8 Apr 2021 03:53 GMT
You can receive a prison sentence of up to 20 years.
American actor Zachary Joseph Horwitz, better known as Zach Avery, was arrested on charges of $ 227 million fraud through a pyramid scheme, the California Central District prosecutor’s office reported on its website Tuesday.
According to the complaint, Horwitz, 34, was invited to invest in his company, 1inMM Capital LLC, which he said would use the money to purchase film rights for distribution abroad, particularly in the Latin American market. Using online platforms such as Netflix and HBO. Private investment firms have transferred approximately $ 227 million to the accounts of 1inMM Capital LLC.
However, he created a ‘Ponzi scheme’, using the victims’ money to pay previous investors. He also used some of these resources to fund his lifestyle, including the purchase of a $ 6 million luxury home in Los Angeles.
Los Angeles actor known as Zach Avery is accused of wire fraud in an alleged plan to sell fake movie license rights https://t.co/u6Sjvb6grM
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Investors started to worry in 2019, after 1inMM Capital defaulted on the notes several times. However, to convince them and renew the scam plan, Horwitz apologized allegedly given by Netflix and HBO, and sent false correspondence from the platforms to investors.
The actor is currently in custody and the next hearing in his case will take place on May 13. If convicted, he could face up to 20 years in prison.