Hollywood director Carl Rinsch has been convicted of defrauding OTT giant Netflix of $11 million. The amount was originally sanctioned to complete a show for the streaming platform.
Carl Rinsch is known for directing the Keanu Reeves-starrer 47 Ronin. The verdict shocked many, as the jury found him guilty of wire fraud and money laundering.
The project in question was titled White Horse. Netflix had initially paid Carl Rinsch around $44 million during 2018-19 to complete the show.
Later, the director requested additional funds to wrap up the production. This resulted in an extra payment of around $11 million.
According to prosecutors, the show was never completed. They stated that the additional funds were not used for production purposes at all.
Instead, the money was transferred to Carl Rinsch’s personal brokerage account. He reportedly made several stock trades that resulted in heavy losses.
Within a few months, he allegedly lost nearly half of the amount. Prosecutors also revealed that he was involved in cryptocurrency trading.
In addition, Carl Rinsch reportedly spent money on luxury cars, expensive watches, and designer clothing. These purchases were made using the remaining funds.
Based on the evidence presented, the director is scheduled to be sentenced in April. Netflix has not released any official statement on the matter so far.
The case highlights the need for stronger transparency between streaming platforms and production houses. It remains to be seen whether Netflix will respond publicly to the revelations.
