Hollywood director Carl Erik Rinsch has been sentenced to two and a half years in prison after being convicted of defrauding Netflix of $11 million that was intended to fund an unfinished science fiction series.
Rinsch, best known for directing 47 Ronin, was also handed three years of supervised release, ordered to forfeit $11 million and fined $700.
Federal prosecutors said Netflix had invested around $55 million in the project, originally titled White Horse, including an additional $11 million Rinsch claimed was needed to complete production. Instead, prosecutors said he diverted the money into personal investments, losing a significant portion through stock trading before spending more on cryptocurrency and luxury items, including Rolls-Royce vehicles and high-end mattresses.
During the trial, Netflix executives testified that the streaming giant had only commissioned one season of the series, which was never completed. Rinsch, who testified in his own defence, argued that the funds were used to keep the project alive during the COVID-19 pandemic and maintained that the dispute stemmed from a misunderstanding.
Before sentencing, Rinsch apologised to the court and accepted responsibility for his actions. However, prosecutors said the case underscored the consequences of misusing studio funds, with US Attorney Jay Clayton stating that the sentence sends a clear message that fraud will not be tolerated.
