Letter alludes that USC knew about $100,000 payments
The lawyer of Michael Michaels released a letter written in February to David Cornwell, Reggie Bush's lawyer. A segment of this letter reads: "Please advise if it is your intention to involve the University in these settlement negotiations. We would not object to their participation as we understand their wanting to be involved due to the fact this matter was ongoing during their championship season of 2004 as well as the entire season of 2005, and any lawsuit filed might have an adverse effect on them." USC has refused comment.
It would seem now much more likely that USC had a sure awareness of this situation and did nothing about it. The payments themselves are the NCAA violation that could forfeit USC of its 2004 and 2005 seasons. The knowledge of the payments by USC could lead to future penalties, including probation or even the unlikely death penalty.