Miguel Hinojosa said he bought the business and liquor license from Alley Katz operator Felipe Olvera, who is behind on taxes as well as mortgage payments on the building.
Alcohol and Beverage Control records show a Franchise Tax Board of Equalization has put a hold on transferring the license. That spells the end of the neighborhood watering hole.
Olvera could not be reached for comment, but told the Sacramento Business Journal that Hinojosa was not business savvy. Hinojosa admits he should have known better in dealing with someone without checking out his background first.