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Terry Watson second indicted in athlete-agent scandal

Terry Watson, a sports agent, was indicted in relation to the UNC football scandal Wednesday, Oct. 9 at the Orange County Courthouse in Hillsborough, N.C.
Terry Watson, a sports agent, was indicted in relation to the UNC football scandal Wednesday, Oct. 9 at the Orange County Courthouse in Hillsborough, N.C.

HILLSBOROUGH — Sports agent Terry Watson was indicted Wednesday morning on 13 counts of athlete-agent inducement and one count of felony obstruction of justice.

The indictment is the second unsealed in a group of five issued Sept. 30 related to the UNC football scandal. Athlete-agent inducement is a Class I felony that carries a maximum sentence of 15 months in prison per charge.

Orange County District Attorney Jim Woodall stressed that a person with no prior record or only a minor record cannot get prison time for a Class I felony. Instead, that person has to be put on probation.

Felony obstruction of justice is a Class H felony and carries a maximum sentence of 30 months in prison. But unlike Class I felonies, a person without a prior record can serve prison time for committing a Class H felony.

“I don’t know about sending any messages,” Woodall said of setting a precedent by pursuing this charge. “But obviously for this charge, there had to be an agent involved.

“So it was critical, to bring this charge, that there was an agent involved. The investigation revealed there was probable cause to believe that this agent was involved and that’s why he’s been charged.”

Watson, of Watson Sports Agency in Marietta, Ga., is charged with one count of felony obstruction of justice for failing to provide information sought by authorities around Oct. 12, 2012.

One of Watson’s athlete-agent inducement charges is for providing former UNC football defensive tackle Marvin Austin with $2,000 around May 4, 2010. In a search warrant unsealed in September, Austin said he had met with Watson in person, and Watson later sent him a FedEx package with $2,000.

According to the indictment, nine of the athlete-agent inducement counts are for providing former UNC wide receiver Greg Little with varying amounts of money including $5,000 around May 7, 2010 and $2,200 a month from May to October 2010.

In total, Watson provided Little with $18,200 in cash from May to October 2010.

The search warrant revealed that Watson provided Little with a monthly allowance of $2,200, in addition to airline tickets, hotels and cellphone bills.

Little told investigators that he began contact with Watson sometime before the spring football game in 2010, and Austin began contact as early as December 2009, according to the search warrant.

The indictment also states Watson is charged with three counts of athlete-agent inducement for providing former UNC defensive end Robert Quinn with a hotel room for $675.74 around May 28, 2010, $750 for plane tickets around May 26, 2010 and $100 around May 28, 2010.

Around that time, Watson provided Little with money for plane tickets and a room in the same Miami hotel where Quinn was staying.

Austin was a 2011 second-round draft pick and was selected by the New York Giants. He recently signed with the Miami Dolphins. Little was also selected in the second round of the 2011 NFL draft. He was picked by the Cleveland Browns and still plays for the team.

Quinn was the 14th overall pick in the 2011 NFL draft, and was selected by St. Louis. The defensive end still plays for the Rams.

Like ex-UNC tutor Jennifer Wiley Thompson, who was charged with four counts of athlete-agent inducement on Oct. 3, Watson is being charged under the North Carolina Uniform Athlete Agents Act.

“The act itself is not focused on players, the act is to protect players and protect institutions and some people may disagree with that, but the players aren’t in any jeopardy under the act,” Woodall said. “It’s focused on agents and people working on behalf of the agents.”

The total amount of improper benefits given from Watson to Quinn, Little and Austin is nearly $24,000.

Despite his efforts, none of the three signed with Watson. Instead, Little initially signed with the sports agency Octagon, Austin with Roosevelt Barnes of Maximum Sports Management and Quinn with Carl Carey Jr. of Champion Pro Consulting Group.

Watson was released on a secured $50,000 bond Wednesday morning, and is scheduled to appear in superior court Oct. 15, though that date is likely to be pushed to December, Woodall said. Watson appeared in front of a judge Wednesday afternoon with his attorney, Russell Babb.

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“I haven’t had a chance to review the indictments,” said Babb, a former UNC football co-captain in 1995. “I’m going to study the indictments; we’re going to study this statute. We look forward to the criminal discovery process so we can determine what is backing up these allegations.”

As Woodall mentioned in Thursday’s indictment of Thompson, the criminal athlete-agent inducement charges are the first to be prosecuted in the country. In some states like Texas, athlete agents that violate the state’s Athlete Agents Act face heavy penalties.

“When the decision was made several weeks ago to bring charges, there was a learning curve for me, the attorneys for the Secretary of State’s office and an attorney who will be working with us on the case from the conference of district attorneys,” Woodall said. “We had to figure out what the law was, how to write indictments. We didn’t have any precedent to look to because it’s never been charged.

“That’s not so much complicating as it’s time-consuming because this is all new ground that we’re plowing.”

Though Watson’s indictment states that he gave significantly more money and gifts to the players than Thompson, Woodall wouldn’t say if the 39-year-old sports agent was the most significant element in the case.

“I’m not going to say who’s the biggest player,” Woodall said. “As these cases progress, I think that’ll become clear to people.”

sports@dailytarheel.com