In Trump's pardon economy, crime victims lost out on at least $119 million in restitution

By Gabe Kaminsky, Steve Reilly and Daniel Klaidman

Published October 27, 2026

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It was the summer of 2017 when Thomas Franco met Carlos Watson, a journalist and political commentator who seemed to be building a media empire. Over the next five years, Franco — a partner at the New York private equity firm Clayton, Dubilier & Rice — put almost $4 million into Watson's startup Ozy Media and urged friends to invest too.

But the company was largely an illusion. A federal jury in Brooklyn convicted Watson of fraud in July 2024. A judge later ordered him to repay investors almost $37 million, millions of it to Franco.

Hours before Watson was due to report to prison in March of last year, President Trump commuted his nearly 10-year sentence. The clemency grant wiped away the restitution.

In an interview, Franco said he felt victimized all over again.…