Matthew Podolsky, Acting United States Attorney for the Southern District of New York, and Leslie Backschies, Assistant Director in Charge of the FBI's New York Field Office, announced charges against Carl Erik Rinsch. The Los Angeles director and writer faces a seven-count indictment for allegedly defrauding a streaming service in connection with a science fiction television show called "White Horse." Rinsch was arrested in West Hollywood, California.
"As alleged, Carl Erik Rinsch orchestrated a scheme to steal millions by soliciting a large investment from a video streaming service, claiming that money would be used to finance a television show that he was creating. But that was fiction," said Acting U.S. Attorney Matthew Podolsky. He added that Rinsch allegedly used the funds for personal expenses and speculative investments instead of completing the series.
FBI Assistant Director Leslie Backschies stated: "Carl Rinsch allegedly stole more than $11 million from a prominent streaming platform to finance lavish purchases and personal investments instead of completing a promised television series."
The indictment alleges that between 2018 and 2019, Streaming Company-1 paid approximately $44 million for episodes of "White Horse" and agreed to fund its completion. In early 2020, they transferred an additional $11 million to Rinsch's controlled company for this purpose. However, instead of using these funds on production, it is claimed Rinsch diverted them through various accounts into his personal brokerage account. He then made unsuccessful speculative purchases.
The allegations include spending on luxury items such as credit card bills amounting to approximately $1,787,000; legal fees around $1,073,000; stays at high-end accommodations costing about $395,000; furniture and antiques worth roughly $3,787,000; vehicles including Rolls-Royces and Ferraris totaling about $2,417,000; and watches and clothing priced at approximately $652,000.
Rinsch is charged with one count of wire fraud with a maximum sentence of 20 years in prison; one count of money laundering also carrying up to 20 years; and five counts related to unlawful monetary transactions each carrying up to 10 years.
Mr. Podolsky praised the work done by the FBI and IRS Criminal Investigation teams. The prosecution is led by Assistant U.S. Attorneys Jackie Delligatti, David A. Markewitz, and Kevin Mead from the Complex Frauds and Cybercrime Unit.
Charges are allegations only until proven guilty in court.
