The Hollywood writer-director on Tuesday led $11 million from Netflix for a sci-fi show that he never aired, instead leaning towards a series of gorgeous purchases that include Cryptocurrency Investments and Rolls-Royces fleet and Ferrari.
Carl Eric Linsh is probably best known for directing the film “47 Ronin,” but has been accused of wire fraud and money laundering against what federal prosecutors claim to be planning to scam the streaming giant.
Prosecutors said Netflix initially paid about $44 million to buy an unfinished show called “White Horse” from Linsh, but ultimately withdrawing another $11 million after saying he needed additional cash to complete the show.
Rather than spending extra money to close out production, Linsh quietly transferred money to a personal securities account, making a series of failed investments that lost around $11 million in two months, according to prosecutors.
The filmmakers then dumped the remaining money into the cryptocurrency market. This proved to be a profitable move. This ultimately transferred the proceeds to a personal bank account, according to the charges.
From there, Linsh spent about $10 million on personal expenses and luxury items on the existence of spending, including about $1.8 million on credit card bills, according to prosecutors. $1 million to lawyers to sue Netflix for more money. $3.8 million for furniture and bones. $2.4 million with five Rolls-Royce and one Ferrari. $652,000 for watches and clothes.
Linsh, 47, was arrested in West Hollywood, California and was first court hearing Tuesday.
He appeared in a turtleneck sweater and jeans with arms and legs bondage in federal courtrooms in Los Angeles. He did not enter the plea and spoke only to answer the judge's questions.
When asked if he had read the charges against him, he said “I won't hide it to cover it,” but told the judge that he understood the charges.
US Magistrate Judge Pedro V. Castillo ordered him to be released later Tuesday after agreeing to post $100,000 bonds to ensure he appears in the New York court where he was charged, and he ordered to be released later Tuesday.
His newly appointed lawyer, Annie Carney, declined to comment outside the court. She said at the hearing that she had not yet seen the prosecutor's evidence against Linsh. When discussing the terms of his release, she said, “The allegations in this case are purely financial.”
The date for the New York court in Linsh had not yet been set.
Netflix declined to comment.
