Carlos Watson Sentenced in Ozy Media Fraud Case

Carlos Watson, founder of Ozy Media, was sentenced to nearly 10 years in prison after being convicted of fraud and identity theft related to misleading investors about the company's finances. Prosecutors described Watson as a central figure in a years-long scheme that involved falsifying revenue figures and creating sham deals, including an incident where an Ozy executive impersonated a YouTube executive during a call with Goldman Sachs to secure a $40 million investment. Despite facing a potential sentence of up to 37 years, U.S. District Judge Eric Komitee emphasized the 'exceptional' dishonesty in Watson's actions, which he characterized as indicative of a broader trend in the startup culture. Watson, who maintained his innocence, argued that he was a victim of selective prosecution as a Black entrepreneur in Silicon Valley. His defense claimed he was motivated by a commitment to Ozy's mission rather than greed. Ozy Media, founded in 2013, collapsed in 2021 amid scrutiny over its inflated audience claims and financial practices.