Hollywood Director Carl Rinsch Found Guilty of Scamming Netflix Out of $11M, Spending on Crypto and Luxury Goods
Carl Rinsch, director of the 2013 film '47 Ronin,' has been found guilty on seven counts in the Southern District of New York, including wire fraud, money laundering, and multiple counts of transacting with illicitly obtained property.
Netflix commissioned Rinsch in 2018 to produce the sci-fi series 'Conquest,' providing $44 million to his production company between 2018 and 2020. In 2020, Rinsch sought an additional $11 million to complete the series. Prosecutors allege that these funds were siphoned off through multiple accounts into a personal brokerage account.
The misappropriated money was initially invested in securities, with over half of it lost within two months, followed by speculation in cryptocurrency and significant luxury purchases. Reported expenditures include approximately $3.3 million on furniture, antiques, and mattresses; $2.4 million on a red Ferrari and five Rolls Royces; $1.7 million on credit card bills; and $387,000 on a Swiss watch, totaling about $8.7 million spent on luxury items.
Netflix canceled 'Conquest' in 2021 after the project failed to meet milestones, writing off about $55 million it had provided. A 2023 New York Times report noted that Rinsch turned a $4 million Dogecoin investment into $27 million in 2021 before spending the profits on luxury goods.
Sentencing is scheduled for April 17, 2026, with the maximum sentence up to 90 years: up to 20 years for wire fraud, 20 years for money laundering, and 10 years for each of the five counts of transacting with illicitly obtained property.
U.S. Attorney for the Southern District of New York Jay Clayton stated that the conviction demonstrates that those who steal from investors will be held accountable and that authorities will follow the money.
