47 Ronin Director Is In Some Serious Legal Trouble

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Summary

  • Netflix paid Carl Erik Rinsch $44M and added $11M for an unfinished series, leading to fraud charges.
  • Rinsch overspent Netflix’s $55M on personal expenses like credit card bills, mattresses and luxury vehicles.
  • Rinsch faces multiple charges and could be sentenced to up to 90 years in prison if found guilty of all charges.

In simpler terms, a movie director is dealing with a court case following accusations that they received large sums of money from Netflix for a TV show that wasn’t produced. This director has also been taken into custody due to allegations of fraud.

Carl Erik Rinsch collaborated extensively with Keanu Reeves on the historical action movie, “47 Ronin,” which drew from Japanese folklore and hit theaters in 2013. This film carried a substantial budget of approximately $175-$225 million, placing it among the costliest productions back then. Regrettably, it underperformed at the box office, leading to significant financial losses for Universal Pictures. They had high hopes that the movie would become a blockbuster, but it ultimately struggled to draw viewers. In essence, “47 Ronin” was both critically and commercially unsuccessful. Remarkably, despite the film’s lackluster performance, Rinsch secured a deal with Netflix in 2018 for a series called “White Horse,” later rebranded as “Conquest.” It was during this time that his legal issues started to arise.

On Tuesday, Rinsch was taken into custody in Los Angeles and indicted on charges of wire fraud, money laundering, and multiple counts related to monetary transactions from illegal activities. If found guilty on all counts, he could potentially spend the remainder of his life behind bars, as sentencing could result in up to 90 years in prison. According to Deadline, Netflix initially paid him $44 million for a project, but Rinsch requested an additional $11 million to complete the series. Netflix granted this request, but a year later, the promised TV show was still incomplete, leading Netflix to cancel it and write off more than $55 million. Rinsch is now being accused of orchestrating a scheme to defraud Netflix out of millions for a project that never came to fruition, spending the money on personal expenses such as credit card bills, mattresses, and luxury vehicles instead. In a statement, Acting U.S. Attorney Matthew Podolsky said:

Instead, it is claimed that Rinsch utilized the funds for personal expenditures and ventures such as risky options trading and cryptocurrency investments.

According to court documents, Rinsch had already produced six short episodes, ranging from 4 to 10 minutes long. These were planned to be filmed in Kenya, Mexico, Romania, Berlin, Hungary, and Uruguay in the year 2019. However, when filming started in Brazil, they exceeded their budget. The director then asked Netflix for an extra $11 million to complete the project. In March 2020, Netflix provided this money, but soon after, the COVID-19 pandemic struck, halting production globally. Rinsch is said to have met with Cindy Holland, a high-ranking Netflix executive who left the company in 2020, and another executive in June 2020 to discuss the project’s progress. However, the conversation reportedly veered off topic, and the director seemed more focused on matters unrelated to the TV series he pitched to Netflix. Eventually, the lead actor departed due to production issues, and Netflix ultimately decided to forgo the expenses. It is rumored that Rinsch spent the funds promptly to avoid taxation by the IRS.

The long-standing disagreement between Rinsch and Netflix has persisted for quite some time now. Last year, a court ruling ordered Rinsch to reimburse Netflix $12 million to which he initially objected. However, this decision was upheld by the judge in November, suggesting that Rinsch may not have complied with the payment. As a result, Netflix has taken legal action against him. On the positive side, this situation could provide Netflix with an intriguing storyline for a new documentary series, similar to Apple Cider Vinegar, which chronicles Belle Gibson’s fraudulent journey in the wellness sector. In Rinsch’s case, the series could focus on his transformation following allegations of receiving millions from Netflix intended for a TV series, shedding light on themes like dishonesty and using a platform for personal enrichment.

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2025-03-20 01:04