Former Ozy Media boss sentenced to almost ten years in prison

The former boss of Ozy Media has been sentenced to 10 years in prison for his role in an alleged fraud involving the failed content startup.

Carlos Watson faced a maximum of 37 years in prison following his July conviction on securities and wire fraud charges. Prosecutors had sought a 17-year prison sentence and a multimillion-dollar settlement to the government.

“The level of dishonesty in this case is extraordinary,” U.S. District Judge Eric Committee said in sentencing, according to The Associated Press. He later told Watson: “Your internal apparatus for separating truth from fiction was completely miscalibrated.”

Watson pleaded not guilty and continued to maintain his innocence.

The rise and fall of Ozy closely followed the broader internet media bubble of the 2010s. The group wanted to ride the investment wave of companies like BuzzFeed and Vice, which were attracting billions in venture capital.

Both companies faced financial difficulties of their own: BuzzFeed narrowly avoided going public, while Vice filed for bankruptcy.

During the Watson trial, a former lieutenant explained the pressure Ozy faced to stay afloat – and the limits he pushed along the way.

“Survival within the bounds of decency, fairness and truth, it turned into survival at any cost and by any means necessary,” former chief operating officer Samir Rao told jurors, saying Watson sanctioned all of his falsehoods. Rao himself pleaded guilty.