President Donald Trump granted clemency to Carlos Watson, the founder and CEO of Ozy Media, just hours before Watson was set to begin serving a nearly 10-year prison sentence for federal fraud. The pardon came as Watson was en route to the Lompoc, California, federal correctional institution to begin his sentence.
Watson had been convicted in July of wire fraud conspiracy and other charges for allegedly deceiving investors and lenders by inflating Ozy Media’s earnings between 2018 and 2021. Prosecutors argued that Watson and his company fabricated financial statements and falsely represented business deals that either didn’t exist or weren’t finalized.
One of the most damaging allegations involved a co-founder of Ozy posing as a YouTube executive on a call with potential investors, reading from a script provided by Watson.
U.S. District Judge Eric Komitee, appointed by Trump himself, sentenced Watson to nine years and eight months in prison and ordered him, along with Ozy Media, to pay $96 million in restitution and forfeiture. Komitee described the scale of deception as “exceptional.”
In a statement released shortly after the clemency decision, Watson expressed gratitude for the former president’s intervention, while also taking aim at the judge who sentenced him.
“I am profoundly grateful to President Trump for correcting this grave injustice,” Watson said in a statement. “His decision reflects his unwavering commitment to fairness and justice for those who have been wrongfully targeted.”
He also described Judge Komitee as “conflicted and unethical,” adding that he believed his prosecution was influenced by jealous competitors attempting to tarnish his reputation.
Trump’s decision to grant clemency to Watson comes only two months after he controversially pardoned or commuted the sentences of 1,500 individuals connected to the January 6th Capitol riot. Watson’s clemency also came alongside that of Trevor Milton, founder of electric vehicle manufacturer Nikola, who was sentenced to four years for fraud.
The clemency has reignited debates about Trump’s use of presidential pardons, particularly regarding those who have contributed to his political career. Milton, for example, and his wife donated nearly $2 million to Trump’s second presidential campaign.
The clemency not only spares Watson from prison time but also absolves Ozy Media of the $96 million in restitution and probation handed down by the court.
Despite Ozy Media’s downfall, Watson maintained his innocence throughout the trial. He highlighted the success of projects such as Black Women OWN the Conversation, which aired on the Oprah Winfrey Network and even earned an Emmy Award.
“We are ready to move forward, guided by the lessons I learned,” Watson stated.
