Richard Ahmed, one of the co-owners of Dream Sports in Apex, was arrested on sex charges involving minors.
Police say he solicited sex from what he thought was a 14-year-old girl over the Internet. He claims he was trying to teach the girl about the dangers of the Internet.
Friday morning he told a Wake County judge he understands the three charges against him, using the Internet to solicit a child for sex, disseminating obscenity on the Internet and indecent liberties with a child.
Ahmed wouldn't comment to reporters but his attorney spoke briefly.
"He's, of course, frightened, greatly sobered by all the events, but he's holding up well," attorney Roger Smith said. "He's doing fine."
Ahmed's wife and son were present for the court appearance.
A hearing on the case was scheduled for later this month.