Ozy is closing less than a week after a New York Times column raised questions about the media organization’s claims from millions of viewers and readers, while also highlighting a potential case of securities fraud.
The story sparked canceled shows, an internal investigation, investor concern and high-profile departures from the company.
An emailed statement Friday from Ozy Media’s board of directors called it a company with many “world-class journalists and seasoned professionals to whom we owe immense gratitude.” He said it was “with the heaviest of hearts that we have to announce today that we are closing the doors of Ozy”.
See also: Billionaire Marc Lasry, chairman of struggling media organization Ozy, resigns
The board statement did not give a reason for the Mountain View, Calif.-based company’s closure.
The Times article said Ozy COO Samir Rao impersonated a YouTube executive during a call with Goldman Sachs as he tried to raise funds from YouTube. the investment bank. He also addressed the industry’s longstanding questions of whether Ozy was inflating its audience size.
On Thursday, Marc Lasry, the hedge fund billionaire and Milwaukee Bucks co-owner who was named chairman of Ozy in September, resigned. A high-profile employee, former BBC presenter Katty Kay, quit earlier in the week, and an early investor, a venture capital firm, dumped her Ozy shares. The board reportedly hired a law firm to review Ozy’s business activities.
Ozy has posted stories on its website, created podcasts, newsletters and shows, and hosted the OzyFest festival. Its website remained online Friday afternoon.
