Source: Variety / Getty / Carlos Watson
Carlos Watson and his now-defunct startup, Ozy Media, were found guilty of fraud.
It has been detected The lipCarlos Watson and Ozy Media were found guilty of wire fraud in federal court on Tuesday, according to New York Times reference.
During the trial, the court heard arguments from the government that Watson and Ozy Media misled investors by falsifying financial records, inflating audience numbers and even outright making business deals.
Things got off to a good start for Watson and business partner Samir Rao when they founded Ozy Media in 2013. The company started with a newsletter, magazine and an annual conference in New York.
The company also received millions in investment while forming high-profile partnerships before it all went to sh*t.
Per The lip:
But things stopped when 2021 article from the New York Times Media columnist Ben Smith reported that Rao impersonated a YouTube executive during a conversation with a Goldman Sachs banker about a potential $40 million investment. Rao pleaded guilty on related charges last year and is awaiting sentencing.
In addition, prosecutors alleged that Watson lied to a prospective investor that Google offered $600 million to take over the media startup. According to testimony by Google CEO Sundar Pichai, the company only considered investing $25 million as part of a possible plan to hire Watson. During the trial, Watson's lawyers accused employees of Rao and Ozy Media of the fraudulent activity, the NYT reports.
Speaking about the verdict, Breon Peace, the U.S. Attorney for the Eastern District of New York, blasted Watson's deceptions.
“The jury found that Watson was a fraud who told lies upon lies to deceive investors into buying stock in his company,” Peace said in a statement. “Watson concocted false financial figures and had others forge fake contracts and pose as a media executive.”
Bruh.
Watson is looking at 37 years in prison after being charged with conspiracy to commit securities fraud, conspiracy to commit wire fraud and identity theft.
Dime.
