In a surprising turn of events, President Donald Trump has commuted the nearly 10-year prison sentence of Carlos Watson, the co-founder of Ozy Media, just hours before he was set to surrender to authorities for his role in a financial conspiracy case. This case gained public attention as it exposed the downfall of a media startup amid industry changes. Despite being ordered to report to prison on Friday, Watson expressed gratitude towards President Trump for intervening and criticized the sentencing judge, describing him as “conflicted and unethical.”
Watson expressed his appreciation for the president’s actions, stating, “I am profoundly grateful to President Trump for correcting this grave injustice. His decision reflects his unwavering commitment to fairness and justice for those who have been wrongfully targeted.” During his term, Trump has actively utilized his presidential authority to commute sentences and grant pardons to individuals he believes experienced unfair treatment by the justice system. This includes Trump’s own legal battles, which he claims are the result of political motivations against him.
Watson’s commutation was part of a series of clemency actions unveiled by the White House on Friday. They also included a pardon for Trevor Milton, the founder of Nikola, who had been sentenced to four years in prison for fraudulently exaggerating the potential of his company’s technology. Additionally, three entrepreneurs from the cryptocurrency exchange BITMEX were granted pardons after being sentenced to probation due to non-compliance with U.S. anti-money laundering laws.
Founded in 2012, Ozy Media aimed to bring a fresh perspective to politics, culture, and more, while emphasizing the voices of minority and marginalized groups. Known for its slogan “the new and the next,” Ozy came to an abrupt end in 2021 after questions arose about its claims of viewership and potential securities fraud. Watson’s arrest followed in February 2023, after allegations surfaced that he misled investors by exaggerating revenue figures and pretending deals were finalized.
Prosecutors accused Watson of deceiving investors and lenders, claiming he inflated revenue and forged business deals that were not finalized. Watson’s co-founder even impersonated a YouTube executive in phone calls with potential investors, according to legal documents. The jury’s verdict classified Watson as a manipulator, leading Brooklyn U.S. Attorney Breon Peace to describe him as “a con man who told lie upon lie upon lie to deceive investors into buying stock in his company.”
Ozy Media’s collapse was attributed to Watson’s deceitful practices, as Peace noted. Watson, however, described the legal pursuit as a “modern lynching,” alleging selective prosecution due to his race. “I made mistakes. I’m very, very sorry that people are hurt, myself included,” he acknowledged, while also declaring the proceedings against him unfair.
U.S. District Judge Eric Komitee, a Trump appointee, remarked on the “exceptional quantum of dishonesty” during Watson’s sentencing. Watson, an accomplished individual with educational credentials from Harvard University and Stanford Law School, boasted a diverse career that included Wall Street work, TV appearances on networks like CNN and MSNBC, and successful entrepreneurial ventures. Ozy Media represented his second major endeavor, following his successful sale of a test-prep firm in his earlier career.
Based in Mountain View, California, Ozy produced a variety of content, including TV shows, newsletters, podcasts, and music festivals. Watson was a familiar face on the network, hosting programs like the Emmy-winning “Black Women OWN the Conversation.” Despite the company’s outward achievements—securing major advertisers and clients—it struggled internally to meet financial obligations such as payroll and rent, according to former finance vice president Janeen Poutre’s testimony. The company reportedly presented inflated revenue numbers to investors compared to those reported to accountants, highlighting the internal financial struggle amidst the public facade of success.