Film Industry Filmmaker Found Responsible of Scamming Platform Netflix Out of Millions over Non-Existent Series
A prominent Hollywood director was found guilty this week for orchestrating a scheme that defrauded the entertainment platform Netflix out of an astonishing sum earmarked for a show that never materialized, prosecutors said.
Details of the Case
Carl Rinsch, best known for helming the movie *47 Ronin* featuring the actor Keanu Reeves, was found guilty on several counts including financial fraud and concealing illicit funds, according to court records and federal prosecutors in New York.
"This conviction demonstrates that if an individual takes money from investors, we will follow the money and hold them accountable," said a U.S. attorney.
Reported Scheme
Prosecutors alleged that Netflix had originally disbursed Rinsch approximately $44 million for an incomplete science-fiction series titled *White Horse*. Later, the streamer sent an further $11 million after he claimed he required extra capital to finalize production.
Yet, instead of allocating the funds for the show, Rinsch redirected the cash to a private bank account. There, he engaged in a series of failed investments, squandering roughly half of the $11 million within a couple of months, prosecutors said.
Extravagant Purchases with Company Money
After the failed investments, Rinsch reportedly invested the remaining funds into the cryptocurrency market, making some gains. However, he then deposited those proceeds into his personal bank account.
The subsequent actions involved major luxury spending. Prosecutors detailed acquisitions that included:
- Five Rolls-Royce automobiles and a sports car.
- Over six hundred and fifty-two thousand dollars on timepieces and apparel.
- A pair of custom mattresses for around $638,000.
- A further two hundred and ninety-five thousand dollars on luxury bedding and household items.
Furthermore, he reportedly used a portion of the money to settle about one point eight million dollars in personal debt bills.
Legal Reaction and Sentencing
In a statement, Rinsch's legal counsel expressed dismay with the verdict, arguing it "establishes a dangerous precedent for creatives who become involved in business and artistic disagreements with their benefactors."
Rinsch, 48, never completed the television series. His sentencing date is set for this spring. The streaming platform chose not to issue a statement on the matter.
