A Hollywood filmmaker has been found guilty of defrauding Netflix out of millions of dollars after accepting funding for a television series that was never completed. The case centers on Carl Rinsch, the director behind 47 Ronin, who was convicted in a New York federal court on charges including wire fraud and money laundering. Prosecutors said the scheme involved diverting production funds into personal spending rather than delivering the promised sci-fi series.
According to court records, Netflix initially paid Rinsch roughly $44 million to develop a project titled White Horse. When the production stalled, he requested and received an additional $11 million, claiming the extra funds were necessary to finish the show. Instead of moving the project forward, authorities said Rinsch transferred the money into his personal accounts, where it was used for speculative investments and extravagant purchases.
Prosecutors detailed how a significant portion of the funds was quickly lost through risky stock trades, wiping out nearly half the money within months. The remaining amount was later shifted into cryptocurrency, where Rinsch reportedly recovered some losses before transferring the proceeds back into his own bank account. At no point, the government argued, was the money meaningfully used to complete the Netflix series.
What followed was a spending spree that became central to the prosecution’s case. Rinsch reportedly purchased multiple luxury vehicles, including five Rolls-Royces and a Ferrari, along with hundreds of thousands of dollars’ worth of watches, designer clothing, high-end mattresses, and luxury bedding. Investigators also said he used production funds to pay down substantial personal credit card debt. The series itself was never finished or delivered.
Rinsch’s attorney criticized the verdict, warning it could blur the line between criminal fraud and creative disputes between artists and large studios. Nevertheless, federal prosecutors maintained that the evidence showed deliberate misuse of investor money. Rinsch, now 48, is scheduled to be sentenced in April, while Netflix declined to publicly comment on the outcome of the case.
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