Ozy CEO: 'premature' to shut down after week of scandal

Carlos Watson, the CEO of Ozy Media, says it was “premature” to shut down and that he wants to keep operating, despite a scandal-ridden week that exposed Ozy as a media company without much of an audience

NEW YORK -- The CEO of Ozy Media on Monday said it had been “premature” to shut down the company and that he wants to keep operating, despite a scandal-ridden week that exposed Ozy as an outlet without much of an audience.

Carlos Watson, a former former cable-news commentator and host who founded Ozy in 2013, told CNBC that he met with advertisers and investors over the weekend and that he wants Ozy to continue.

In an emailed statement Monday, the company characterized the troubles of the past week as “a bump in the road” that it is “committed to getting past," saying “we are excited to reopen and expect to start resuming operations over the next few days." Ozy is trying to get employees to come back and said newsletters would resume this week and video production at the end of the month.

Ozy's board of directors said Friday that the company was ceasing operations. The shutdown came less than a week after a New York Times column raised questions about the media organization’s claims of millions of viewers and readers, while also pointing out a potential case of securities fraud.