“In light of its current operational and legal challenges, the OZY board has determined that it’s in the best interests of its stakeholders to suspend operations immediately,” the tweet said.
The decision comes shortly after Ozy Media founder Carlos Watson was arrested and charged with fraud by federal investigators, according to multiple news reports.
Prosecutors said in a court document that Watson had “engaged in a scheme to defraud Ozy’s potential investors, potential acquirers, lenders and potential lenders” by inflating the site’s audience numbers and financials in a scandal that began to unfold last fall.
The company boasted more than 50 employees at one time, although how many remained on duty as of today is unclear. The company produced podcasts, television series and events, and profiles of rising stars and emerging trends.
(Excerpt) Read more in: Deadline