The first problem you are going to have is obviously connecting the mono output of the scanner to the stereo auxiliary inputs. If you use a mini plug to RCA stereo set audio will only come out the left side speakers (natural mono set on the mini plug). You will need a mono mini plug to two RCA jacks that will carry the mono signal.
As for distortion, you will have to experiment with the volume control of the scanner. If you set it about halfway (50%) then adjust the volume on your head unit to a reasonable listening level then you should have good results. You'll have to play with both the scanner and radio volumes to get your desired listening volume.
The major problem with this set up is that you will not be able to listen to the scanner and listen to the radio at the same time. Since you will be pluging the scanner into the auxiliary input of the head unit, you can only select one input at a time (AM / FM / CD / HD radio / Sat Radio). Also, with this set up you will not be able to listen to the scanner since you are using the output jack, it by-passes the scanner's internal speaker. Me personally, I would not use this particular set up as it ties up an auxiliary output of your head unit which you may want to add something like an iPod / MP3 player or Sat radio to the fold. Also you can't listen to any music / talk radio through this set up and trying to find a mono mini jack to dual RCA wire is hard.
Spend the money in getting a small but decent external speaker. You can pick one up for like $10 - $20 at a Radio Shack, truck stop or HAM store. That is your best bet in my opinion.
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