President Donald Trump commuted the almost 10-year sentence of Ozy Media co-founder Carlos Watson, who was due to report to prison for a financial conspiracy case. Watson was convicted last year in a case that highlighted the downfall of a startup company during a turbulent time in the media industry. The commutation of his sentence was confirmed by a White House official who spoke on condition of anonymity, while Watson’s lawyer declined to comment. Trump has frequently used his presidential power to commute sentences and issue pardons for individuals he believes were treated unfairly by the justice system. This includes cases like Watson’s and his own conviction in a hush money payments case.
Alongside Watson’s commutation, the White House also revealed a series of other acts of clemency. One of these was the pardon of Trevor Milton, the founder of electric vehicle company Nikola, who had been sentenced to four years for fraudulent exaggeration of his technology’s potential. Additionally, three entrepreneurs involved with the cryptocurrency exchange BITMEX were pardoned after being sentenced to probation for willfully flouting U.S. anti-money laundering laws. These actions by the president are reflective of his tendency to grant clemency to individuals involved in high-profile cases of fraud or financial misconduct.
Ozy Media, founded in 2012, focused on providing a fresh perspective on politics, culture, and more, emphasizing minority and marginalized voices. However, the media organization announced its closure in 2021 after questions arose regarding its viewership and potential securities fraud. Watson was arrested in 2023 following guilty pleas from two executives on fraud charges. Prosecutors accused Watson of deceiving investors and lenders by inflating revenue figures and falsely claiming deals as finalized. In one instance, Watson’s co-founder impersonated a YouTube executive on a call with investors, adding to the deception according to prosecutors.
During Watson’s trial, then-Brooklyn U.S. Attorney Breon Peace described him as a con man who used deception to manipulate investors into buying stock in Ozy Media. The collapse of the company was attributed to Watson’s dishonest schemes, as per Peace. Watson, who is Black, characterized the case as a modern lynching and claimed he was a victim of selective prosecution. While acknowledging his mistakes and expressing regret for the harm caused, Watson stated that he did not believe the treatment he received was fair. U.S. District Judge Eric Komitee noted during sentencing that the level of dishonesty in the case was significant.
The commutation of Watson’s sentence by Trump just hours before he was to report to prison highlights the president’s ongoing use of his clemency powers in cases of financial wrongdoing and fraud. Along with other high-profile pardons and commutations, Watson’s case serves as a reminder of the controversial nature of such decisions and the impact they have on the justice system. The involvement of prominent figures like Watson in financial misconduct cases raises questions about accountability, fairness, and the perception of justice in high-stakes legal matters. Ultimately, the commutation of Watson’s sentence adds to the discourse surrounding the use of presidential clemency in cases that capture public attention and scrutiny.
