Ozy Media Chairman Marc Lasry Resigns as Firm Faces Accusations of Misconduct and Fraud
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Marc Lasry announced Thursday that he will resign as chairman of Ozy Media after the firm was accused of misconduct and fraud.
“I believe that going forward Ozy requires experience in areas like crisis management and investigations, where I do not have particular expertise,” he said in a statement announcing his move, which New York Times reporter Ben Smith posted to Twitter.
Ozy chairman Marc Lasry just resigned: “I believe that going forward Ozy requires experience in areas like crisis management and investigations, where I do not have particular expertise.”
— Ben Smith (@benyt) September 30, 2021
Lasry, also owner of NBA team the Milwaukee Bucks and CEO of Avenue Capital Group, was named chairman of Ozy Media just three weeks ago.
His resignation comes after the New York Times reported that the FBI is investigating the firm on allegations of fraud after Ozy Media co-founder and Chief Operating Officer Samir Rao impersonated a YouTube executive in an attempt to sell the company to Goldman Sachs.
The Times additionally reported that Ozy Media often inflated its viewership numbers on YouTube and other platforms.
Both Ozy CEO Carlos Watson and Lasry attributed blame to Rao, Watson saying he endured a “mental health crisis,” yet defended him in separate statements.
“Samir is a valued colleague and a close friend,” Watson said in a statement to The Times. “I’m proud that we stood by him while he struggled, and we’re all glad to see him now thriving again.”
“The board was made aware of the incident, and we fully support the way it was handled,” Lasry added. “The incident was an unfortunate one-time event, and Carlos and his team showed the kind of compassion we would all want if any of us faced a difficult situation in our own lives.”
Despite their defense, MSNBC contributor Katty Kay announced Wednesday she was resigning from Ozy Media after just four months, citing the allegations of fraud and misconduct.
Lasry is now following suit, four days after the New York Times exposé.
