Carl Rinsch Gets 2.5 Years for Defrauding Netflix of $11 Million
Updated
Updated · bbc.co.uk · Jun 29
Carl Rinsch Gets 2.5 Years for Defrauding Netflix of $11 Million
3 articles · Updated · bbc.co.uk · Jun 29
Summary
Two and a half years in prison was imposed on director Carl Erik Rinsch after his conviction for federal fraud and money laundering tied to $11 million in Netflix production funds.
Prosecutors said Netflix advanced the money to finish the sci-fi series then called White Horse, but Rinsch moved it into a personal account, lost about half through investments within months and diverted more into cryptocurrency.
Lavish spending helped underpin the case: prosecutors said he used the funds on Rolls-Royce cars, luxury mattresses and other personal purchases instead of delivering the single season Netflix had approved.
Judge Jay Rakoff also ordered three years of supervised release, $11 million in forfeitures and a $700 fine; Rinsch apologized in court and said he accepted responsibility.
The sentence closes a case over a roughly $55 million Netflix deal for an unfinished show, with Rinsch—best known for 47 Ronin—having argued at trial that the spending was a misunderstanding during the pandemic.