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Crypto Potato 2025-12-13 21:40:12

Hollywood Director Convicted After $11M Netflix Funds Diverted to Crypto Bets

Hollywood Director Convicted After $11M Netflix Funds Diverted to Crypto Bets

Hollywood director Carl Erik Rinsch was convicted in Manhattan federal court for defrauding Netflix of $11 million intended for a science fiction television series that never materialized. A federal jury found the 48-year-old director guilty of multiple counts of wire fraud and money laundering, after prosecutors said he siphoned the funds for personal use, including high-risk stock trades, cryptocurrency investments, luxury cars, watches, and five-star hotel stays in California and Spain. The series, originally titled “White Horse” and later renamed “Conquest,” had already received roughly $44 million in earlier funding. Rinsch began filming six short-form episodes with support from his mentor, Keanu Reeves, before pitching the project to studios. Between late 2019 and early 2020, he requested an additional $11 million to finish production. Prosecutors said he transferred the funds into personal accounts, losing about half through risky investments, then used the remaining funds on cryptocurrency and lavish spending. Court documents show he bought five Rolls-Royces, a Ferrari, high-end watches and clothing, luxury mattresses and bedding, and repaid $1.8 million in personal credit card debt, all with money Netflix believed was meant for the series. Rinsch argued at trial that the dispute was contractual and that he considered the payments as reimbursement for work already completed. US Attorney for the Southern District of New York Jay Clayton said the conviction comes after a one-week trial before US District Judge Jed S. Rakoff. He added, “Carl Erik Rinsch took $11 million meant for a TV show and gambled it on speculative stock options and crypto transactions. Today’s conviction shows that when someone steals from investors, we will follow the money and hold them accountable.” The charges carry maximum penalties of a total of 90 years in prison, although the actual sentence is expected to be shorter. Rinsch is scheduled to be sentenced on April 17, 2026. Rinsch was arrested in March this year in West Hollywood, California. Earlier reports suggest that he invested in popular meme coin Dogecoin (DOGE) and made $27 million in profits. The post Hollywood Director Convicted After $11M Netflix Funds Diverted to Crypto Bets appeared first on CryptoPotato .

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