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Donald Watkins Jr., has withdrawn from consideration as the city of Montgomery’s director for small and minority business development, Mayor Steven Reed announced. Reed’s decision to hire Watkins for the job at a salary of $120,960 drew opposition at a meeting of the Montgomery Personnel Board last week because Watkins and his father, Donald Watkins Sr.,were convicted on fraud charges by a federal grand jury in 2019. Reed, in a statement announcing Watkins’ withdrawal, said he stood by his belief that Watkins would have been an asset for the city. “While I have accepted Mr. Watkins’ withdrawal, I want to make clear that this decision is not a reflection on his qualifications, experience, or passion for the city of Montgomery,” Reed said. “He is an exceptionally talented professional who has demonstrated both the knowledge and the heart required to support Montgomery’s growing and essential small business community.” Montgomery Personnel Board member James R. “Spud” Seale spoke out against the decision to hire Watkins at a meeting Oct. 20. The three-member board had no authority to block the hiring, but board approval was required for the salary because it was well above the starting pay for the position, $82,368. “Mr. Chairman, this gentleman is a convicted felon. I think this sends the wrong message for this city,” Seale said. “And starting a convicted felon, convicted of fraud, starting a convicted felon at $120,960, not only sends the wrong message to the city, it sends the wrong message to all the first responders who’ve been asking for raises and the garbage collectors who’ve been asking for raises.” After Seale’s comments, the board postponed a decision on the salary for Watkins until Nov. 10. Reed said opposition to the appointment was not warranted. “However, it has become clear in recent days that his appointment has sparked unnecessary distraction and political fearmongering - diverting attention away from the critical work ahead,” the mayor said. “My responsibility as Mayor is to ensure that our shared goals for small business growth, job creation, and inclusive economic development remain our top priority. We cannot afford to have that mission overshadowed by those looking to gain political popularity at the expense of an overly qualified and dynamic business leader.” Watkins and his father were indicted in November 2018 on seven counts of wire fraud, two counts of bank fraud and one count of conspiracy to commit wire fraud and bank fraud relating to a conspiracy the government claimed lasted for nearly a decade. A jury found Watkins Sr. guilty on all counts. The jury convicted Watkins Jr. on two of the charges - conspiracy to commit wire and bank fraud and wire fraud, and acquitted him on the others. U.S. District Judge Karon O. Bowdre sentenced Watkins Sr. to five years in prison and Watkins Jr., to two years and three months in prison. Following his release from prison, the judge ordered Watkins Jr. to serve three years of supervised release. The fraud crimes involved, in part, convincing high-profile investors, including Charles Barkley and other former professional athletes, to invest in businesses associated with Watkins Sr. Watkins Sr. and Watkins Jr. used some of that money for personal expenses. According to testimony and documents presented in court, Barkley lost $6.15 million in investments from 2007 to 2014.
