Netflix Director Carl Rinsch Arrested for $11 Million Fraud

Hollywood director Carl Erik Rinsch has been arrested for allegedly stealing $11 million from Netflix.

The money was meant to complete a science-fiction series called White Horse, but instead, Rinsch reportedly spent it on luxury cars, expensive furniture, and cryptocurrency investments.

The White Horse Deal

In 2018, Netflix signed a deal with Rinsch to produce White Horse, a sci-fi TV series. The streaming giant paid $44 million to develop the show, expecting a high-quality production. The filming was supposed to take place in different countries, including Kenya, Mexico, Romania, and Hungary. However, things didn’t go as planned.

Asking for More Money

After receiving the first $44 million, Rinsch told Netflix that the budget wasn’t enough. He claimed that only one episode had been finished and requested more funding. In March 2020, Netflix agreed to give him an extra $11 million, hoping this would help complete the project.

Where Did the Money Go?

Instead of using the money for filming, Rinsch allegedly moved the funds to his personal accounts. He then spent it in three major ways:

1. Stock and Crypto Investments – Rinsch put millions into high-risk stock trades but lost money quickly. He later invested in Dogecoin, a popular cryptocurrency, and managed to turn $4 million into $27 million.
2. Luxury Shopping – He spent millions on luxury items, including:
   • Five Rolls-Royces and a Ferrari, costing about $2.4 million
   • Expensive furniture and antiques, including two mattresses worth $638,000
   • Designer clothes and watches worth $652,000
3. Legal Expenses – Rinsch used $1 million to cover legal fees for his divorce and a lawsuit against Netflix.

Netflix Cancels White Horse

Despite the millions Netflix provided, White Horse was never completed. By 2021, Netflix decided to cancel the project. In an arbitration case, Rinsch was ordered to repay Netflix $8.8 million, but he did not return the money.

Legal Consequences

In March 2025, Rinsch was arrested in West Hollywood. He now faces charges of wire fraud, money laundering, and illegally using stolen funds. If convicted, he could spend up to 90 years in prison.

Prosecutors say this is one of the most shocking cases of fraud in Hollywood history. The FBI, IRS, and federal prosecutors have all been involved in the investigation, which has taken years to build. Authorities have traced every transaction Rinsch made, from luxury purchases to crypto investments. Investigators also found that he misled Netflix by providing fake updates about White Horse, claiming the project was moving forward when, in reality, little progress was being made.

Legal experts believe that even if Rinsch does not receive the full 90-year sentence, he will likely spend decades in prison. In fraud cases involving large amounts of money, courts tend to impose long sentences as a warning to others. Additionally, since Netflix is one of the biggest streaming companies in the world, the case has received widespread attention, which could influence the severity of Rinsch’s punishment.

This entire situation shows how large entertainment budgets can be misused. It also serves as a warning about the risks of trusting individuals with millions of dollars. Netflix has since taken steps to prevent similar fraud in future projects.

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