Netflix And Steal: Director Diverts Production Budget To Dogecoin & More
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Netflix gave director Carl Erik Rinsch millions to produce the sci-fi series "Conquest."
But Rinsch used the money to trade stocks and crypto and then splurge on luxury goods.
Budget Allocations and Additional Funding
Director Carl Erik Rinsch, known for his work on "47 Ronin," faced allegations of financial mismanagement after diverting Netflix's production budget for the sci-fi series "Conquest" into cryptocurrency and stock trading.
In November 2018, Netflix granted Rinsch's production company a $61.2 million budget for "Conquest." By March 2020, $44.3 million had already been spent, leading Rinsch to request an additional $11 million, which Netflix approved.
Mismanagement Unveiled
This is where the mismanagement of funds comes in, as revealed by the director’s financial dealings during his divorce proceedings. Instead of channeling the funds towards production costs, Rinsch pulled out $10.5 million and placed options bets on pharmaceutical companies and the S&P 500 in the stock market, where he suffered a $5.9 million loss.
Facing setbacks in stocks, Rinsch shifted his focus to the crypto market. Investing $4 million in DOGE through Kraken, he managed to turn the tide, earning a substantial $27 million.
Rather than reinvesting in the series, Rinsch indulged in extravagant purchases, including $9 million in high-end furniture, designer clothing, luxury watches exceeding $380,000, five Rolls Royces, and a Ferrari, according to his ex-wife's forensic accountant.
Netflix's Response And Legal Dispute
Despite the financial windfall, Rinsch failed to deliver any episodes of "Conquest." Netflix's spokesperson, Thomas Cherian, said they had written off the series, emphasizing that
"Mr. Rinsch was never going to complete the project he agreed to make."
Rinsch and Netflix are currently engaged in confidential arbitration proceedings, which were initiated by Rinsch under the claims of being owed $14 million in damages for breach of contract. Netflix refutes these claims, denouncing them as a "shakedown."
In the deposition, Rinsch attempted to justify his purchases in the almost $9 million spending spree as props for "Conquest."
However, Netflix remains firm, stating that the funds were meant for production, and Rinsch's actions demonstrate a failure to fulfill his agreed-upon obligations.
Ruling To Come Soon
As the legal battle unfolds, Rinsch's questionable financial decisions not only jeopardized the production of "Conquest" but also cast a shadow over his professional integrity. Netflix's firm stance signals a tough road ahead for the director in proving his case and reclaiming alleged damages.
The case was presented before an arbitrator in November, and the involved parties are expecting a ruling soon.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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Netflix And Steal: Director Diverts Production Budget To Dogecoin & More
Share:
Netflix gave director Carl Erik Rinsch millions to produce the sci-fi series "Conquest."
But Rinsch used the money to trade stocks and crypto and then splurge on luxury goods.
Budget Allocations and Additional Funding
Director Carl Erik Rinsch, known for his work on "47 Ronin," faced allegations of financial mismanagement after diverting Netflix's production budget for the sci-fi series "Conquest" into cryptocurrency and stock trading.
In November 2018, Netflix granted Rinsch's production company a $61.2 million budget for "Conquest." By March 2020, $44.3 million had already been spent, leading Rinsch to request an additional $11 million, which Netflix approved.
Mismanagement Unveiled
This is where the mismanagement of funds comes in, as revealed by the director’s financial dealings during his divorce proceedings. Instead of channeling the funds towards production costs, Rinsch pulled out $10.5 million and placed options bets on pharmaceutical companies and the S&P 500 in the stock market, where he suffered a $5.9 million loss.
Facing setbacks in stocks, Rinsch shifted his focus to the crypto market. Investing $4 million in DOGE through Kraken, he managed to turn the tide, earning a substantial $27 million.
Rather than reinvesting in the series, Rinsch indulged in extravagant purchases, including $9 million in high-end furniture, designer clothing, luxury watches exceeding $380,000, five Rolls Royces, and a Ferrari, according to his ex-wife's forensic accountant.
Netflix's Response And Legal Dispute
Despite the financial windfall, Rinsch failed to deliver any episodes of "Conquest." Netflix's spokesperson, Thomas Cherian, said they had written off the series, emphasizing that
"Mr. Rinsch was never going to complete the project he agreed to make."
Rinsch and Netflix are currently engaged in confidential arbitration proceedings, which were initiated by Rinsch under the claims of being owed $14 million in damages for breach of contract. Netflix refutes these claims, denouncing them as a "shakedown."
In the deposition, Rinsch attempted to justify his purchases in the almost $9 million spending spree as props for "Conquest."
However, Netflix remains firm, stating that the funds were meant for production, and Rinsch's actions demonstrate a failure to fulfill his agreed-upon obligations.
Ruling To Come Soon
As the legal battle unfolds, Rinsch's questionable financial decisions not only jeopardized the production of "Conquest" but also cast a shadow over his professional integrity. Netflix's firm stance signals a tough road ahead for the director in proving his case and reclaiming alleged damages.
The case was presented before an arbitrator in November, and the involved parties are expecting a ruling soon.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
In This News
Coins
$ 0.148
-8.19%$ 0.110
-8.16%$ 0.000123
$ 0.000025
$ 0.000161
Share:
In This News
Coins
$ 0.148
-8.19%$ 0.110
-8.16%$ 0.000123
$ 0.000025
$ 0.000161
Share:
Read More
Bitcoin Slips Back Below $90K — Crypto Correction Now Ranks Among Worst Since 2017, K33 Says