Oscars 2017: Warren Beatty and Faye Dunaway WRONGLY name La La Land as Best Picture… before award is awkwardly handed over to REAL winners Moonlight

THE Oscars was hit by a jawdropping blunder as La La Land was incorrectly crowned Best Picture winner - when Moonlight had actually won.

Acting legends Warren Beatty and Faye Dunaway announced La La Land as the winner – and the film’s producer Jordan Horowitz even accepted the award as he was joined on stage by the cast and crew.

But as La La Land's creators gave their acceptance speeches, Oscars producers frantically took to the stage in the first sign something was amiss.

It was left to Horowitz to interrupt and announce: "This is not a joke. Moonlight is best picture," before showing the camera and the audience a card that revealed the true winner to be Moonlight.

He then handed the award to Moonlight director Barry Jenkins.

PricewaterhouseCoopers, the firm responsible for the Academy voting, have now apologised for the epic mistake.

The Oscars accountants owned up to the embarrassing gaffe and admitted Beatty and Dunaway had been given the wrong envelope - a duplicate of the Best Leading Actress card.

A statement read: "We sincerely apologise to Moonlight, La La Land, Warren Beatty, Faye Dunaway and Oscar viewers for the error that was made during the award announcement for Best Picture.

"The presenters had mistakenly been given the wrong category envelope and when discovered, was immediately corrected. We are currently investigating how this could have happened, and deeply regret that this occurred.

"We appreciate the grace with which the nominees, the Academy, ABC and Jimmy Kimmel handled the situation."

After the embarrassing blunder Beatty returned to the microphone to say: "I want to tell you what happened, I opened the envelope and it said Emma Stone, La La Land and that is why I took such a long look at Faye and at you.

"I wasn't trying to be funny. This is Moonlight for best picture."

The actor did appear to dither over the card as he passed it to co-star Faye to announce.

However Emma Stone, who earlier won the Best Actress gong, contradicted Warren Beatty's explanation about why he read out the wrong best picture winner at the Oscars, insisting she was holding the best actress envelope "the entire time".

It was later revealed Beatty was holding a duplicate card for the Best Leading Actress award.

The US star said the makers of La La Land were in a "state of confusion" after the film was wrongly read out as Best Picture winner instead of actual recipient Moonlight.

Speaking backstage, Stone said: "I f***ing love Moonlight. God I love Moonlight so much. I'm so excited for Moonlight. Of course it was an amazing thing to hear La La Land. I think we would have all loved to have won best picture.

"But we're so excited for Moonlight. I think it's one of the best films of all time. I also was holding my best actress in a leading role card that entire time. I don't mean to start stuff but whatever story that was - I had that card. So I'm not sure what happened.

"Is that the craziest Oscar moment of all time? Cool. We made history tonight. Craziest moment."

Days ago the two people responsible for giving out the Oscars envelopes said such a mistake was "so unlikely".

Moonlight director Jenkins said: "Very clearly even in my dreams this cant be true. But to hell with it because this is true. It's true, it's not fake."

Paying tribute to the team behind La La Land, he said: "We have been on the road with these guys and it was so gracious and so generous of them."

Producer of Moonlight, Dede Gardner, added: "I'm still not sure this is real. It's very humbling to be up here and I hope it's inspiring to little black boys and brown girls who feel marginalised. I hope they take some inspiration from seeing his beautiful group of artists."

Two La La Land producers had already given their acceptance speeches before the mistake was revealed.

La La Land won a total of six Oscars, while Moonlight took home three in total.

Host Jimmy Kimmel joked that he knew he would he would mess up compering the ceremony.

He added: "Personally I blame Steve Harvey for this," referring to Harvey's mistake in announcing the wrong Miss Universe winner in 2015.

Celebrities from Neil Patrick-Harris to Oprah flocked to Twitter after the blunder.

Fans also shared a series of hilarious memes poking fun at the Best Picture fiasco.

Earlier Emma Stone took home the Best Actress gong for her role in La La Land after being widely tipped to win her first Academy Award.

Stone, 28, who has already received a Golden Globe and Bafta for her role in the hit musical, beat Isabelle Huppert (Elle), Meryl Streep (Florence Foster Jenkins), Natalie Portman (Jackie) and Irish-Ethiopian star Ruth Negga (Loving) to the prize.

In her acceptance speech she praised her fellow nominees, saying it was "an honour" to stand alongside them.

Stone thanked Chazelle and Gosling, saying of her co-star: "Thank you for making me laugh and for always raising the bar and for being the best partner in this crazy adventure."

She promised she would individually find all of the film's crew and "hug the hell" out of her friends when feeling "re-enters" her body.

On her trophy, Stone added: "I still have a lot of growing and learning to do and this guy is a symbol on that journey."

In the Best Supporting Actress category Viola Davis received a standing ovation and cheers as she won the Oscar for her role in Fences.

The actress - who has been nominated twice before for Doubt and The Help - had been the frontrunner for the prize all through awards season.

Holding her statue she said: "There is one place that only people with the great potential are gathered and that is the graveyard.

"People ask me all the time, 'What kind of stories do you want to tell, Viola? And I say exhume those bodies, exhume those stories, of people who dreamed big and never saw those dreams to fruition, people who fell in love and lost.

"I became an artist and thank god I did because we are the only profession that celebrates what it means to live a life."

Paying tribute to her co-star and director Denzel Washington, she said: "Oh captain, my captain, Denzel Washington, thank you for putting two entities in the driving seat, August Wilson and God and they served me well."

Moonlight star Mahershala Ali won the first Oscar of the 89th Academy Awards, scooping the Best Supporting Actor prize - becoming the first Muslim actor to do so.

Ali embraced the film's director Barry Jenkins on his way up to the stage where he buttoned his tuxedo jacket, saying: "My grandma would want me to button up."

He added: "Wow, I want to thank my teacher and my professors, they told me is that it's not about you, it's about the characters, you are in service to your character and your stories, I'm so blessed to have had this opportunity."

The actor welcomed his first child Bari Najma on February 22 and thanked his wife Amatus Sami-Karim saying: "My wife was in her third trimester doing awards seasons, we just had a daughter four days ago. I just want to thank her for being such a soldier through this process."

The ceremony kicked off with host Jimmy Kimmel thanking President Donald Trump for making the Oscars appear less racist.

The talk show host said he knew the country was divided and he had been encouraged to say something that would unite people.

He said the ceremony was being watched around the world by "countries that now hate us" adding: "The country is divided right now, I've been been getting advice that I need to say something to unite us.

"Let me say something. I can't do that. There is only one Braveheart in this room and he's not going to do that either."

He added: "I want to say thank you to President Trump. Remember last year when it seemed like the Oscars were racist? It's gone!"

Referring to nominated films Hidden Figures and La La Land, he added: "Black people saved Nasa and white people saved jazz, that's what you call progress."

Meanwhile, Casey Affleck won the Best Actor award and Dakota Johnson led the worst dressed list.

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