Hollywood director arrested for defrauding Netflix of $11 million –

Carl Erik Rinsch, a Hollywood writer-director, was arrested on Tuesday for defrauding Netflix of $11 million. He is best known for directing the film 47 Ronin. Authorities allege Rinsch used the funds for personal expenses instead of completing his sci-fi series, White Horse, which never aired.

Netflix initially paid Rinsch $44 million for the series. After asking for an additional $11 million, Netflix approved the funds. However, Rinsch allegedly transferred the money to his personal account instead of finishing the show. Within two months, he reportedly lost nearly half of the money in bad investments.

Subsequently, Rinsch shifted the remaining funds into cryptocurrency and secured a substantial profit. He then withdrew the earnings into his personal bank account. Federal prosecutors allege that he spent around $10 million on luxuries, including expensive cars, furniture, and legal fees.

The case has raised concerns about financial monitoring in Hollywood. Furthermore, it highlights the need for better oversight of multi-million-dollar deals by streaming platforms. Rinsch’s indictment was filed in New York, while he faces court in California after his arrest in West Hollywood.