Hollywood Director Jailed For Misusing Netflix’s $11 Million

Hollywood director Carl Rinsch has been sentenced to 30 months in US federal prison for defrauding Netflix of $11 million that was intended to fund a science fiction series.

The sentence was handed down by Judge Jed Rakoff, who also ordered Rinsch to repay the full $11 million, undergo outpatient mental health treatment, and stay away from narcotics.

Rinsch was convicted in December after prosecutors proved that he had misused money Netflix provided between 2018 and early 2020 for a science fiction series called Conquest. Instead of spending the funds on production, he transferred a large portion into his personal brokerage account and used it to trade securities.

According to prosecutors, Netflix cancelled the project in early 2021 after Rinsch's behaviour became increasingly erratic. He then used the remaining production money to invest in cryptocurrencies and pay for luxury stays at five-star hotels in California and Spain. He also bought several expensive cars, including five Rolls-Royces and a Ferrari.

The judge handed down a lighter sentence than prosecutors had sought after considering testimony about Rinsch's mental health. Among those who submitted letters in his support was actor Keanu Reeves, who said Rinsch's mental health had been affected by medication and other personal struggles.