Ozy Media Founder Carlos Watson Sentenced To Hefty Prison Term For Defrauding Investors

deadline.com:

UPDATED with sentence: Carlos Watson, the founder and former CEO of Ozy Media, was sentenced to 116 months, or nearly ten years, in prison for conspiracy to commit securities fraud, conspiracy to commit wire fraud and aggravated identity theft in an unusual case that briefly captivated the media world.

Watson launched the digital lifestyle and news site in 2012. The term was handed down this week by United States District Judge Eric R.

Komitee in federal court in Brooklyn following Watson’s conviction in July after an eight-week trial. While hefty, it was well below the 17 years that prosecutors had requested.

Additional penalties of forfeiture and restitution from Ozy Media will be imposed at a later date. The trial showed that between 2018 and 2021 Watson and Ozy Media co-conspirators orchestrated a scheme to defraud investors out of tens of millions of dollars through fraudulent misrepresentations and omissions about Ozy’s financial performance, including revenue, cash on hand and profit, ongoing business relationships with celebrities, acquisition prospects from high- profile technology and media corporations, contract negotiations and other corporate metrics.