US President Donald Trump has commuted the nearly 10-year prison sentence of Carlos Watson, the founder of the now-defunct Ozy Media, the White House announced on Friday, Reuters reported. Watson, who was convicted of defrauding investors in the troubled startup, had been sentenced to 116 months in prison by a federal court in Brooklyn in December 2023, the report stated.
Watson, a former cable news anchor and investment banker, was found guilty last year of misleading investors about the financial status of his company, Ozy Media. The prosecution claimed Watson had fabricated contracts and inflated earnings projections to deceive investors, while also lying about deals with major entities like Google and Oprah Winfrey. Despite pleading not guilty, Watson was convicted of multiple charges related to the fraud.
In a statement following the announcement of the commutation, Watson expressed gratitude toward President Trump and Alice Marie Johnson, the president’s “pardon czar.” He described his prosecution as the result of a “malicious campaign” and thanked the president for the decision to reduce his sentence.
Watson’s defense team argued that he had been betrayed by his subordinates, who acted independently and concealed their illegal actions from him. Watson maintained that he was unaware of the fraudulent activities carried out by his deputies.
Founded in 2013, Ozy Media initially gained attention as a digital media company focused on news and entertainment. However, the company’s credibility was called into question in 2021 when reports revealed discrepancies in its audience numbers. According to the report, the situation worsened when it was exposed that a top Ozy executive had impersonated a YouTube executive during a call with Goldman Sachs bankers. The executive falsely claimed that YouTube had agreed to pay for exclusive rights to an Ozy show.
ALSO READ: Danish Foreign Minister Slams Trump Administration’s ‘Tone’ On Greenland