Director Convicted for Multi-Million Dollar Netflix Scam
A New York jury has convicted Carl Rinsch, a director known for the film 47 Ronin, of a multi-million dollar scam against Netflix. The conviction stems from his fraudulent activities concerning an unfinished sci-fi series that cost the streaming giant over $11 million.
Details of the Trial
Rinsch’s trial lasted just under two weeks in a federal courtroom in Manhattan. The jury returned their verdict after only a few hours of deliberation. Rinsch faced multiple charges, including wire fraud and money laundering, with a potential prison sentence of up to 90 years.
Charges and Allegations
The U.S. Attorney’s office for the Southern District of New York outlined the charges against Rinsch, indicating that he had devised a scheme to defraud Netflix. The indictments included:
- One count of wire fraud (maximum sentence: 20 years)
- One count of money laundering (maximum sentence: 20 years)
- Five counts of engaging in monetary transactions involving illicit funds (maximum sentence: 10 years each)
Rinsch testified on his behalf, pleading not guilty. He claimed the funds he received were intended to cover his own investment in the series, which underwent multiple name changes—from White Horse to Conquest.
Background of the Series
In 2018, Rinsch secured a deal with Netflix for over $61 million to produce White Horse. Despite receiving substantial funding, he reportedly burned through $44 million without delivering a completed project. By 2021, Netflix ended its involvement, having only received teaser clips.
Financial Fallout
After pulling the plug on the project, Netflix wrote off more than $55 million in costs. Following the trial, Rinsch faces a $12 million arbitration ruling in favor of Netflix from 2024, which he has yet to fulfill. The streaming service declined to comment on the recent verdict.
Conclusion
Rinsch’s case highlights significant issues surrounding funding and project management in the entertainment industry, particularly in the era of streaming. His legal battles continue, underscoring the consequences of financial misconduct in creative ventures.
