Hollywood Director Accused of Defrauding Netflix of $11 Million

• Mar 19, 2025

Hollywood director Carl Erik Rinsch has been arrested on charges of fraud and money laundering for allegedly misusing $11 million from Netflix. Prosecutors say the money, intended for his sci-fi show White Horse, was instead spent on cryptocurrency and luxury items.

Netflix Paid Millions for an Unfinished Show

Rinsch, best known for directing 47 Ronin, had an agreement with Netflix to produce White Horse. The streaming giant initially paid him about $44 million but later provided an extra $11 million after he claimed more funding was needed to complete the project.

However, prosecutors allege that instead of using the money for production, Rinsch transferred it to his personal brokerage account. Within two months, he had lost nearly half of it on failed investments. He then shifted the remaining funds into cryptocurrency, where he saw substantial gains. Eventually, he moved the profits into his personal bank account.

Lavish Spending on Cars, Antiques, and Legal Fees

According to the indictment, Rinsch spent around $10 million of the money on luxury purchases and personal expenses. His alleged spending spree included:

$2.4 million on five Rolls-Royces and a Ferrari

$3.7 million on furniture and antiques

$652,000 on high-end watches and clothing

$1.8 million to pay off credit card bills

$1 million in legal fees to sue Netflix for even more money

Legal Trouble and Arrest

Authorities arrested Rinsch, 47, in West Hollywood on Tuesday. He was expected to appear in a federal court in California, while his indictment was filed in New York. It is unclear if he has hired a lawyer to represent him. Netflix has declined to comment on the case.

The allegations suggest a major fraud scheme that saw Netflix invest in a show that never aired, while its director allegedly profited from the funds meant for its production.