by taxpayers.
According to the lawsuit, only three of the 13 public Big Ten schools received state subsidies over the past four years. Rutgers received $27.2 million from New Jersey taxpayers during that time.
“There’s a lot of taxpayer money that goes to the school and it leaves people with a bad taste in their mouths — especially New Jerseyans, who pay the highest property taxes in the country,” Eichen said.
Rutgers declined to comment directly on the pending litigation. However, in a statement, the university acknowledged that while joining the Big Ten has increased revenue, costs have risen even faster. The university says expenses related to coaches’ salaries, facilities, infrastructure, and student-athlete resources have outpaced revenue — despite growth from Big Ten distributions. Eichen says the lawsuit is ultimately seeking answers — and possibly repayment.
“It all amounts to accountability. I hope there’s some kind of reimbursement to the state for the public monies that were taken and not appropriately used or accounted for,” Eichen said.
Rutgers tells News 12 its athletics operating spending ranks 11th out of 18 schools in the Big Ten. The athletics budget currently makes up about 3% of the university’s overall $6 billion budget. University officials say they are taking steps toward a more sustainable athletics model. The legal battle — and debate over taxpayer-funded college sports — is just getting started.
