Hollywood director embezzles 11 million USD from Netflix to buy Dogecoin (DOGE)

Hollywood director Carl Erik Rinsch has been convicted in Manhattan federal court for defrauding Netflix of $11 million, a budget allocated for a series of science fiction films that were never completed.

The federal jury declared the 48-year-old director guilty of multiple charges, including wire fraud and money laundering. According to prosecutors, Rinsch embezzled the funds for personal use, from high-risk stock trades, coin investments, to purchasing luxury cars, expensive watches, and spending at five-star hotels in California and Spain.

He was arrested in March of this year in West Hollywood, California. Some reports indicated that Rinsch had previously invested in Dogecoin (DOGE) and earned profits of up to $27 million.

Carl Erik RinschThe original project titled “White Horse,” later renamed “Conquest,” had already received approximately $44 million in funding. Rinsch had started shooting six short episodes with the support of mentor Keanu Reeves before pitching the project to major studios.

Between late 2019 and early 2020, Rinsch requested an additional $11 million from Netflix to complete production. However, prosecutors say he transferred all of this money into personal accounts, losing about half through risky investments, then used the remaining for crypto and lavish expenses.

Court records show that Rinsch purchased five Rolls-Royces, a Ferrari, numerous watches and luxury clothing, high-end bedding and linens, and paid off $1.8 million in personal credit card debt with funds Netflix believed were for the film. During the trial, Rinsch argued that the dispute was contractual and that the funds received were reimbursement for work previously completed.

Federal prosecutor for the Southern District of New York, Mr. Jay Clayton, stated that the verdict was delivered after a week of trial before Judge Jed S. Rakoff. He emphasized: “Carl Erik Rinsch took $11 million allocated for a TV series and gambled on speculative stock options and crypto trades. Today’s judgment shows that anyone who appropriates investor funds will be traced and held accountable under the law.”

The charges carry a maximum sentence of up to 90 years in prison, though the actual sentence is expected to be lower. Rinsch is scheduled to be sentenced on April 17, 2026.

Thach Sanh